Ever since 2013, the same company has held the top spot on the Fortune 500 list. Love it or hate it, we’ve all shopped there. I’m talking about…
Aside from topping the Fortune 500 company list for nearly a decade, Walmart also is the largest in the world in terms of revenue.
According to Forbes, the retail giant’s total revenue last year was an impressive $573 billion. Even Amazon pales in comparison, with $470 billion of revenue in 2021.
Walmart is clearly doing something right. Here’s what I think contributes to their consistent success.
Setting price expectations
The first thing that Walmart does that keeps them the #1 Fortune 500 company is that they set pricing in their market. It is not uncommon to overhear, “I can get that at Walmart for X dollars cheaper.”
For competitors, this means they need to keep up with their pricing standards. Otherwise, these rival companies lose business.
That is the domination of a market.
Next, you can buy anything at Walmart. You can get your groceries, new pajamas, a lawnmower, and a big screen TV — all in the same trip.
Coupled with their lower prices, consumers can’t resist the convenient aspect of making a trip to just one store. This definitely plays a role in Walmart maintaining their place on the Fortune 500 list.
The #1 Fortune 500 company keeps up with the times
Last and most importantly, Walmart has pivoted over the years to meet its customers’ needs.
For example, during the COVID-19 outbreak, they reoptimized their entire online strategy. Doing this made it easy for people to order online and then have their products delivered in a timely manner or picked up right away.
Strengthening what works and changing over time what is no longer applicable is a big reason Walmart is on top.
In conclusion, Walmart is a prime example of “best-known beats best product.”
Almost everything they carry can be shopped from other retailers. Still, they are the #1 Fortune 500 company year after year because everyone knows their name.
There is a powerful lesson to be learned from that.
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