[Asia Economy Reporter Jeong Hyunjin] Walmart, the largest retailer in the United States, is offering energy price discounts to encourage subscriptions to its subscription service Walmart Plus (+), considering the current situation of rapidly rising prices, CNBC reported on the 26th (local time).
According to the report, starting from the 27th, Walmart Plus will provide benefits of up to a 10% discount per gallon at more than 14,000 gas stations. Although discounts are currently being offered, Walmart explained that this measure will double the discount rate and significantly increase the number of gas stations available through a partnership with ExxonMobil.
Energy-related discounts will also be available at Sam's Club, BJ Wholesale, and Krispy Kreme, all owned by Walmart.
The reason Walmart is offering these discount benefits is largely due to the rise in energy prices and food prices following Russia's airstrikes on Ukraine. Chris Cracchiolo, Senior Vice President of Walmart Plus, said that the cost of living is very high and is affecting many consumers. According to a recent survey, about half of the respondents said that the rise in energy prices has caused changes in their behavior.
Walmart has set a strategy to leverage this opportunity to gain a large influx of customers by enhancing price competitiveness. Walmart launched and operates the Walmart Plus subscription service in September 2020 to expand its e-commerce business. The price is $12.95 per month or $98 per year.
Senior Vice President Cracchiolo said that Walmart members are more profitable and use the service more frequently than non-members. After reviewing the energy usage of Walmart members, they decided to provide these benefits.
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