Shopping Showdown: Walmart-Amazon Battle Heats Up | NewsRadio 740 KTRH

In the battle for American retail supremacy, Walmart still reigns supreme…at least for now. Walmart has spent the past decade as the nation’s top retailer by revenue, but Amazon is quickly closing the gap in second place. Walmart reported $648 billion in total sales last year, compared with Amazon’s $575 billion. But Amazon’s revenue grew at double the rate of Walmart’s, 12% versus 6%, from the previous year. If that trend continues, Amazon could soon surpass Walmart in total revenues, like it passed FedEx and UPS as the nation’s top package delivery service earlier this year.

But Walmart doesn’t appear ready to give up the title that easily. The venerable company posted impressive first quarter earnings, sending its stock soaring and earning kudos from market analysts. “(Walmart) connects with their customers on many levels,” says Mark Avallone, president of Potomac Wealth Advisors in a recent interview with Fox Business. “Look, they expanded in e-commerce, they expanded in private label, they know their messaging, they know their core consumer, and they don’t change it quarter-by-quarter.”

Walmart reported 6% annual growth in revenues during the first quarter, led by 21% growth in e-commerce revenues. That means they’re targeting Amazon at its own game. “This e-commerce growth that they’re experiencing started years and years ago,” says Avallone. “They made acquisitions, they made it an emphasis, and now the online advertising has boosted, and their traffic through that portal is going up.”

“Walmart is a combination of both a strong consumer…willing to spend, but (Americans) are also smart, and they see value at Walmart.”