Forget McDonald’s: Walmart gets trendy new fast-food partner
According to The Street, Whether you prefer shopping in person or online, it’s likely you’ve recently visited a superstore for some essentials. Whether it’s back-to-school supplies, electronics, pet products, workout gear, affordable groceries, or specialty items, the range of needs drives many to superstores.
A growing number of Americans are becoming more price-conscious, often choosing stores with better pricing even if it means traveling a bit farther or stepping outside their usual shopping comfort zone. This shift is partly why Walmart (WMT) has seen notable financial success in 2024.
Walmart’s Strong Performance in 2024
Walmart reported its fiscal Q1 2025 earnings in May, revealing a stronger-than-expected performance across its major categories. The retail giant experienced a 5.7% increase in sales and a 12.9% rise in adjusted operating profit, thanks in part to its price-rollback program.
Also read: Another major retail chain may soon file Chapter 11 bankruptcy
Chief Executive Doug McMillon attributed this success to Walmart’s efforts to lower food prices to pre-inflation levels. “Our results were stronger than we anticipated,” McMillon noted during the earnings call. “All three operating segments performed well.”
Walmart’s Store Overhaul
In addition to its pricing strategy, Walmart is undergoing a significant overhaul to enhance the shopping experience. The company plans to invest at least $9 billion over several years to refresh at least 1,400 stores. The upgrades aim to make Walmart stores cleaner, more navigable, and more appealing.
Some of the changes include:
- Updated store interiors and exteriors
- New paint, signage, and shopping carts
- More spacious and navigable aisles
- Redesigned checkout areas
- Expanded and centrally located pharmacies
- Refreshed vision centers with designer eyewear
- Interactive displays featuring home designs, bedding, and furniture
- Digital displays for product information
- Enhanced pickup-and-delivery spaces
- Seasonal items in the dollar shop
- A new Grab & Go section with fresh meals and drinks
Enhancing In-Store Food Offerings
Walmart is also updating its in-store food options to attract new customers. While many locations have featured fast-food options from chains like McDonald’s, Subway, and Taco Bell, Walmart is now focusing on fresh and specialty food offerings.
Recently, Walmart announced a partnership with Knuckies Hoagies, a chain from Milton, Ga., known for its specialty sandwiches and cheesesteaks. This partnership also includes the opportunity for franchisees to open Alumni Cookie Dough spots in Walmart locations. Knuckies, which was founded in 2019, made QSR’s 40/40 list in 2023 for being one of the most popular restaurants in the U.S. with fewer than 40 locations. Currently, it has 14 shops in Walmart across six states: Georgia, South Carolina, North Carolina, Tennessee, Oklahoma, and Texas.
Also read: Disney+ and Hulu subscriptions are getting more expensive
Additionally, Walmart expanded its food offerings earlier in 2024, partnering with Mr. Gatti’s Pizza in over 90 stores and extending its collaboration with Uncle Sharkii’s Poke starting in January.
Through these changes, Walmart is not only enhancing its store environment but also diversifying its food offerings to better meet customer needs and preferences.
