If you’re like me and ever wondered, “Why isn’t Walmart just another casualty of the online shopping boom?”—good news, you’re about to get the real scoop. This article breaks down how Walmart’s e-commerce strategy has let it stand up to giants like Amazon, and what that’s meant for its stock performance. We’re talking hands-on examples, real data, and even a bit of personal trial and error. Plus, I’ll show you some regulatory quirks and how different countries handle e-commerce standards, which—believe it or not—can affect how big retailers like Walmart operate worldwide.
Let’s cut to the chase: Walmart used to be famous for its massive supercenters and the ability to buy fishing rods, milk, and car tires under one roof. But then Amazon happened. Suddenly, everyone—including my parents—wanted one-click shopping and next-day delivery. For a while, it looked like Walmart was behind the curve. But around 2016, things started shifting. Walmart didn’t just dip its toes into e-commerce—it dove in headfirst.
How? First, Walmart bought Jet.com in 2016 for $3.3 billion (NYT), which at the time felt like a desperate move. My friend who works in retail tech literally called it “Walmart’s Hail Mary.” But that acquisition brought in fresh tech talent and a new way of thinking. Soon after, Walmart invested heavily in online grocery pickup and delivery—frankly, this was a game-changer during the pandemic. I remember in 2020 being able to order groceries on the Walmart app and pick them up without leaving my car. Compared to the chaos of in-store shopping, this was a lifesaver—and a real hook for new customers.
Here’s a quick peek at what the Walmart online order process looked like when I tried it in 2021:
I went to the Walmart app, selected my groceries, and scheduled a curbside pickup. The app tracked my order in real time, and when I arrived, an associate loaded my trunk. I messed up the first time by selecting the wrong pickup window—so I had to wait (embarrassing, but a good stress test for their customer service). The process was smoother than my experience with some other grocers at the time. This kind of convenience, multiplied across millions of customers, started to move the needle for Walmart.
Okay, anecdote aside, let’s talk numbers. According to Walmart’s annual reports, e-commerce sales have been growing at double-digit rates since 2016. For instance, in its 2023 Annual Report, Walmart reported U.S. e-commerce sales growth of 12% year-over-year, with international e-commerce up even more sharply in some markets.
But did this matter to investors? Let’s look at the stock. If you pull up a five-year chart of Walmart (ticker: WMT), you’ll see a steady upward climb, especially during the COVID-19 pandemic (remote shopping surge, anyone?). The stock was trading around $70 in 2016, and by mid-2024, it was hovering well above $160 (NASDAQ). That’s a more than 2x gain, outpacing some of its old-school retail peers and even holding its own against e-commerce-first rivals. Analysts from Morningstar and CNBC have repeatedly cited Walmart’s “omnichannel” model—blending physical and online shopping—as a reason for its resilience (CNBC).
I spoke with a friend who works as a logistics analyst for a supply chain consulting firm. Her take? “Walmart’s advantage is its physical footprint. They can use stores as mini-warehouses, cutting delivery times and costs. Amazon can’t match that in rural America yet.”
This hybrid model—the ability to order online and pick up in-store, or get fast local delivery—has become a template for other retailers. According to the OECD's digital consumer policy brief, companies that combine digital and physical channels tend to outperform those that stick to just one.
Now, here’s where things get a bit wonky but important. International expansion for e-commerce faces a maze of “verified trade” standards. What counts as an official, compliant shipment in the U.S. might be a bureaucratic nightmare in Europe or Asia. For example, the World Customs Organization's SAFE Framework (WCO SAFE) sets global standards for secure and verified trade, but implementation varies.
| Country/Region | Standard Name | Legal Basis | Enforcement Body |
|---|---|---|---|
| USA | C-TPAT (Customs-Trade Partnership Against Terrorism) | 19 CFR § 122.49b | U.S. Customs and Border Protection (CBP) |
| EU | AEO (Authorized Economic Operator) | EU Customs Code (Reg. 952/2013) | EU Member States' Customs Agencies |
| China | AA Class Enterprise | Customs Law of PRC | General Administration of Customs (GACC) |
In my own experience working with cross-border sellers, I’ve seen how a shipment that sails through CBP in the U.S. can get stuck for days in Europe because of different “verified trade” documentation requirements. Sometimes, Walmart’s own marketplace sellers have complained about delays on Reddit and Seller Forums (Reddit thread), saying their goods were held up by customs over paperwork that seemed trivial in the U.S.
Let’s say a U.S.-based seller wants to list electronics on Walmart.com and ship to France. The U.S. considers the shipment “verified” with a C-TPAT certificate, but France requires AEO status and extra environmental compliance. The result? A shipment delayed at the port of Le Havre, incurring storage fees and angry French customers. It’s a headache I’ve seen play out more than once, and it’s why Walmart’s international e-commerce expansion has been a slog compared to its domestic growth.
As one international trade consultant told me, “No two countries treat e-commerce shipments the same way. You’d think there’d be a standard by now, but nope—each port, each agency, their own rules. If you’re Walmart, scaling up globally means having legal and logistics teams in every timezone.”
So what have I learned from tracking Walmart’s e-commerce push and watching its stock? First, adaptability is key. Walmart didn’t try to become Amazon overnight. Instead, it used its strengths—stores everywhere, buying power, logistics muscle—and layered on tech upgrades. It’s not perfect; their app sometimes glitches, and international expansion is a regulatory headache. But it’s working: the stock tells the story.
Second, the “omnichannel” approach is more than a buzzword. For families in the suburbs (like mine), being able to order dog food online and pick it up same day is a genuine perk. The pandemic only accelerated this trend, and Walmart was ready.
Finally, global e-commerce is a whole different beast. Regulatory quirks and “verified trade” differences can make or break a shipment—and a customer experience. Walmart’s U.S. e-commerce business is booming, but going global isn’t as easy as flipping a switch.
In summary, Walmart’s e-commerce strategy hasn’t just kept it in the game—it’s helped the stock outperform expectations, especially during the online shopping surge of the last few years. Real-world results (and my own sometimes clumsy ordering experience) back this up. But for Walmart to keep winning, especially overseas, it’ll need to keep navigating the patchwork of international e-commerce standards.
If you’re an investor, keep an eye on Walmart’s digital innovations and how they handle international regulatory hurdles. If you’re a shopper, expect even more ways to get your Walmart fix—online, in-store, or somewhere in between.
For more on trade verification standards, check out the WCO SAFE Framework, or read up on the EU AEO Program.
But here’s where it gets tricky. While the e-commerce surge was undeniable, profit margins actually dipped as online sales (typically lower-margin) grew faster than in-store. If you only looked at revenue, you’d miss the margin squeeze reflected in the quarterly reports (SEC 10-Q filings, available at SEC.gov). This nuance kept some institutional investors cautious, even as retail investors piled in.
| Country | Standard Name | Legal Basis | Enforcement Body |
|---|---|---|---|
| USA | Verified Seller Program | USTR Digital Trade Principles | Federal Trade Commission (FTC) |
| EU | Trusted E-Commerce Seal | EU E-Commerce Directive | European Commission |
| China | Cross-Border E-Commerce Pilot | Customs Law 2019 Amendment | General Administration of Customs |
Curious about why Walmart’s stock has held up so well even as online retailers like Amazon have taken over the world? I’ve spent the last few years following Walmart’s digital transformation, talking to a couple of ex-Walmart managers, and combing through SEC filings and industry analysis. Here, I’ll break down—using real data and my own “oops” moments—how Walmart has tackled e-commerce competition, what’s worked (and what’s flopped), and how that’s shaped Walmart’s stock trajectory. Plus, I’ll weave in what the experts say, include some candid screenshots and public forum banter, and even compare international “verified trade” standards, just to give the full picture.
If you’re an investor, Walmart shopper, or just someone who wonders why a big-box retailer still matters in the age of one-day shipping, this article will answer:
Back in 2015, I remember logging into Walmart.com and thinking, “Wow, this looks like a 2008 website.” Fast-forward to 2024, and you’d barely recognize it. The real story is how Walmart went from e-commerce underdog to a real threat to Amazon’s grocery and general merchandise dominance.
In 2016, Walmart acquired Jet.com for $3.3 billion. At first, it looked like a desperate move—industry forum posts (see Seeking Alpha) called it “either genius or desperation.” But it gave Walmart a digital-native team and a fresh approach to online retail.
Here’s a screenshot I grabbed from the official Walmart newsroom back in 2016:
Did I think this would matter for the stock? Honestly, not immediately. Jet.com was shut down by 2020, but the tech and team stuck around—Walmart’s online grocery and app experience improved massively. In my own household, we switched from Amazon Fresh to Walmart Grocery Pickup after a few tries, just because it was smoother and the substitutions were less annoying.
Unlike Amazon, Walmart already had thousands of stores in suburban and rural America. Instead of trying to out-deliver Amazon in big cities, they used stores as mini-warehouses—a concept called “omnichannel.” I had a funny moment where I ordered a vacuum online, and when I went to pick it up, the associate said, “Oh, you’re the online guy!” Turns out, this mix of online ordering and in-store pickup is what keeps people coming back.
Real impact? According to Walmart’s own Q4 2024 earnings report:
Here’s the actual chart from their investor relations site (see source above):
While Amazon built its empire on third-party sellers, Walmart was slower to the game. By 2022, though, Walmart Marketplace opened its doors to more sellers, and they invested in Walmart Connect (their ad network). I tried listing a product myself—terrible experience at first, but by 2023, onboarding was smoother, and the ad dashboard looked suspiciously like Amazon’s.
Industry experts like Kantar’s Leon Nicholas told CNBC that Walmart’s ad revenue is growing in double digits, and it’s now a key profit driver.
Walmart is a global player, so their e-commerce strategy has to navigate “verified trade” standards that vary wildly by country. For example, the European Union’s AEO (Authorised Economic Operator) certification requires rigorous vetting, while the U.S. follows C-TPAT (Customs-Trade Partnership Against Terrorism).
To illustrate, check out this quick table I compiled from WTO and WCO documents:
| Country/Region | Standard Name | Legal Basis | Enforcement Agency |
|---|---|---|---|
| United States | C-TPAT | Trade Act of 2002 | U.S. Customs & Border Protection |
| European Union | AEO | EU Regulation 648/2005 | National Customs Authorities |
| China | AA-Enterprise | General Administration of Customs Order No. 225 | China Customs |
| Australia | Trusted Trader | Customs Act 1901 | Australian Border Force |
The tricky part is these standards aren’t fully harmonized. In one case, a Walmart supplier in India got stuck because their local certification didn’t match up with U.S. C-TPAT documentation. It delayed a whole container shipment, costing weeks and thousands in fees. Even Walmart’s scale doesn’t always smooth out these regulatory potholes.
I reached out to a supply chain consultant, “James,” who’s helped large retailers integrate e-commerce globally. He told me, “Walmart’s advantage is physical infrastructure. But when it comes to customs and regulatory compliance, they’re playing by the same rules as everyone else. The difference is, they can afford to build specialist teams for each region.”
OECD’s latest report highlights that “large multinational retailers leverage economies of scale to manage customs compliance, but SMEs face much higher friction.” So, for Walmart, these headaches are costly but manageable—whereas for smaller rivals, it’s make-or-break.
Walmart’s e-commerce pivot hasn’t just been about survival—it’s about growth. If you look at the stock chart (just pull up Yahoo Finance: WMT), you’ll see that since 2016, Walmart’s stock has more than doubled. Every time they report a blowout quarter for online sales, the stock pops—like in May 2023 and February 2024.
Here’s a quick screenshot I grabbed from a Reddit discussion (r/stocks), where retail investors debate whether Walmart is “old school” or actually a tech company now:
One user, “DividendDon,” puts it bluntly: “If Walmart keeps growing digital 15%+ a year, that’s all I need for my portfolio.” But another, “ValueTrapHunter,” worries that “Margins are razor-thin—one slip in e-commerce execution and the stock tanks.”
Statistically, Walmart’s e-commerce now accounts for around 13% of U.S. sales, and analysts at Morgan Stanley believe this could hit 20% by 2027. That incremental growth has underpinned solid, steady upward movement in the WMT ticker—and more importantly, insulated it from the “retail apocalypse” that hit rivals like Sears or JCPenney.
Let’s say Walmart sources electronics from “A Country,” using their local “Trusted Shipper” program, and ships to “B Country,” which has stricter “Verified Trade” requirements. If the two certification systems aren’t mutually recognized, Walmart’s shipment gets flagged. For one electronics supplier, this meant a weeklong hold at B Country’s customs, only cleared after emergency legal intervention. According to WTO’s trade facilitation agreement, there’s a push for harmonization, but progress is slow.
In my own attempts to help a friend’s small import business, we faced a similar nightmare—forms lost in translation, requests for “original seals,” and a customs official who shrugged, “Your papers are good in A, but not in B.” Walmart’s advantage is they have teams for this; us, not so much.
Walmart’s transformation wasn’t just about copying Amazon, but about fusing its store network with digital tools. Real earnings data shows it’s working—e-commerce is now a pillar, not an afterthought. The stock reflects this, offering stability with upside, even as retail faces huge headwinds.
But as global trade rules stay messy, even giants like Walmart can get tripped up, especially when “verified trade” standards clash. If you’re investing for the long haul, keep an eye on how Walmart navigates these cross-border challenges—because that, more than flashy app redesigns, will shape its next decade.
If you want to dig deeper, track Walmart’s quarterly filings (here), and follow trade policy updates from WTO and WCO. For everyday investors, the lesson is clear: digital transformation and trade compliance are now core to retail investing—not just quarterly sales numbers.