Rising prices, new tariffs on imported goods, and talk of a possible recession have many Americans wondering how to keep everyday costs under control. And while big retailers across the country are also feeling the pressure, finance experts are claiming Walmart may be one of the few stores that could escape the biggest impacts of these changing times.
Of course, Walmart's stock, just like countless other companies, dropped 6% in the wake of President Trump's new global tariffs announcement last week. But what really matters, experts say, is what's happening behind the scenes at the largest retailer in the world. With 10,623 stores and 380 distribution facilities in 27 countries, Walmart's business strategy is more tariff-proof than competitors, which means that it can keep prices low for you. Here's how Walmart is doing it.
RELATED: 6 Walmart Shopping Secrets From Reddit
Walmart's Groceries Game Is Strong
While Walmart is known for having significant discounts on everyday items, it's the retailer's grocery section that really rakes in the big bucks. In fact, Walmart is the largest grocer in America, with nearly 60% of its revenue in 2024 coming from in-store and online grocery purchases—amounting to an estimated $58.92 billion, reports the Wall Street Journal.
This means that Walmart has a stronger hand than competitors like Amazon, which credited only 3% of its revenue in 2024 to grocery sales at Whole Foods Market locations. (Amazon's stock also dropped since last week by 9%.)
To keep its operations steady, Walmart is reinvesting profits to keep grocery prices low and competitive for shoppers.
So, if you're looking to tighten up your spending, it might benefit you to look to Walmart to purchase your essential groceries and household items.
Walmart+ Could Save You More Money
Another reason why finance pros say Walmart is in good standing is its popular Walmart+ membership program. For $12.95 a month ($98 a year), you can get free same-day grocery delivery on orders over $35, free shipping on other items, gas discounts, and even a Paramount+ streaming subscription.
If this sounds familiar to Amazon Prime's membership, you're right. And it's working wonders for the company.
In fact, Walmart's Chief Growth Officer Seth Dallaire told CNBC that Walmart+ members are their most frequent shoppers, buying items twice as often and spending three times as much as others who don't have the membership.
Their loyalty accounted for nearly 50% of all online spending on Walmart.com and the Walmart app in the last fiscal year.
Plus, shoppers who use Walmart+ Assist, a discount version of the membership for those receiving government aid, can get all the perks of membership at half the cost.
Not only is this helping the retailer weather uncertain financial times, but it can potentially help you shave a few dollars off your essential purchases.
RELATED: 4 Ways to Get Things for Free at Walmart
Walmart Is Negotiating on Prices
While no company is immune to the various factors that are making it more expensive to do business, Walmart is doing what it can to keep shoppers on its good side.
The retail giant has been preparing for the tariff crunch by boosting its inventories and negotiating with suppliers to share rising costs, CNBC reports. And before the tariffs were announced, Walmart said it expected its 2025 net sales to grow 3% to 4%.
Finally, it's trying what it can at the store level to keep you coming back for more shopping. On April 28, Walmart is launching a special event called "Walmart+ Week" to offer even more discounts to Walmart+ members. What will be up for grabs? Lower prices on gas and free sandwiches from Burger King.
All of this adds up to Walmart having a solid strategy to face what comes next this year, while keeping your wallet happy.
