Australia’s largest retailer to stop online sales in 2018
Australia’s biggest retailer, Walmart, will stop online sale of some products, including its ecommerce platform, in 2018.
Read moreRead moreThe company has confirmed that its online sales will be limited to a “few” products, and will continue to operate on an ecommerce-only basis.
Walmart confirmed it has “suspended” online sales of its Walmart Pay and Walmart Rewards programmes, which allow consumers to pay online, and said it will no longer offer any other ecommerce platforms.
It said the “restrictions” on online sales were in place because of “changes in customer behaviour and the changes to the business model”.
The move comes as retailers in Australia continue to see the popularity of ecommerce and social media growth soar.
Last year, online retail accounted for $8.4 billion in revenue in Australia, according to the Australian Institute of Commerce.
While the number of Australians who are using online shopping platforms has increased over the last five years, the proportion of Australians shopping on ecommerce sites has dropped from 60 per cent in 2012 to 35 per cent today.
While some retailers are continuing to grow their online sales, others are struggling to keep up.
In 2016, online sales rose by just 1.5 per cent year-on-year, according the Australian Retailers Association (AROA).
In a separate announcement last week, Walmart said it would stop selling its Walmart Flex ecommerce product in Australia from November next year, due to changes in customer behaviours and its eCommerce business model.
WalMart said the company will now focus on its “core” ecommerce business and its “strong and reliable business”.
The company also announced a new partnership with the Australian Government to “develop a new and more sustainable business model for Australia’s retail sector”, as it said the move was aimed at creating more jobs.Read Next