Walmart will increase its investment in Mexico and Central America in 2021

During 2021 Walmart de México y Centroamérica plans to invest 22 thousand 200 million pesos, which will represent an increase of 32.99 percent, compared to last year.

During Walmart Day, Guilherme Loureiro, executive president of the company for the region, pointed out that During 2020, the largest supermarket chain in Mexico invested 16.7 billion pesos, a drop of 18.7 percent, compared to 2019.

For this year’s investments, 40 percent of the investments will be focused on existing stores; 25 percent in logistics and new stores, respectively; and 10 percent in electronic commerce and technology.

« The level of investment and the transformation of the way of working gives us confidence that we will continue to grow. Our growth profile will continue to evolve. In the past we focused on growing through new stores; is. New strategy is going to celebrate growth and we believe that we can double the business, ”said Guilherme Loureiro.

He explained that the company has several projects on the horizon and that they still have a way to go; noted that in addition to investing directly in concepts, have also made capital injections in technology from other countries where the company operates.

He pointed out that the company will have an important bet to win the discount category, which in Mexico he affirmed is great and offers space to continue growing, through the formalization of the market.

« We have a boost thanks to Bodega, which today is the largest retail in Mexico by itself. We want to continue reinforcing the perishables proposal, fundamental in the purchase decision for Bodega customers; for this we have proposed or the centralization of butchers and perishables ”, he indicated.

In this proposal, Loureiro said that it is necessary to deepen its value proposition and for this reason, it will work so that its own brands become more relevant, which is expected to increase 300 basis points in the next three years.

“We are fortunate to operate a business that allowed us to be even closer to customers. This evolution accelerated the implementation of the strategy and led us to rethink long-term projects, ”he said.

The manager pointed out that 2020 was an unprecedented year that marked a before and after for various industries, including that of the self-service sector and that changed the idea in which customers buy and interact.

“We have not stopped investing, innovating, growing and generating returns. We have demonstrated resilience and the ability to innovate and deliver results. We have built the foundations of a strong and future-proof business. We are building a relevant omnichannel business and we are prepared to continue growing ”, he added.

At the moment the company has six Walmart Express stores, the brand that will replace the Superama format. These two are new and four conversions.

“The results have been positive, especially in the new stores. Customers appreciate and recognize the low prices of this new proposal and the differentiated catalog ”, said Cristian Barrientos, COO of the company.

He indicated that the company will continue to reinforce this format that they launched last year and that later the application of this concept will be merged with that of Walmart, with which customers will be able to access products that are not currently available in Superama.

“We managed to grow up in the last five years. We believe that we will be able to double our business again but this time in less than ten years. Our strategy uses our resource more ”, said Guilherme Loureiro.

For his part, Ignacio Caride, director of e-Commerce for Walmart, said that the company’s vision will be to promote its own developments in digital commerce.

“It is key to maintain the connection with customers; By participating in third-party platforms, we lost that connection. We want to build in the long term and we want to know what our clients are doing. We have no interest in sharing this with other platforms or services. It allows us to have greater efficiencies and profitability that we can pass on to clients, when third-party platforms end up having surcharges of up to 30 percent. For us it is more important to be an owner ”, he concluded.