BENTONVILLE, Ark. — Seeking to reverse seven straight quarters of same-store-sales declines at its U.S. namesake chain, Wal-Mart said Monday it’s expanding the number of items on its shelves, launching TV advertising and working with its suppliers to lower costs.
The retail giant, which was hurt by a previous strategy to narrow its product assortment, said it’s adding about 8,500 items, or 11 percent, to an average store.
Fishing supplies, crafts and fabric are among items being added back to store shelves, Wal-Mart U.S. chief merchandising officer Duncan Mac Naughton said, adding that the company is tailoring some merchandise to local demand, such as selling ice-fishing tools in Minnesota.
To make room for more items, Wal-Mart U.S. is raising the height of its shelves and bringing back what it calls “action alleys” — or products in the center of busy aisles — which the company said has boosted comparable sales. Previously, the retailer had embarked on a remodeling campaign to lower shelf heights and declutter its aisles to make its stores more appealing to higher-income shoppers.
The company is now pitching its stores as a one-stop shop at a time when its low-income shoppers are facing rising prices for gasoline, food and possibly apparel, analysts said.
Meanwhile, Wal-Mart has lost traction to its smaller rival Target and to dollar-store chains such as Dollar General and Family Dollar Stores, the analysts said.
