Dive Brief:
- Walmart’s emphasis on convenience, particularly when it comes to delivery speeds, is paying off with growth in e-commerce and Walmart+ and Sam’s Club memberships, executives said on a Q4 2025 earnings call Thursday.
- The retailer now offers same-day delivery for 93% of U.S. households, according to EVP and CFO John David Rainey. More than 30% of orders in the quarter came from customers and members who chose to pay a convenience fee to receive their delivery in three hours or less.
- Sam's Club membership and renewal rates reached all-time highs during the quarter, according to Chris Nicholas, president and CEO of Sam's Club. He credited the growth to investments in the member value proposition and higher associate wages, which helped cut turnover rates by 17%.
Dive Insight:
Walmart is making speed and convenience an essential element in the Walmart+ value proposition.
Membership income across the enterprise grew 16% year over year in the fourth quarter, according to Rainey. Global e-commerce sales were up 16%, powered by store-fulfilled pickup and delivery and the U.S. marketplace, and net sales were up 4% to $178.8 billion, according to a company earnings release.
“We're strengthening our ability to serve people how they want to be served in the moment,” Doug McMillon, president and CEO of Walmart, said during the call. “That's what's driving our growth. Our prices are low and we're becoming more convenient.”
The number of deliveries made in under three hours and under one hour grew 180% year over year, according to John Furner, president and CEO of Walmart U.S. He believes the growth is a sign that Walmart+ members in particular see the value in speedy service.
Another recent development is the launch of same-day pharmacy delivery, which received a “strong” early reception, according to McMillon.
Sam’s Club has been particularly focused on convenient experiences. The warehouse club’s store of the future includes amenities designed to improve in-store shopping while speeding up online delivery.
Sam’s Club earned the highest satisfaction among general merchandise retailers in an American Customer Satisfaction Index study released last month. Its checkout experience remained a competitive strength even as overall satisfaction with general merchandise retailers grew, according to Forrest Morgeson, assistant professor of marketing at Michigan State University and director of research emeritus at ACSI.
“We're investing across the member value proposition, and it's really paying dividends and making it easier through digital engagement, making it easier through the member experience we're creating to buy everything you want, whether it's groceries, whether it's consumables, whether it's general merchandise or apparel,” Nicholas said during the call. “We see it all resonating.”
