Walmart has announced it is going to charge customers for order substitutions made when a preferred item is out of stock. Previously, Walmart had a policy where the company did not charge extra if a substituted item turned out to be more expensive than the original item ordered.
Digital sales are becoming an increasingly important part of Walmart’s business. In its latest results last month, Walmart said its digital sales had climbed 12% and 18% over a two-year period. “
"We’re becoming more digital, even more relevant as an omnichannel retailer," CEO Doug McMillon told analysts on an earnings call announcing second quarter results.
Last year, the retailer announced it had built algorithms powered by artificial intelligence to help boost Walmart shoppers’ acceptance of suggested substitutes by the company to more than 95%. The technology relies on “hundreds of variables,” including size, type brand, price, shopper data, individual customer preference, current inventory and more.