Before the public flogging of former Wal-Mart advertising head Julie Roehm gets underway (just kidding), it makes sense to take a step back and look at the overall larger picture of what Wal-Mart is going though internally. The mega-retailer is trying to do something to stop what appears to be consistently sliding store sales, as more and more customers visit the competition. At least Wal-Mart Stores, Inc. (NYSE:WMT) continues to attract its core shopper group -- but it really needs more than that to thrive.Wal-Mart is like the Titanic -- and I don't mean that in a bad or ironic way. The comparison comes due to the fact Wal-Mart is *so* large that it cannot just simply turn around or change directions on a dime -- far from it. Any new merchandising or advertising strategy for a company the size of Wal-Mart is a monumental.
Yet, Roehm was on the job for less than a year before being let go along with another Wal-Mart marketing exec. Did they get enough time to make an impact? Who knows -- and perhaps the ad agency change Roehm made was the impetus that led to her being shown the door. But turnarounds take years sometimes -- they don't happen overnight.
Roehm's departures comes as the giant retailer reported a same-store sales decrease of 0.5% in November and has warned that holiday sales will disappoint, due in part to "continued challenges in the apparel and home business," according to Wal-Mart CFO Tom Schoewe. Can Wal-Mart really turn itself from a cheaper-than-thou discounter to anything else, ever? That's one huge burrito of a question.
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Reader Comments (Page 1 of 1)
12-07-2006 @ 4:05PM
Thad De Groot said...
Really who cares about WalMart...except the stockholders...the company is so blue collar and staid; even blue collars don't shop there anymore...
12-07-2006 @ 4:27PM
Biily F. Martin said...
I was in the Target store in Longview,Tex at 9:30 am this morning. I then went to the Wal-Mart store on the East Loop 281 around 10:15am. There were twice as many people in the Wal-mart store and they appeared to be from all income levels. Maybe thats not the norm-I don't know but thats how it was in Longview, Tex. this morning.FYI
Billy Martin Henderson,Tex
12-07-2006 @ 4:42PM
Jerry Bluhm said...
Wal-Mart needs to do what they do best, and that is to bring the best wanted merchandise at the very best price, and in the quanities the consumer expect. The company does not need to suck up to those who want it to be a Targets, or to unions and politicians who really just want to cash in on Wal-Mart's sucess. Wal-Mart needs to not forget who their customers are and that is families who shop their stores. If Wal-Mart chases after what seems to be politically correct in this country and accept what ever comes down the road then they will be in trouble. Stick to what has made you great Wal_Mart and forget your enemies, and take care of those who have helped to make you the greatest retailer in the world.
12-07-2006 @ 4:29PM
W Sheridan said...
Wal-Mart is not so secretly reducing its expansion investment inUSA while expanding in China and elsewhere in Asia. In slowly de Capitalisting America, they can expect more and more attacks and unfair - selective laws to restrict their succes. Who needs it whan 1.4 Billion Chinese love them.
12-07-2006 @ 7:54PM
Mary said...
Thank you Jerry Bluhm, I couldn't have said it better. You are exactly right and it is a great company.
12-07-2006 @ 8:59PM
walmart associate said...
Thank you Jerry Bluhm.....Stick to what has made you great Wal_Mart and forget your enemies, and take care of those who have helped to make you the greatest retailer in the world.
couldnt have said it any better call 1 800 walmart and tell them this
12-08-2006 @ 7:54AM
Jack Schneider said...
It is time to clean house a new management team from top to bottom would certainly help??? FRESH BLOOD???
12-12-2006 @ 2:14AM
paola vesely said...
The greatest retailer in the world, Mr. Bluhm, is also one of the most greedy and underhanded as well. So would say the thousands of U.S. men and women who have broken their backs, literally, for the company and have little or no say within. Forget about being vested...thousands upon thousands of Wally World employees can't even afford the health insurance this fantastical retail giant offers
Coming from a former employee of 2 years, believe me....they'll either pack up and move to China for good or the union's will get 'em. You can only have your cake and eat it too for so long....!!!