Wal-Mart saves $27mn from changes to plastic bags and receipts

By Pouyan Broukhim

Wal-Mart has revealed that it has saved a $20mn from making small changes to its plastic bags, whilst also saving $7mn by shortening the length of its receipts.

"A simple change to our plastic bags at Walmart U.S. resulted in an annualized savings of approximately $20 million," said Brett Briggs, Chief Financial Officer of Wal-Mart. "A decision to shorten the length of the receipts, saved over $7 million."

See also:

The move is part of the retailers overriding strategy of reducing its costs in order to offer lower prices to consumers and obtain more of the market, with grocery retailers competing on this front more than ever before.

The news comes in the same week as the firm announcing that it will be buying back a further $20mn in public shares, something that many firms such as Apple and Microsoft have done with their profits in recent times.

The savings will also help Wal-Mart with the firm having spent billions on both cleaning up its instore experience and expanding its online presence.

"When you are building out an online business, you are building a second business," said Charlie O'Shea, a Moody’s analyst, speaking to CNBC.

"You are going to start to see those two businesses converge and I think you will be able to shake expenses out of the system and I think Wal-Mart is in the early stages of that."

The double announcement saw Wal-Mart’s shares rise as much as 4.5%.


Featured Articles

Amelia DeLuca, CSO at Delta Air Lines on Female Leadership

Driving decarbonisation at Delta Air Lines, Chief Sustainability Officer Amelia DeLuca discusses the rise of the CSO and value of more women in leadership

Liz Elting – Driving Equality & Building Billion-$ Business

Founder and CEO Liz Elting Turned Her Passion into Purpose and Created a Billion-Dollar Business While Fighting for Workplace Equality – and Winning

JPMorgan Chase: Committed to supporting the next generation

JPMorgan has unveiled a host of new and expanded philanthropic activities totalling US$3.5 million to support the development of apprenticeship programmes

How efficient digital ecosystems became business critical

Technology & AI

Mastercard: Supporting clients at a time of rapid evolution

Digital Strategy

Why Ceridian has boldly rebranded to Dayforce

Human Capital