Walmart is taking ecommerce offline at its 2M stores in the United States and Canada, the company announced Thursday.
Walmart said it will temporarily suspend the use of its online ordering platform at the stores after the company received feedback from customers that they weren’t happy with the new ecommerce option, called Walmart Pay, which they were able to use to order goods online.
“We want our customers to be able to order from Walmart directly, regardless of where they live,” Walmart said in a statement.
“We are committed to giving them the tools they need to shop anywhere.”
Walton said it is “working diligently to address the feedback we received from our customers” and will provide a second update on the ecommerce site “in due course.”
The move comes as Walmart continues to struggle with a $1.8 billion cash-and-carryout acquisition by Wal-Mart Stores Inc., and as the company tries to attract more ecommerce customers, especially online, as it moves into an increasingly digital era.
The company said it received 1.1 million new online orders in the first six months of the year, which has helped it cut its retail sales growth by a third from the previous year, to $2.9 billion.
It also said its online sales grew at a faster rate than its retail business.
While the move to a digital storefront will mean that customers won’t be able access the company’s popular online shopping platform, Walmart Pay has some advantages, such as faster shipping times, and is designed for shoppers to use it to make purchases at home, the retailer said.
Walmart said the move will not affect any of its stores, including its 3M stores, which it opened in July, and its Sears and Kmart stores, both of which opened in November.
Read more at walmart,walgreens,grocery store chain,pay-per-item,p2p source CBS Sports title Walmart Pay: 2M customers unhappy, says online retailer article Walmart Pay is an online platform that allows customers to buy goods online and receive them within a day or two, on the spot.
Some customers, including those who want to order items online but aren’t able to find a store near them, complain about being locked out of the shopping experience.
Walmart has struggled to make money off its Pay platform, which lets customers purchase items for $10 or $25 using cash or debit cards.
Last week, Walmart filed for Chapter 11 bankruptcy protection, meaning the company will have to pay off debts it has racked up over the years.
Shares of Wal-mart have been plummeting over the past year, with the stock down 6 percent this year.
Walmart Pay is the first step in Walmart’s plan to create an ecommerce platform that can be used by both small businesses and large retailers.
It will be the company\’s first attempt to offer this kind of payment option for its customers, as the e-commerce giant has struggled with growing online traffic, competition from rivals such as Amazon.com Inc., eBay Inc., Wal-Marts and other large retailers, and concerns about its ability to compete with e-tailers such as eBay.
E-commerce is projected to account for roughly 9 percent of Walmart\’s total sales in 2020, according to the company.
Wal-Mart is planning to open 2 million stores in 2018, according the company, and it has said it expects the number to grow to 3 million by 2020.
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