Walmart vs Small Local Vendors:

American Express Casestudy

Walmart is a major global retail corporation founded in
1962 by Sam Walton.
It offers a wide range of retail formats, from supercenters
to warehouse clubs. With a significant international
presence, it adapts its operations to suit local markets. In
recent years, Walmart has heavily invested in
e-commerce, operating Walmart.com and acquiring
companies like Flipkart.
Local vendors

1.Small local vendors are often locally owned, independent businesses that serve their
communities. They may have unique products and a strong connection with their
customers. These vendors are vulnerable to competition from larger retailers like
Walmart due to their inability to match the pricing and supply chain capabilities.

2.Local vendors contribute to the local economy by providing jobs and often unique
products and services. Their success is integral to the vitality of neighborhoods.

3.Many local vendors have struggled to survive when large corporations like Walmart
set up shop nearby.
 American Express and
"Small Business Saturday"
Campaign
● American Express launched the "Small Business Saturday" campaign
support local vendors during tough economic times.
● The campaign offered $25 credits to cardholders who shopped at
small businesses on specific days and provided $100 in Facebook
advertising credits to help small businesses with digital marketing.
● The initiative gained significant public support, including a
unanimous resolution from the U.S. Senate and endorsement from
then-President Barack Obama.
● American Express acted as a mediator and supporter, helping small
businesses compete against larger corporations like Walmart by
encouraging consumers to shop locally.
Concept in the video

● This episode discusses the story of a legendary brand that leveraged

kindness and empathy to make a billion dollars. It emphasizes that
kindness and empathy are valuable attributes for designing
effective marketing strategies in the 21st century. The episode then
takes us back to 2010 when Walmart thrived during the recession,
significantly impacting small businesses with what is known as the
"Walmart effect." Walmart's ability to offer products at much lower
prices led to the closure of numerous small businesses.
Concept

● However, American Express stepped up to support small

businesses during the recession with a successful campaign
called "Small Business Saturday." They offered $25 credit to
cardholders who shopped at small businesses on a Saturday
after Thanksgiving, along with $100 in Facebook advertising
credits to small businesses. The campaign gained support
from the U.S. Senate and even President Barack Obama,
showcasing the power of corporate support for small
businesses during tough economic times.
Thank you