Walmart’s top executives said Wednesday consumer behavior could be tougher to predict next yr as financial strain pushes customers to be more cautious about spending their dollars.
The retail bellwether saw “anomalous form of behavior” from customers which “made us sit up in our chair” concerning the health of the patron and what the purchasing behavior was, Chief Financial Officer John David Rainey said on the Morgan Stanley Global Consumer & Retail Conference.
About spending within the last two weeks of October being off trend in comparison with prior months, Rainey said it was “puzzling,” however the retailer didn’t intend to be “alarmist” in any way.
Walmart’s stock had dropped 8% on Nov. 16 when the corporate first hinted at October spending during its quarterly earnings.
Rainey on the conference also added that there may be nothing “about what now we have seen in the patron” and deflationary pricing that makes the retailer rethink its long-term plans.
Walmart saw “anomalous form of behavior” from customers which “made us sit up in our chair” concerning the health of the patron and what the purchasing behavior was, Chief Financial Officer John David Rainey said. AP
CEO Doug McMillon in said rising bank card balances and dwindling household bank accounts do raise questions on how much consumers could be spending. REUTERS
Earlier on Wednesday, CEO Doug McMillon in an interview with CNBC said rising bank card balances and dwindling household bank accounts do raise questions on how much consumers could be spending.
Last month, Walmart had said that US consumers were acting more cautious with spending through the holiday season.
But data on Thanksgiving weekend showed that deep discounts on every little thing from beauty products and toys to electronics lured shoppers to spend bringing a relief to apprehensive retailers.
