Walmart's grocery price reinvestment (2018-2021)
Walmart plowed billions into lowering grocery prices for years, accepting thinner margins to win traffic and market share from grocers and Amazon.
Margins dipped as the chain passed savings to shoppers.
Traffic and scale grew, and profits recovered as volume rose.
It is the same trade-margin-for-traffic play Target is running now, and it shows the bet can pay off if volume follows price.
