Wal-Mart is offering free shipping with no minimum on all online orders to compete with Amazon's ''Prime Day.'' Fred Katayama reports.
Wal-Mart is trying to beat Amazon to the punch. It just kicked off a five-day period of free shipping with no minimum on all online orders. The offer starts one day before Amazon's "Prime Day," a highly-publicized sales event for members of Amazon Prime - a $99-a-year free shipping and digital content service. Prime Day is crucial to Amazon because it generated more sales on that day last year than on Black Friday, the kick off day for the holiday shopping season. Now Wal-Mart wants a piece of that. It's discounting everything from TVs to clothes to furniture. It's trying to keep its customers from straying and attract new shoppers to its online platform and its $49-a-year ShippingPass program. But retail analyst Trae Bodge is skeptical. (SOUNDBITE VIA SKYPE) TRAE BODGE, RETAIL ANALYST, TRAEBODGE.COM, (ENGLISH) SAYING: "If you are comparing apples to apples, Amazon Prime actually comes out on top. So, my guess is, going against Amazon Prime on Amazon Prime Day is not a great business move for Wal-Mart." Wal-Mart's latest offensive is part of its broader strategy to strengthen its e-commerce business at a time when its online sales growth is slowing.