Walmart is slashing its prices in an effort to unload its excess inventory.
The retailer previously stocked up on certain goods when the pandemic kicked off. Like most stores, Walmart was trying to keep up with the stay-at-home shopping demand, stocking up on casual clothes, goods for home offices, and exercise equipment. However, as the world re-opened, Walmart found that people do not have as much use for these items. Now, the company will begin discounting many of these goods in the upcoming weeks.
“The increasing levels of food and fuel inflation are affecting how customers spend,” said Walmart CEO Doug McMillon in a statement Monday. The company anticipates that consumer spending on general products will slow down in the second half of the year.
Walmart is not the only store having to place items on clearance to clear out their stores. Target recently revealed that they’d had to cancel orders and add more markdowns throughout stores on items such as household appliances and bikes that were a popular buy during the pandemic.
For other companies, the situation is much more dire than a few deals. Video game retailer GameStop and e-commerce company Shopify have been forced to lay off staff due to low sales post-pandemic.
While these markdowns may not be good news for stores, they are a welcome relief to parents gearing up to send their children back to school and people in need of home goods. As of now, there is no expected date when the Walmart price slash will occur, though it appears that it will be a gradual process varying from store to store.