Walmart+ subscriptions have been lagging. Consumers have been complaining about the high prices at fast food restaurants. Do those two facts have anything in common?
Executives at Walmart have reportedly found a link. The Wall Street Journal reports that the retail giant will offer discounts at Burger King to people who subscribe to Walmart+.
Currently, Walmart+ members get free shipping on purchases and free access to Paramount+ at a full membership price of $98 a year. The Journal quotes Walmart executives as saying member perks will now extend to the burger chain.
Now, Walmart+ members will get a 25% discount on digital orders at Burger King. Starting in September, the member perks will include a free Whopper every three months when they buy something else at Burger King.
According to the Journal, Walmart data show that Walmart+ members spend a lot of money at fast food restaurants – significantly more than the overall population. The data also show that among members, Burger King ranks as a favorite fast food restaurant.
Will the combination work? Walmart will know if the retention rates for Walmart+ start to improve.
As inflation has increased, the subscription model has been under pressure, as many consumers look for ways to cut spending or decline to keep the subscription beyond the free trial.