Kathryn McRae, president and CEO of Walmart International, said:
Rising living costs due to inflation continue to put pressure on workers’ salaries.
But Walmart International’s new CEO, Kathryn McRae, wants to help people in the 18 countries it serves buy better products while also increasing the division’s revenue over the next five years. We aim to double the amount.
“We operate in a harsh inflationary environment, but Walmart’s purpose is to save people money every day,” McCray said. luckEllie Austin speaking at luckThe Most Powerful Women Summit will be held Tuesday in Laguna Niguel, California. “This is a time where we can be even more involved in the lives of our consumers.”
McRae, who previously served as CEO of Sam’s Club, has a big job ahead of him at Walmart International. His predecessor, Judith McKenna, who announced his departure in August, cut Walmart International’s revenue by 21% from 2020 to 2022, in part due to strategic exits from markets such as Japan and Argentina. At the same time, McKenna also pledged to double Walmart International’s total retail sales to $200 billion within five years.
“It’s great to be taking over from a strong female leader. Judith has done a phenomenal job of thoroughly reviewing and strengthening our portfolio and being clear on the markets we want to play in. They gave it to me,” McCray said. Mr. McRae said Mr. McKenna set very ambitious sales goals, but also noted that the goals were set by individual teams at Walmart International.
Despite the inflationary environment, Mr. McRae is confident that these goals can be achieved. “So I think they have strength and merit and we don’t need to turn our backs on them.”
McRae already has a solid track record at Sam’s Club. According to Reuters, the wholesale chain had previously underperformed compared to competitors such as Costco, closing 63 stores in 2018, but it had closed 63 stores in the past nine quarters until McCray’s appointment was announced in August. Compared to the previous year, sales had recorded positive growth. Part of this turnaround came from deep research into the brand’s consumers and their needs through social media.
“I was hungry for information, so I went on Facebook, Instagram, Reddit, all these social media forums and started reading what consumers were saying about our company,” McCray says. “That data brought immediacy within the organization, focused solely on our members, and held them accountable for actually solving problems. It was a bit of a revolution in our culture.”
