Walmart.com just partnered with the kids’ clothing subscription service KIDBOX to launch a new product: Walmart KIDBOX stylebox. For $48, parents will get a box of four to five clothing items from name brands from the Walmart.com fashion assortment, which includes brands like Betsey Johnson, Levi’s, and The Children’s Place. The clothes are for newborns to kids in their early teens. If the family keeps every item in the box, they will save about 50% on the retail cost of those clothes.
This is just the latest way that Walmart is trying to compete with e-commerce players. In 2017, Walmart acquired Bonobos and Modcloth, two digitally native fashion brands. And the year before that, it purchased Jet.com, an online retailer that competes with Amazon. These were all efforts to reach beyond Walmart’s core consumer, who lives in the middle of the country, and expand to urban, millennial consumers.
Well, those urban millennials now have kids. And many are choosing to shop through online subscription services. This approach makes sense. Kids grow quickly, and parents spend a lot of time keeping up with them. With a service like KIDBOX, algorithms together with personal stylists help curate the boxes, to make them tailored to a child’s taste. Then, the boxes come every month, ensuring the parent saves time shopping.
The pricing of the box is reasonable, but not cheap. In other words, parents will be paying more for convenience than for value, especially compared with shopping from Walmart stores. This is another way that Walmart is rebranding itself as a company that caters to a wide range of consumers, including those who want an easy, digitally forward experience.