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Walmart Launches Scenario Fashion Brand to Compete With Amazon

Wall Street Journal US Business •
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Walmart is launching a new women's clothing and accessories brand called Scenario, with most items priced under $25, as part of its latest push to become a fashion destination for younger, trendier shoppers. The move comes after the retailer reported its weakest quarterly comparable sales growth in over six years and aims to reclaim ground lost to Amazon in apparel sales. While Walmart's clothing sales have grown for seven consecutive quarters and it is gaining market share from department stores, Amazon is growing its overall apparel share faster, according to third-party data.

The Scenario line includes hundreds of items such as embroidered blouses, pintuck denim shirts, and faux leather bags. It will replace shelf space previously occupied by Time and Tru, Walmart's existing women's brand that does over $2 billion in annual sales but appeals mainly to shoppers aged 55 and older. Time and Tru will continue with a reduced selection of core basics.

The fashion initiative has been championed since 2021 by Denise Incandela, executive vice president of fashion for Walmart U.S., who previously worked at Saks Fifth Avenue and Ralph Lauren. Her strategy was sparked by data showing 80% of existing Walmart shoppers' apparel spending went to higher-priced retailers. The effort began nearly a decade ago at Walmart's Bentonville, Ark. headquarters, where Incandela convinced leadership, including then-CEO Doug McMillon, that Walmart could capture more of its customers' clothing budgets.