Source: Fortune
Summary
Christina Zhu, head of Walmart’s China business, highlighted the evolution of Chinese consumers, who now have more choices and higher expectations. Walmart has grown in China despite a broader consumption slump, with sales rising 19.3% in the past fiscal year. Sam’s Club, which serves upper-middle-class families, contributes 70% of Walmart’s China revenue. The company has adapted by focusing on convenience, digital integration, and localized offerings. Zhu, the first woman and native Chinese person to lead Walmart China, has prioritized a digital-first strategy.
Our Reading
The numbers tell one story.
Walmart’s China sales rose 19.3% in the past fiscal year, outpacing the broader market.
Sam’s Club drives 70% of Walmart’s China revenue, with 67 locations as of May.
Chinese shoppers demand convenience, with 80% of Walmart orders delivered within an hour.
Foreign brands struggle, but Walmart maintains its appeal through localization and service standards.
Author: Evan Null
Christina Zhu’s Leadership and Walmart’s China Strategy
Christina Zhu, head of Walmart’s China business, has led the company through a period of growth despite a broader economic slowdown in the region. She has emphasized adapting to the needs of Chinese consumers, who now have more choices and higher expectations than ever before. Zhu, who became the first woman and native Chinese person to lead Walmart China, has focused on digital transformation and localized strategies to meet these demands.
Sam’s Club as a Growth Engine
Sam’s Club has become the primary growth engine for Walmart in China, contributing 70% of the company’s revenue in the region. With 67 locations as of May 2026, the membership warehouse model has proven successful in serving upper-middle-class families. Zhu described Sam’s Club as a “buying agent” for its members, emphasizing its role in providing curated, premium products at competitive prices.
Convenience and Speed as Key Differentiators
Walmart has positioned itself as a leader in convenience, with fast delivery times that meet the expectations of Chinese shoppers. Zhu noted that in China, 80% of orders arrive within an hour, compared to the 30-minute delivery standard in other developed markets. This focus on speed and accessibility has helped Walmart stand out in a competitive retail landscape.
Localization and Adaptation
Walmart has adapted its offerings to better suit Chinese consumers, including adjusting portion sizes to match local preferences and investing in digital infrastructure. The company has also localized its marketing and supply chains while maintaining its American-style service standards. This approach has helped Walmart retain its appeal amid rising domestic competition and a challenging economic environment.
Walmart’s Resilience in a Sluggish Market
Despite a broader consumption slump in China, Walmart has continued to grow, with sales increasing 19.3% in the past fiscal year. The company has also expanded its online presence and optimized its store network, closing underperforming locations while investing in high-performing ones. Zhu’s leadership has been central to this strategy, as she has focused on digital-first initiatives and customer-centric approaches to drive growth.
