macro

Walmart bundles Walmart+ and Sam's Club Plus for $120 a year

Walmart launched a combined membership at $120 a year to lure shoppers from Amazon and Costco. Some analysts question whether the savings add up.

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what happened

Walmart has started selling Walmart+ and Sam's Club Plus together for $120 a year. The bundle includes members-only prices, free delivery, 10 cents off per gallon of gas at about 17,000 stations, and an option to stream Peacock or Paramount+. The company said in a Tuesday press release that the offer undercuts Amazon Prime at $139 and Costco's Executive membership at $130.

Analysts quoted by MarketWatch are doubtful. Jay Aldebert of International Services estimated that a buyer would need to purchase about 1,200 gallons of gas, or spend $6,000 including Sam's Cash rewards, to recoup the fee. Walmart shares fell 0.5% on Tuesday and are up 6.2% so far this year.

why it matters

For investors, the story signals a shift in retail competition toward delivery, advertising and loyalty programs rather than price alone. Costco earned around $5.9 billion from membership fees in its last fiscal year, so pressure on that model could become visible. Walmart also gains consumer data, which supports its advertising business.

market impact

Walmart, Amazon, Costco: the new membership bundle intensifies retail competition for shoppers and delivery

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sources

  1. Walmart takes aim at Amazon and Costco with new membership program - but is it a good deal? — Dow Jones Newswires, 20 October 2026 at 21:47 UTC

prepared by the newsmetry newsroom with ai assistance from the sources listed below. not investment advice.

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