Top Walmart Alternatives and Competitors In the USA Market

Today, the retail landscape has undergone significant changes with the introduction of AI capabilities, but Walmart remains a dominant force. However, it faces stiff competition in the market.

The top Walmart competitors are not just traditional supermarkets; they also include high-tech companies like Amazon, which leads in digital sales, and warehouse giants like Costco, which boasts strong customer loyalty and a loyal fan base.

Moreover, specialty retailers like The Home Depot and discount innovators like Aldi also give a strong challenge to Walmart for its everyday low-price model.

If you are looking for some of the top competitors and alternatives to Walmart, stick with this blog post, as you’ll discover 15 competitors of Walmart that are giving the retail giant a tough fight in the market.

1. Amazon

Amazon is the main and top alternative to Walmart in the digital landscape. While Walmart has the upper hand in brick-and-mortar scale, Amazon leads in digital e-commerce sales. Since it has successfully captured the digital market, we can conclude that Amazon is the top Walmart competitor.

Why is it the top Walmart competitor?

Market Dominance: Amazon has a market share of 38% in the USA for e-commerce sales, while Walmart is the only 2nd largest player and falls behind Amazon in this category.

Subscription Model: The Prime membership of Amazon creates immense customer loyalty and a strong fan base, offering Prime members one-day delivery, streaming, music, and various shopping and shipping perks, making Amazon a better alternative to Walmart.

Profit Diversification: Walmart mainly depends on retail sales for profit, while Amazon has significantly grown its business over the years and expanded into new areas like AWS (cloud computing), Advertising Network, Logistics, and Supply Chain. This allows Amazon to diversify its business and be more aggressive on pricing.

Logistics Support: Amazon has worked extensively on last-mile delivery options and warehouse robotics, which forces Walmart to spend billions to modernize its own supply chain to keep up with Amazon.

Best Suited For: Amazon is best suited for shoppers who are looking for a wide range of product options along with fast and free shipping. Additionally, consumers seeking a unified ecosystem for smart home devices like Alexa, digital content, and electronic items can consider shopping on Amazon.

Pros:

• Wide selection options
• Inventory depth
• Prime membership
• Last-mile delivery

Cons:

• Risk of fake products
• Product damage

Founder: Jeff Bezos

2. Decathlon

The next top alternative to Walmart is Decathlon, which is the world’s largest sporting goods retailer and is often called the Aldi of active and sportswear. The only difference between Walmart and Decathlon is that the latter sells activewear and sports-related commodities, while Walmart sells almost everything.

Why is it a top Walmart competitor?

Decathlon gives direct competition to Walmart by competing in the entry-level sporting goods category. While Walmart offers products from various third-party vendors, Decathlon offers products from more premium and specialized sellers and vendors.

Some of the other reasons why Decathlon is a great Walmart alternative:

Vertical integration: Decathlon designs and manufactures its own goods and products and sells them under brands like Quechua and Kalenji, which allows it to maintain price leadership and offer more branded and premium sporting goods.

Hyperspecialization: At Walmart, you get only basic sporting goods, but Decathlon offers sporting goods from 80 different categories like archery, horseback riding, scuba diving, and a lot more.

Research and development: Decathlon has its own innovative labs for creating high-quality patented products like the 2-second pop-up tent at mass-market prices, which sets it apart from Walmart in the sporting goods category.

Experience-based retail: Decathlon stores often have test zones where users can try and test the products in a real and physical way, offering an interactive environment.

Best suited for:

Decathlon is best suited for beginner and pro athletes who are starting a new hobby and looking for low-cost sporting products. Campers, adventure seekers, and hikers can also consider shopping at Decathlon for durable, innovative equipment that balances portability and value.

Pros:

• Exceptional value
• Innovative design
• Broadest selection
• Depth of inventory

Cons:

• Smaller market in the USA
• Limited branded products

Founder: Michel Leclercq

3. Costco

Next on the list of top Walmart alternatives is Costco, which is the world’s leading warehouse club operating on a high-volume, low-margin model that focuses on member value over traditional retail markups. Costco follows a deep but narrow strategy that rewards it with large economies of scale and loyal customer shopping.

Why is it a top Walmart competitor?

Costco is a top Walmart competitor because it captures the most profitable segment of the market and targets middle- to high-income households that might otherwise shop at Walmart only for daily essentials and groceries.

Membership model: Costco charges an annual fee, which is different from Walmart’s open-door policy. The annual fee covers most of its operating costs, allowing it to sell goods at near-cost prices.

Kirkland Signature power: The private label Kirkland Signature is often considered superior to other brands in terms of quality while maintaining a low price point, creating strong competition in the market.

Operational advantage: Costco has about 4,000 SKUs, while Walmart has 100,000+. This allows Costco to benefit from massive bulk purchasing and faster inventory turnover.

Customer fan base: With renewal rates consistently hovering around 90%, Costco’s stickiness is among the highest in retail, helping it secure long-term recurring revenue.

Best suited for:

Costco is best suited for middle- and high-income households that consume high-volume staples like milk, eggs, and paper products and benefit from buying in bulk.

Pros:

• Unbeatable unit pricing
• High employee satisfaction
• Ancillary services

Cons:

• Membership barrier

Founder: James Sinegal

4. Etsy

Next on the list of Walmart alternatives and competitors is Etsy, which is a global e-commerce platform that connects small and independent creators and sellers with buyers looking to purchase items that cannot be mass-manufactured. Etsy is best suited for those who are looking to buy and sell DIY products or those who are also looking to buy thrift products.

Why is it a top Walmart competitor?

Etsy is a top alternative to Walmart because it focuses on the personalized, DIY, and giftable market segment. While Walmart is a retailer and the best destination for daily grocery needs, Etsy is for emotional and unique purchases.

Here are some other reasons why Etsy is a top Walmart competitor:

Niche difference: Etsy owns the market for handmade, DIY, and vintage goods. Shoppers looking for custom-made products with a personal touch or a 1970s vintage lamp will go to Etsy because these items do not exist at Walmart.

Direct consumer connection: Etsy allows consumers to directly connect with the makers of specific products. There are no middlemen or vendors involved in the buying and selling process. This builds trust and emotional investment that a big-box retailer cannot replace.

Agile trends: Etsy sellers can go viral on the internet much faster than Walmart’s global supply chain can respond.

Gifting authority: Nearly 14% of online shoppers in the USA visit Etsy for gifting and related purposes, making it a powerful competitor to Walmart.

Best suited for:

Etsy is best suited for gift seekers and those looking to buy personalized products like name necklaces, custom portraits, or wedding stationery. Shoppers interested in authentic clothing, furniture, or collectibles that are more than 20 years old can also shop on Etsy.

Pros:

• Unique selection of goods
• Support for small businesses
• Personalized options
• Low entry barrier

Cons:

• Low-quality products

Founder: Robert Kalin

5. Target

Target is Walmart’s primary alternative, positioning itself as a masstige (mass-prestige) retailer. It balances the affordability of a big-box store with the design sensibilities of a boutique, creating a unique competitive edge through aesthetic appeal and curated merchandising.

Why is it a top Walmart competitor?

Target competes with Walmart not by being bigger, but by being different. It captures a demographic that values style and a premium shopping environment just as much as a good deal.

Design differentiation: Target is a leader in exclusive designer partnerships (e.g., Magnolia, Levi’s, and high-end fashion collaborations), offering “trendy” goods that feel more expensive than they are.

Urban focus: While Walmart dominates rural America, Target has mastered the small-format store in dense urban centers like New York and Chicago, reaching younger, city-dwelling consumers.

Drive-Up efficiency: Target is widely rated as having the best curbside pickup experience in the industry, with Drive-Up services often cited as faster and more intuitive than Walmart’s grocery pickup.

Owned brand power: Target’s private labels, like Cat & Jack (kids) and Good & Gather (grocery), are multi-billion-dollar brands that command high customer loyalty and better profit margins than national brands.

Best suited for: Consumers who prioritize store aesthetics, social media-friendly products, and a trendier clothing and home décor selection. City residents who need a quick, organized shopping trip in a high-density area where massive supercenters aren’t accessible can also consider shopping at Target.

Pros:

• Super experience
• High-quality private labels
• Target Circle rewards
• Convenient fulfillment

Cons:

• Higher grocery prices

Founder: George Dayton

6. eBay

eBay is yet another major Walmart competitor and a cornerstone of the global retail landscape, operating in the space between peer-to-peer selling and professional retail.

While Walmart focuses on new and current inventory, eBay is the largest platform for secondary market products and an important hub for specialized goods.

Why is it a top Walmart competitor?

eBay is a direct competitor to Walmart by offering a global marketplace that focuses on value through used, refurbished, and rare items that Walmart does not offer or sell in its retail outlets.

Here are some other reasons why eBay is a great Walmart alternative:

Refurbished market: eBay operates in the refurbished market and is the largest platform in this sector of secondary market goods. Millions of online shoppers visit eBay to find high-quality used electronics and designer goods at discounted prices.

Vintage goods: On eBay, customers can also find vintage goods, which is unlikely when visiting Walmart. This makes eBay a leader in niche collectible items like trading cards, toys, and memorabilia.

Small business diversity: While Walmart’s marketplace is growing day by day, eBay remains the top destination for small and solo sellers who offer handmade, customized, and one-of-a-kind products that Walmart’s mass-market model cannot support.

Pricing flexibility: Through auction-style listings and the “Best Offer” feature, eBay provides a dynamic pricing environment. Shoppers can often negotiate prices, contrasting with Walmart’s fixed Every Day Low Price (EDLP) model.

Best suited for: eBay is best suited for shoppers looking for deep discounts, hobbyist shoppers seeking rare and vintage products, or discounted items such as repair components. Overall, it is also a great alternative to Walmart for eco-conscious shoppers.

Pros:

• Incredible variety
• Buyer protection
• Price discovery
• Global access

Cons:

• No major cons

Founder: Pierre Omidyar

7. Temu

Temu has also exploded into the retail space as an aggressive competitor to Walmart by using a direct-from-manufacturer model. While Walmart is the king of in-store retail, Temu is a digital-first platform that focuses on “shopping like a billionaire on a microscopic budget.”

Why is it a top Walmart alternative?

Temu is a Walmart alternative that undercuts prices on non-essential, general merchandise through supply chain disintermediation.

Price floor leader: Temu offers prices 30% to 70% lower compared to Walmart for the same unbranded items, such as kitchen items, tech gadgets, accessories, and other home tools.

C2M model: By connecting shoppers directly with Chinese manufacturers, Temu eliminates the costs of distribution, wholesalers, and physical storefronts that Walmart must maintain to be profitable.

Gamified shopping: Temu leverages spinning wheels, flash deals, and referral bonuses to create an addictive and highly engaging experience for users, contrasting with Walmart’s more traditional shopping experience.

Loopholes: Temu has tackled many U.S. import tariffs by shipping small, individual parcels directly to consumers.

Best suited for: Temu is best suited for shoppers willing to trade brand names and fast shipping for low-priced products. Consumers who enjoy discovering quirky or viral household products and accessories can also consider shopping at Temu.

Pros:

• Very affordable
• Massive variety
• Low-risk entry
• Innovative discovery

Cons:

• Shipping issues

Founder: Colin Huang

8. Best Buy

Best Buy is a personal favorite Walmart competitor and alternative for consumer electronics in the U.S. market. While electronics at Walmart are just one of many aisles, Best Buy focuses on being a knowledge destination for tech-heavy purchases. If you are looking to buy a new laptop, desktop PC, or electronic device, Best Buy is a better choice than Walmart.

Why is it a top Walmart alternative?

Best Buy offers deep technical knowledge and experience with professional services that retail giants like Walmart cannot provide at the same scale.

Specialized expertise: Best Buy employees are highly rated sales professionals who explain complex technical specifications in a simple way. Shoppers seek advice on PS5 vs. PS4 or Mac vs. PC and receive in-depth guidance from knowledgeable staff—an experience Walmart does not provide.

Geek Squad services: The Geek Squad provides a strong competitive moat by offering in-home installation, 24/7 customer and technical support, and professional repair services. Walmart does not offer these services.

Premium assortment: Best Buy follows a step-up model and carries high-end brands like Magnolia for audio and Pacific Sales for premium appliances that are too niche or expensive for Walmart.

Showrooming strategy: Best Buy has turned its physical stores into a strength by using them as showrooms where customers can touch, feel, and test products before buying, without a price penalty.

Best suited for: Best Buy is best suited for tech lovers and gamers looking for laptops, music systems, gaming consoles, PCs, Macs, and other tech accessories. It also offers smart home devices and home and kitchen appliances for daily use.

Pros:

• Live demos
• Totaltech membership
• Technical support
• Curated assortment

Cons:

• High pricing
• Limited general goods

Founder: Richard Schulze

9. Ross Stores

Ross Stores is yet another alternative to Walmart and is one of the largest retail chains in the USA. It operates on a slightly different model compared to Walmart, focusing on opportunistic buying to offer name-brand goods at deep discounts. It does not focus heavily on everyday discounts, but it does offer price cuts on its products during sales and the festive season.

Why is it the top Walmart alternative?

Ross is a top Walmart alternative as it captures the value-conscious brand seeker. While Walmart focuses on mass-market budget brands and sells products on a consistent basis, Ross also offers premium products at similar or lower prices during sales.

Price gap on top goods: Ross offers first-quality goods, designer fashion clothing, and home fashion at discounts of 20% to 60% below what other department stores offer. This often undercuts Walmart’s pricing for similar national brands.

Treasure hunt appeal: Unlike Walmart’s predictable aisles, Ross has a dynamic inventory that changes on a daily basis, allowing customers to see new and unique products frequently. This also creates urgency and discovery that drives strong footfall.

Off-price sourcing: Ross buys bulk inventory, manufacturer overruns, and canceled orders, which allows it to pivot to in-demand styles faster than traditional big-box retailers.

Focus on soft goods: Walmart is an all-in-one destination for all kinds of goods, while Ross focuses on niche categories like family clothing, rivaling even large discount providers.

Best suited for: Shoppers who want to buy from specific brands like Nike, Calvin Klein, or Tommy Hilfiger at a low price should try Ross Stores. It is not only a good place for fashion but also a great option for buying home décor on a budget.

Pros:

• Name-brand savings
• Constantly fresh products
• Good for home décor
• Discounts and offers

Cons:

• Limited categories
• Product scarcity

Founder: Stuart Moldaw

10. Mercari

Mercari is a mobile-first alternative to Walmart that has changed the resale industry. While Walmart focuses on mass selling and production, Mercari believes in empowering individuals to buy and sell gently used items on its platform.

Why is it the top Walmart alternative?

Mercari is a Walmart alternative that focuses on the secondhand marketplace. It offers a platform for both buyers and sellers, where sellers can list used products and buyers in need of those products can purchase them. Of course, all products listed on the platform go through quality checks.

Price arbitrage: Shoppers looking for discontinued products or rare items often prefer Mercari over Walmart. Additionally, shoppers seeking secondhand or used products can visit Mercari.

Low-friction selling: Mercari’s business model is simple and easy for casual users and buyers, as they can easily navigate the platform compared to Walmart’s marketplace, which is more suited for professional third-party sellers.

Direct negotiations: Walmart follows a fixed pricing system, whereas Mercari provides an offer system that allows buyers to negotiate and secure deals that undercut Walmart’s deepest clearance markdowns.

Sustainable consumption: As consumers shift toward circular fashion and eco-friendly products, Mercari serves as a strong alternative by promoting reuse and sustainability compared to Walmart.

Best suited for: Individuals who want to sell old or unused products and make quick cash can use Mercari. It is also ideal for shoppers who prioritize brand names but are comfortable with pre-owned conditions to save 50% or more compared to new retail prices.

Pros:

• Simple and easy to use
• Web and app availability
• Buy and sell products

Cons:

• Limited availability in the USA

Founder: Shintaro Yamada

Walmart Competitors and Alternatives In India

Now that we have listed 10 competitors of Walmart for the USA market, let us now look at some Walmart alternatives in India.

1. Dmart

Dmart is India’s largest retail grocery chain, with around 400 stores across India. It has a revenue of ₹59,482 crore, making it the largest retail store in India. Currently, it is focusing on expanding its business from a physical store footprint to an online presence by leveraging its cost leadership to capture market share.

Why is it the top Walmart alternative in India?

Dmart has emerged as one of the leading value retail chains in India because of its everyday low-price strategy, which makes goods, products, and daily groceries affordable at Dmart.

It combines bulk-buying advantages with strong vendor management and minimal promotional costs to deliver prices that are often lower than Walmart’s competitors in India.

The majority of Dmart stores operate on a no-frills, utility-focused format that concentrates on daily essentials and groceries like FMCG products, household goods, and basic apparel.

Best suited for: Dmart is suited for shoppers who are price-savvy and looking for everyday groceries and essentials at very low prices. Lower- and middle-income groups who prefer to stock an entire month’s groceries can also consider shopping at Dmart.

Pros:

• Everyday low prices
• Strong cost control
• High inventory turnover
• Store outlets

Cons:

• Low online presence

Founder: Radhakishan Damania

2. Smart Bazaar

The next Walmart alternative in India is Smart Bazaar, which is often described as a large-format hypermarket and supermarket chain in India. It is a one-stop shop for grocery needs, offering fresh products, household goods, apparel, electronics, personal care items, and more under one roof.

Why is it the top Walmart alternative in India?

Smart Bazaar combines value pricing with a wide product offering to compete with other organized retail players in India like Dmart, making it a growing choice for Indian consumers seeking convenience and savings under one roof.

Best suited for: Shoppers looking for competitive pricing on daily essentials, groceries, and household items should consider shopping at Smart Bazaar. Lower-middle- and upper-middle-class consumers who prefer purchasing staples, personal care, and home goods in one trip can also consider Smart Bazaar.

Pros:

• Wide product variety
• Competitive pricing
• Convenient large stores

Cons:

• Low offers and discounts

Founder: Reliance Industries

3. Reliance Fresh

As the name suggests, Reliance Fresh is a grocery retail chain in India focused on fresh vegetables, groceries, fruits, and dairy products. Unlike Walmart, it does not offer products across multiple categories; instead, it focuses on niche-based categories and products, which makes it a strong Walmart alternative in India.

Why is it the top Walmart alternative in the Indian market?

Reliance Fresh directly competes with traditional supermarkets and hypermarkets by offering daily perishable products such as fresh produce, vegetables, fruits, FMCG items, and household essentials under one roof.

Best suited for: Everyday grocery shoppers and people looking for routine produce such as milk, eggs, curd, fresh vegetables, and fruits can consider shopping at Reliance Fresh, as it promises fresh daily essentials at low prices with regular offers.

Pros:

• Competitive pricing
• Strong retail infrastructure
• Regular discounts
• Wide physical presence

Cons:

• Limited product availability
• No online presence

Founder: Reliance Industries

4. Nature’s Basket

Nature’s Basket, owned by the RP-Sanjiv Goenka Group, is India’s premier grocery destination for gourmet and international foods. While Walmart-owned Flipkart and JioMart dominate the mass market, Nature’s Basket targets the affluent urban consumer who prioritizes quality, exotic ingredients, and an experiential shopping environment.

Why is it the top Walmart alternative for the Indian market?

Nature’s Basket competes by positioning itself as the “high-end” alternative to the “everyday low price” model. It succeeds by specializing where Walmart and its generic competitors are often spread too thin.

Gourmet & exotic niche: While Flipkart Grocery and JioMart focus on household staples like dal, rice, and atta, Nature’s Basket specializes in global food culture, offering items such as Japanese miso, Dutch cheese, Hass avocados, and artisanal cold cuts.

Artisan pantry concept: Its newer large-format artisan pantry stores (up to 12,000 sq. ft.) feature wine cellars, live cooking studios, and “The Good Food Café,” transforming grocery shopping into a luxury lifestyle experience.

Omnichannel luxury: It provides a seamless bridge between high-street physical stores in elite neighborhoods (such as Juhu in Mumbai or Alipore in Kolkata) and a sophisticated online app catering to 125 cities.

Pros:

• No minimum order
• Ecosystem benefits
• Omnichannel support

Cons:

Expensive products

FAQs About Walmart Competitors and Alternatives