In January 2013, Walmart first announced that it will buy an additional $50 billion in U.S. products within ten years. Adding up what the company spends each year the total purchase comes to $250 billion.
The reason for the domestic purchase is to grow U.S. manufacturing and encourage the creation of U.S. jobs. “We believe we can create more American jobs by supporting more American manufacturing. Jump-starting the manufacturing industry and rebuilding the middle class requires a national effort by companies, industry leaders, lawmakers and others,” the company proclaimed.
According to data from its suppliers, items that are made, sourced or grown in America already account for about two-thirds of what the company spends to buy products at Walmart U.S.
However they want to increase this and will work with suppliers to:
- Increase what we already buy of U.S. manufactured goods
- Source “new to Walmart” U.S. manufactured goods
- Re-shore the manufacturing of goods we currently buy by facilitating and accelerating efforts of our suppliers
To achieve these goals the company will host the first ever domestic manufacturing Open Call Summit on July 8th in Bentonville, Arkansas.
At the Summit current suppliers that want to present new categories will be featured alongside suppliers with U.S .manufacturing capabilities who are currently not doing business with Walmart. They’ll have a chance to meet with senior leaders, buyers and Walmart executives.
Typically the vendor rooms are open by appointment only – so this is the first time that Walmart has put out an open invitation to all suppliers – to come on one specific day. They’re expecting hundreds of companies to attend and pitch their products.
The Open Call Summit will be focused on new business development on products and categories that are made or grown in the US. Applicants will be evaluated on the ability of their items to meet Walmart customer needs including:
- Product: design, quality and innovation
- Price: competitive costing, value, EDLP (Every Day Low Prices)
- Strategic fit within merchandising strategy
- Ability to execute: production, logistics, etc.
The review process will close on June 6th – if applicants are selected for the Summit, they will be notified by June 17th.