Walmart is going to keep selling its high-end frames to companies in the apparel, furniture and accessories industries, despite the company’s focus on its core business of low-priced groceries.
Chief Executive Officer Michael Duke said in an interview Tuesday that the company will retain its focus on low-price retail.
“We will continue to have our premium frame business,” Duke said.
“That business will continue.”
Walmart is one of the biggest players in the consumer goods business, with about a quarter of the overall U.S. retail market.
Duke said the company continues to invest in its business, adding that the new model will offer more value to customers than its current model.
Walmart did not say when it will begin offering the frames to the apparel and furniture industries.
Duke’s comments came as Walmarts price of the frames has fallen in recent months as the company has focused on its low-cost, low-margin clothing and apparel products.
The company will have the opportunity to offer lower prices in the near term, Duke said, but he declined to offer details.
“We’re focused on the marketplace, on the industry, and we’re going to have a lot of flexibility,” Duke told Recode.
“But we’re focused now on getting it to our customers in a way that’s most meaningful to them.”
The company said it will retain the high-priced frames, but it will offer them at a price point below the retail price.
Walmans current price point is about $1,300, and the company said they will be offered at $650 or $650-700.
WalMart also plans to continue selling its frames to small businesses that don’t have the capacity to make the frame for $1 to $1.50.
The company also said it would sell its high end frames to other apparel companies.
The new model, which the company unveiled in April, is more than a decade old, but Duke said it has been popular with customers.
“We’ve had really good feedback from customers and from our associates,” Duke added.
“They want to be able to get the frames for less.”