Walmart Combines Two Memberships

Walmart has introduced an annual subscription bundle that combines Walmart+ with Sam’s Club Plus for $120 plus tax. Announced Tuesday, the offer is designed to make the retailer’s membership services more attractive as consumers contend with subscription fatigue and rising household expenses.

The bundle is available only as an annual plan, with no monthly payment option or trial period. Purchased separately, Walmart+ costs $98 per year plus tax, or $12.95 per month plus tax, while Sam’s Club Plus costs $120 annually. A basic Sam’s Club membership costs $60 per year.

By combining the two premium memberships, Walmart is offering customers access to both services at a lower price than buying them separately.

The move comes as Walmart seeks to strengthen its competitive position following slower sales growth. The retailer reported US comparable-store sales growth of 2.6% in its latest quarter, its weakest performance since the fourth quarter of 2020.

Chief Executive John Furner said the expanded offering is intended to increase the value customers receive from their memberships, including savings and greater convenience.

How the Bundle Compares With Competitors

Walmart’s new package enters a competitive market in which retailers use paid memberships to encourage repeat purchases and deepen customer relationships.

Target Circle 360 costs $4.99 per month or $49 annually, while Amazon Prime costs $140 per year. Costco charges $65 annually for a standard membership and $130 for its executive tier. BJ’s standard membership costs $60 per year, while its Club+ membership costs $120.

Walmart’s $120 bundle combines services from its mass-market retail business and warehouse club operation. Its appeal will depend on whether customers consider both memberships useful enough to justify the annual fee.

The strategy also reflects a broader effort to compete on value while encouraging customers to consolidate more of their shopping activity within Walmart’s ecosystem.

Memberships Support Walmart’s Profitability Strategy

Bank of America analyst Christopher Nardone has identified memberships as a significant growth opportunity, noting that Walmart+ members spend approximately four times as much as non-members.

Nardone also pointed to advertising, marketplace expansion, and international membership growth as areas supporting Walmart’s longer-term profitability outlook. These businesses could help the retailer manage near-term pricing and supply-chain pressures while strengthening earnings potential over time.

Deutsche Bank analyst Krisztina Katai recently upgraded Walmart shares to Buy from Neutral. She cited the inflationary environment as a factor that could reinforce Walmart’s value proposition and support further market-share gains.

The membership bundle therefore serves two purposes: offering consumers a more comprehensive package and potentially increasing the engagement and spending of participating households.

Employee Benefits and Customer Retention

Walmart also announced that all employees will receive both Walmart+ and Sam’s Club memberships as part of their benefits. The decision extends the combined membership proposition beyond external customers and gives employees access to both services.

The company has also outlined additional affordability measures. The previous week, Walmart announced plans to cover more than 250 medications at no cost, including insulin and inhalers, as well as GLP-1 medications used to treat diabetes.

These initiatives align with Walmart’s emphasis on household savings as consumers remain sensitive to prices. However, the financial impact of the membership bundle will depend on customer adoption, retention, and the extent to which members increase their spending across the company’s businesses.

What Investors Should Watch Next

The key indicators will be uptake of the combined subscription, renewal rates, spending patterns among members, and the contribution of membership-related businesses to profitability. Walmart will also need to demonstrate that the bundle can strengthen customer loyalty without undermining the economics of its existing membership products.

Competition from Amazon, Target, Costco, and BJ’s will remain a central consideration. For investors, the broader question is whether Walmart can convert its value-focused positioning into sustained market-share gains and more durable earnings growth.