1 June 7, 2017 Deborah Weinswig, Managing Director, Fung Global Retail & Technology [email protected] US: 917.655.6790 HK: 852.6119.1779 CN: 86.186.1420.3016 Copyright © 2017 The Fung Group. All rights reserved. Notes from Walmart and Sam’s Club Store Visits 1) The Fung Global Retail & Technology team recently visited two Walmart-owned stores in Arkansas: a Walmart in Rogers and a Sam’s Club in Springdale. 2) The Walmart store is enormous and is open 24 hours a day. It offers groceries, automotive service, garden and outdoor supplies, a pharmacy, an optical shop, a photo center, a nail salon, restaurants, a gasoline station with an attached convenience store and an on-site FedEx store. 3) The Rogers Walmart has fully implemented Scan & Go and offers handheld product scanners for customers without smartphones, as well as full-service checkout stations that can scan items and accept cash, credit cards and Walmart Pay. To encourage customers to download and use the Walmart app, both the Walmart and Sam’s Club stores we visited offer free Wi-Fi service. The Sam’s Club store also offers Scan & Go. 4) The smaller Springdale Sam’s Club store offers goods in typical bulk quantities, as well as a pharmacy, an optical and hearing shop, a gasoline station, automotive service, and even luxury massage chairs and a sushi counter. 5) Both stores have implemented in-store pickup. The Walmart store has parking spaces where customers can pick up goods ordered previously, whereas the Sam’s Club store has a dedicated store entry for picking up goods ordered online.

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June7,2017

Notes from Walmart and Sam’s Club Store Visits

1) TheFungGlobalRetail&TechnologyteamrecentlyvisitedtwoWalmart-ownedstoresinArkansas:aWalmartinRogersandaSam’sClubinSpringdale.

2) TheWalmartstoreisenormousandisopen24hoursaday.Itoffersgroceries,automotiveservice,gardenandoutdoorsupplies,apharmacy,anopticalshop,aphotocenter,anailsalon,restaurants,agasolinestationwithanattachedconveniencestoreandanon-siteFedExstore.

3) TheRogersWalmarthasfullyimplementedScan&Goandoffershandheldproductscannersforcustomerswithoutsmartphones,aswellasfull-servicecheckoutstationsthatcanscanitemsandacceptcash,creditcardsandWalmartPay.ToencouragecustomerstodownloadandusetheWalmartapp,boththeWalmartandSam’sClubstoreswevisitedofferfreeWi-Fiservice.TheSam’sClubstorealsooffersScan&Go.

4) ThesmallerSpringdaleSam’sClubstoreoffersgoodsintypicalbulkquantities,aswellasapharmacy,anopticalandhearingshop,agasolinestation,automotiveservice,andevenluxurymassagechairsandasushicounter.

5) Bothstoreshaveimplementedin-storepickup.TheWalmartstorehasparkingspaceswherecustomerscanpickupgoodsorderedpreviously,whereastheSam’sClubstorehasadedicatedstoreentryforpickingupgoodsorderedonline.

June7,2017

StoreVisit:WalmartStore#4208inRogers,ArkansasTheFungGlobalRetail&TechnologyteamvisitedWalmartstore#4208inRogers,Arkansas.

Thisstoreisenormous—easilythesizeofafootballfield—andoffersgroceries,homeandgardenproducts,apharmacy,anon-siteFedExstore,suppliesforoutdoorliving,anopticalshop,anailsalonandagasstationwithanattachedconveniencestore.