Walmart is setting itself up to save millions just by switching out light bulbs and swapping its brand of floor wax in stores, according to the retailer's executive vice president and CFO, Brett Biggs.
The smallest of changes can add up to big savings at Walmart.
Brett Biggs, the chain's executive vice president and CFO, outlined how a few minor tweaks could make a major difference during Walmart's Investment Community Meeting on Tuesday.
"We are in the process of a multiyear rollout of replacing all fluorescent fixtures with LEDs in our stores, clubs and parking lots," Biggs told the audience gathered at the chain's Bentonville, Arkansas, headquarters. "Not only is it good for the environment, these changes could reduce our annual energy costs by $200 million over time."
Biggs said that the chain would ultimately replace all the fluorescent lights in its stores, clubs, and parking lots.
The CFO also highlighted opportunities to save by making changes to the goods purchased for cleaning services and maintenance. Specifically, Biggs announced that Walmart was swapping out the floor wax used in its stores.
"Not only is the new wax cheaper, it's also sturdier," Biggs told investors. "It doesn't need to be buffed as often, resulting in less spent on the actual buffing, as well as fuel for the machines. That one change in floor wax will save us over $20 million a year."
This isn't the first time the retail giant has slashed costs by implementing subtle changes within its stores.
Business Insider's Dennis Green previously reported that back in 2017, Walmart saved a total of $27 million by tweaking its plastic bags and shortening the length of its receipts.
And this probably won't be the last time that Walmart adopts such subtle price-slashing strategies. During his presentation, Biggs said that the company's "progress on costs" was boosting its "ability to win."
"These small differences can make a big difference to Walmart," Biggs said.