Walmart is stepping up its fashion game by launching a new apparel brand aimed squarely at younger, trend-conscious shoppers.
In early August, the retail giant launched Scenario, a new women's clothing and accessories brand with a bohemian, quiet-luxury aesthetic.
According to the Wall Street Journal, most pieces will cost less than $25, keeping the line firmly within Walmart's bargain-friendly territory while giving its fashion business a noticeably more stylish makeover.
Scenario will feature pieces such as embroidered blouses and faux-leather bags, with the new label taking space previously occupied by Walmart's established women's brand Time and Tru.
Some products are already available on Walmart's website, including a $28 denim midi dress, a $20 lightweight cardigan and a $26 autumn brown bucket purse.
This is just the latest move in Walmart's long-running attempt to turn its retail footprint into a Gen Z-skewing fashion destination, and win back apparel spending that has increasingly shifted online, particularly to Amazon.
For years, Walmart's fashion reputation has been dominated by practical, inexpensive staples.
In 2024, Walmart relaunched its No Boundaries to give it a modern, younger-skewing look. The line featured 130 pieces that span women’s clothing and intimates, men’s clothing, shoes and accessories.
Walmart announced a new women's clothing and accessories brand called Scenario
John Furner is president and chief executive officer of Walmart
'There’s a huge opportunity for Walmart to reach a Gen Z customer with a brand that has both incredible style and unbelievable prices,' Walmart said.
'We have 145 million US customers shopping with us in stores and online each week, and the new No Boundaries brand is designed and marketed with intention to reach this young adult audience by focusing on fit, quality, style and fabrics that resonate with them.'
No Boundaries is still available at the retail giant, sold separately form its new Scenario collection.
Now, executives are trying to shift its perception - courting younger consumers while also attempting to win over higher-income households that may not traditionally think of the retailer when they are looking for something stylish.
The strategy already resulted in Scoop and Free Assembly, a private label 'modern' clothing brand, while Walmart has invested in fashion expertise and established a fashion office in New York.
Scenario represents another attempt to widen that fashion appeal without giving up Walmart's core promise of value.
With Scenario, though, Walmart is angling to be fashionable enough to tempt shoppers away from dedicated clothing retailers - but still cheap enough to reach cost-conscious customers.
In 2018, Amazon surpassed Walmart in terms of clothing sales, solidifying its place in the e-commerce space
Just last week, Walmart reported less-than-positive second-quarter financial results.
The company reported 5.9 percent growth in total sales last quarter, while its global e-commerce sales jumped 23 percent.
But despite the growth, Walmart's US comparable sales grew just 2.6 percent excluding fuel, while the company acknowledged that its core merchandise categories continued to grow in line with recent trends.
That makes fashion an especially tempting growth opportunity.
Meanwhile, Amazon's increased focus on apparel has made the online retailer an bitter rival for clothing stores and even big box retailers. According to Wells Fargo, Amazon overtook Walmart as the largest US apparel retailer in 2018.
