Walmart is undergoing a significant transformation within its U.S. retail media division, Walmart Connect, as part of a broader restructuring strategy. According to an internal memo reviewed by Marketing Dive, the changes are aimed at reducing complexity, improving speed, and fostering innovation. This initiative is part of a larger adjustment in Walmart’s global technology and U.S. organizations.
The Wall Street Journal reports that these restructuring plans will result in the elimination of approximately 1,500 corporate jobs. However, the specific impact on Walmart Connect remains unclear. Walmart has assured affected associates that it will support them in finding new opportunities, including within the company where possible.
Evolving with Technological Change
Walmart’s memo states, “The world of technology is evolving at an unprecedented pace, and reshaping our structure allows us to accelerate how we deliver and adapt to the changing environment around us.” This statement highlights Walmart’s commitment to staying ahead in a rapidly changing technological landscape.
New Opportunities and Leadership Changes
Despite the job cuts, Walmart is also creating new roles that align with its growth agenda. Walmart Connect leaders have taken to LinkedIn, seeking hires in areas such as the personal care vertical within its consumables division. It remains uncertain whether these new roles are directly related to the broader restructuring.
In recent months, Walmart Connect has experienced some leadership changes. Doug Jossem, the former Head of Food, departed for Madison Square Garden Entertainment in March. Subsequently, Lesley Conway, the former CEO of WPP’s Mindshare Canada, was appointed as the head of Connect on May 5.
Strong Growth Amid Restructuring
Walmart Connect’s push for efficiency comes on the heels of impressive growth. The division reported a 31% year-over-year increase in Walmart’s fiscal Q1 2026, according to an earnings statement released last week. Additionally, Walmart’s global ad business saw a 50% year-over-year increase, partly fueled by the acquisition of connected TV device maker Vizio for $2.3 billion last year. Although Vizio’s revenue is not yet reflected in Connect’s financials, it is expected to significantly accelerate the unit’s growth.
Looking Ahead
Walmart Connect’s restructuring is a strategic move to align with the ever-evolving technological landscape. By eliminating certain roles and creating new opportunities, Walmart aims to streamline its operations while continuing to foster innovation and growth. As the company navigates these changes, it remains committed to supporting its associates and exploring new avenues for expansion.
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Note: This article is inspired by content from https://www.marketingdive.com/news/walmart-shakes-up-us-ad-division-keep-pace-technological-change/748861/. It has been rephrased for originality. Images are credited to the original source.