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How Walmart Became a Major Player in the Healthcare Industry

As Walmart Health expects to nearly double its healthcare footprint, the company is prioritizing community needs and affordable care—the notions that helped solidify its place in the industry.

Walmart is no longer just a name in the retail world; the company made its move into the healthcare space in 2019 when it launched Walmart Health. Since then, Walmart Health has expanded its footprint of community health centers and partnered with health plans to deliver value-based care.

In the following article, RevCycleIntelligence discusses Walmart Health’s position in the healthcare industry and what the future holds.

Walmart Health At Its Core

Walmart Health started in 2019 with the goal of providing affordable healthcare services to its communities. The company opened its first community health center in Dallas, Georgia and has since launched over 25 centers across Georgia, Arkansas, Illinois, and Florida.

The full-service community health centers are staffed with qualified medical professionals, including physicians, nurse practitioners, dentists, behavioral health providers, and audiologists. The centers offer primary and urgent care, labs, x-rays and EKGs, behavioral health, dental, and hearing services, though exact services may vary by location.

Specifically, patients can receive wellness checks, physicals, immunizations, sick/injury visits, medication refills, and more at Walmart Health centers. The centers’ dental offices also offer x-rays, deep cleanings, teeth whitening, and fillings and can assist with root canals, gum therapy, fluoride treatment, and sealants.

Counseling services are offered to patients 18 years and older and can address anxiety, stress, depression, and alcohol use.

The company aims to promote better health outcomes by providing affordable, transparent pricing for healthcare services, according to David Carmouche, MD, senior vice president of omnichannel care for Walmart Health.

“Walmart Health is committed to making quality healthcare more accessible, convenient, and affordable for customers in the communities we serve,” Carmouche told RevCycleIntelligence.

Walmart Health Centers accept most major and commercial insurance but provide services to people regardless of their insurance status. If a center is not included in a patient’s network or a patient is uninsured, Walmart Health offers reasonable prices for those paying out-of-pocket, according to the company’s website.

Walmart Health’s Place in the Industry

What sets Walmart Health apart in an industry where on-demand, convenient care access is becoming more common? 

“Walmart Health is different because of our combined, strong relationship with the community, our ability to meet unmet medical needs, and the quality of our providers to deliver great care to our patients,” Carmouche said.

In addition, the organization has received positive feedback from patients.

“One of the things we’re proudest about is how our community is responding to our Walmart Health locations,” Carmouche shared. “Our [Net Promoter Score] of 80 shows Walmart Health is generating strong patient satisfaction for the price and convenience of the care offered.”

A Net Promoter Score measures customers’ loyalty to a company through a single-question survey. Scores can range from -100 to 100, with a higher score indicating greater satisfaction.

Walmart Health has continued to see an increase in visits; more than 50 percent of appointments are booked by returning patients, according to Carmouche. Additionally, 96 percent of patients reported they felt cared for and had their health needs met during their visits to Walmart Health.

The company has also seen success in its primary care model, as many community health centers now assist patients with chronic care management.

Walmart Health has kept up with the healthcare evolution that has been happening since the COVID-19 pandemic hit and the demand for telehealth increased. In May 2021, the company acquired telehealth provider MeMD, rebranding the service to Walmart Virtual Health Care, granting community members access to virtual medical and behavioral healthcare services.

Walmart Health also offers discounted virtual urgent care for UnitedHealthcare members for colds, flus, and other minor illnesses. These members can receive virtual care for $49 or less via Walmart Health Virtual Center.

Walmart’s healthcare journey has not only been in the provider space. In October 2020, the company launched Walmart Insurance Services, LLC, to sell Medicare insurance plans.

In September 2022, Walmart struck a 10-year deal with UnitedHealth Group to form Medicare Advantage plans serving beneficiaries in value-based arrangements. The partnership began in January 2023 with a co-branded Medicare Advantage plan in Georgia: UnitedHealthcare Medicare Advantage Walmart Flex (HMO-POS).

Walmart also recently partnered with CareSource, granting members access to in-store community health workers who can help address social determinants of health.

Future plans

This month, Walmart Health announced plans to nearly double its footprint and add 28 new centers in 2024. This expansion will extend Walmart Health’s reach into two new states, Missouri and Arizona, and increase its presence in Texas.

The centers are set to open in the first quarter of 2024, with 10 locations in the Dallas metro area, eight in the Houston metro area, six in the Phoenix metro area, and four in the Kansas City, MO metro area.

With this expansion, Walmart Health plans to have more than 75 community health centers nationwide by the end of 2024.

The new locations will welcome changes stemming from patient feedback, according to the announcement. The physical layout of the centers will allow patients to spend less time in the waiting room and more time with a provider. Additionally, the centers will have modern equipment and technology to improve patient and provider experiences, including Epic’s EHR system.

When speaking on Walmart Health’s long-term goals, Carmouche recalled a principle of Walmart’s founder Sam Walton: “Think Small. Loyalty must be earned with every visit.”

“This means that while we can have large aspirations, we have to deliver on excellent patient service at each and every appointment, making changes as we hear what our patients have to tell us,” Carmouche elaborated.

“As we have from the first Walmart Health center, we are taking a measured approach that will factor in the unique needs of the communities we serve, and we look forward to continuing to learn how best to deliver the integrated quality care customers want and deserve. This means we’ll continue to look at the optimal layout, mix, and size of our centers.”

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