Walmart CEO talks lowering prices, unveils new $120 membership offer

Walmart exclusively announced on "Good Morning America" that it is combining its Walmart+ and Sam's Club Plus memberships into a new $120 annual offer, a move the retailer says could save shoppers nearly $100 a year.

The new offer, available starting Oct. 20, gives customers access to benefits from both programs, including free delivery on eligible orders, gas discounts and streaming services.

In his first broadcast interview since becoming CEO, John Furner discussed the new offer exclusively with ABC News' Rebecca Jarvis on "GMA" Tuesday.

"We are really excited to announce that today, we are combining our two membership programs, Walmart Plus and Sam's Club Plus," Furner said.

The announcement comes as consumers continue to face higher costs for everyday essentials. Inflation rose 3.7% in September compared with a year earlier, while gas prices are up 34.2% in that same time, according to the latest government data.

Asked whether Walmart could continue lowering prices amid rising costs, Furner said, "We'll always be focused on doing everything we can to keep prices as low as we can in any environment as long as we can."

He pointed to gas savings as one benefit of the new membership, saying higher fuel prices have put additional pressure on household budgets.

"You can save 10 cents per gallon at over 17,000 stations now," Furner said.

Furner also said Walmart had more than 7,000 price rollbacks at the end of its first quarter, increasing to about 11,000 by the end of the second quarter.

Despite those price cuts, Furner acknowledged that some customers are feeling financial pressure.

"We've been in a market for the last several quarters with what we've been describing as a pretty resilient customer environment," he said. "And then at the end of the first quarter, we did remark that we saw some stress on some customers and we definitely saw some of their spending change."

Asked whether he had spoken with the administration about rising prices, Furner said commodity markets are largely outside Walmart's control and that the company is focused on operating as efficiently as possible.

Pressed on whether Walmart could raise prices if costs continue to climb, Furner said, "Retailers can always move with commodities, that is true, but what is important right now is we saw a way that we could save people money."

Furner also addressed the potential impact of artificial intelligence on Walmart's workforce when asked whether the company could have fewer employees in five years.

"We think AI and other core technologies ... these are tools that help make our associates better," he said. "This is a large business with a lot of associates here who have a lot of opportunity. I think that'll be true in five years as well."

What to know about Walmart's new membership offer

The combined membership costs $120 annually, plus applicable taxes, compared with $218 for the two memberships purchased separately.

Benefits include access to Sam's Club warehouse stores, free delivery on qualifying orders, a choice of Peacock or Paramount+ streaming subscriptions and savings of 10 cents per gallon at more than 17,000 participating gas stations.

Existing Walmart+ annual members can switch to the combined plan for an additional $22 a year, while Sam's Club Plus members can activate Walmart+ at no additional cost.

The membership must be paid annually, with no monthly payment option or trial.