Skip to comments.Wal-Mart to slash grocery prices
Posted on 03/19/2010 8:16:19 PM PDT by STARWISE
Wal-Mart Stores Inc will cut food prices and mount a new ad campaign over the next six weeks, a threat to other U.S. grocers that sent an industry shares index down more than 2 percent on Friday.
A Morgan Stanley analyst first reported the world's largest retailer's plan, calling it a major setback for other U.S. grocers, and the company confirmed the promotions in an email.
"While this helps address Walmart's traffic woes, we view this as a major setback for the grocery stocks, which have been rallying on hopes of a return to more rational pricing," Morgan Stanley analyst Mark Wiltamuth wrote in a note on Friday.
The Standard & Poor's Food Retail Sub-Industry Index closed down 2.2 percent.
Walmart has used aggressive pricing in grocery and other units to bring shoppers into its stores. The grocery business is particularly pressured by such pricing, as its profit margins are already low.
Investors in Walmart have been concerned about signs that shoppers who gravitated to its stores during the worst of the recession -- boosting sales and profits -- are returning to rivals. Traffic fell in Walmart's U.S. stores during its fourth quarter, despite the holiday season, when shopping is at its peak.
(Excerpt) Read more at reuters.com ...
Wal-Mart has lowered retail prices and increased the true disposable income of individuals, then it is likely to have increased personal savings as well. (The Wal-Mart Revolution: How Big-Box Stores Benefit Consumers, Workers, and the Economy, Richard Vedder and Wendell Cox, American Enterprise Institute for Public Policy Research. Washington D.C., 2006).
Yay .. for at least SOME good news ... PING!
I WONDER WHEN THEY WILL BE ACCEPTING THE OBAMA FOOD STAMPS?
I don’t know about where you live, but W-M has been raising prices for the last year. Thus lowering them is just getting back to regular prices.
I’m probably not very bright but I like to buy groceries at the place with the lowest prices. It’s just a goofy quirk that I have.
I’d rather starve than give WM one red cent.
Swanson chicken broth:
Wal Mart .40 highest I’ve paid .57
My regular store Bel Air (Raleys- Northern CA) 1.69 on sales1.47
Wal-Mart is generally lower on canned and boxed foods. For meat and produce they feature mediocre quality and high prices.
They are not even lowest on staple goods sometimes. I eat a couple of snacks at night to settle my stomach. I noticed the local small supermarket is lower on a particular brand of snack cakes than Wal-Mart. On the other hand, for things like rice and beans etc. Wal-Mart is way lower.
Go to pick up the prescription, $4 . . . 4 friggin' dollars. For 60 instead of 30.
Same happened here. They remodled and everything seems like it has increased in price by anywhere from .25¢ through many dollars. Iams cat food used to be $28.66 for a 20# bag now they want $23.99 for 14#! :(
*** W-M has been raising prices for the last year. Thus lowering them is just getting back to regular prices.***
Will the can size drop as the price drops?
Old Roy dog food used to be 50 lb. then dropped to 40 lb, then back up to 50 lb, then down to 40 lb, now it is up to 44 lb.
When was the last time you saw a 20 lb sack of cat food?
Or a POUND OF COFFEE?
Wish I could say it was only Walmart doing this but the other stores are doing it also.
If Aldi ever gets nationwide - Wal Mart grocery will have problems. Wal Mart “ain’t” that cheap. Target is cheaper and Aldi chased WMT out of Germany because ALDI gave em a whopping.
3 lb. bag of onions at Aldi’s $1.99
3 lb. bag of onions at W-Mart $2.88
I don’t know. I find myself coming out of Walmart empty-handed more often than not. I buy some groceries from WM that are consistently cheaper than my grocery store but if you shop the sales you can still beat WM prices.
I noticed this evening, while I was waiting 30 minutes for someone to help me buy a treadmill, that many shelves were empty and there were 6 shelfs that had one row of the same product on each shelf. IOW, they could have fit on two shelves, three deep.
I notice that our over-priced hardware store is packed every day and I know that it is because WM is not carrying the diversity of products it used to. I also notice more traffic at K-Mart, it used to be a mausoleum and now the parking lot is full again.
“Wal-Mart must have forced all domestic food manufacturers to move production to China.”
I love melamine and mercury in my cookies plus sulphur in my dry wall - but that is just me.
Wal-mart is damned if they do and damned if they don’t. They are selling alot of Great Value products made in the USA and people are complaining about not enough name brands on the shelves. It doesn’t seem to matter if the name brands are made anywhere else.
Went to Wal-mart the other day and the lady that checked me out was missing a portion of her left hand, the greeter was very elderly as were many of their employees..where else could they find work? Wal-mart is NON union and of course their prices have gone up as has national wage and gas.
I remember it well. It was just about this time last year when they announced they would gradually raise prices.
Exactly! The prices went up because of transportation costs, and then they stayed there.
The grocery business is particularly pressured by such pricing, as its profit margins are already low.
I dont know about where you live, but W-M has been raising prices for the last year. Thus lowering them is just getting back to regular prices.
Same here, where everything is a dollar more than in grocery stores in the rest of the country.
Yes, that is the price whether you have insurance or not. Can get even cheaper per dose some places by utilizing a 90 day script.
Minimum wage has gone up, gas is high and Wal-mart is non union. The government regulations may well force many companies to raise prices or leave the USA. Regulate them out of the country.
It would damage the economy in the area I live because they hire so many elderly here that would not be able to find a job anywhere else. Handicapped too and they are open 24/7.
Also, they gave 1,000 dollars to the school here for a Christmas coat drive and do alot more to help those in need
I shop at a Market that feeds you all the way through the store. It’s like a party to shop there. But there is a method to the madness, I always spend more than I planned.
My store has began shelving mostly the most expensive canned or sacked goods. They do have a section along side those of less expensive, but not enough less to warrant buying the cheaper brand.
Looking for another store.
“Im probably not very bright but I like to buy groceries at the place with the lowest prices.”
I like the best quality stuff at the lowest prices.
Catering to their largest constituency, illegal aliens!
I don’t buy many Chinese groceries.
Above link for What The Experts Are Saying ...
Download and open in a pdf document.
Walmart Fact Sheets
You’re not supposed to catch that, you’re just supposed to see that it is almost $5 a bag cheaper.
Thanks. I was wondering how we could turn this thread into a discussion about illegal immigration.
Id rather starve than give WM one red cent.
Walmart’s meat and produce prices are way too high
Democrats had no problem with Walmart until it started carrying groceries. Then it competed with the union stores in the big cities and the party went after it with a vengance.
Shaw’s in my small Connecticut town is closing in a few days. It served us and the town next door which has no grocery store. Union busted it. Supposed to open as something else sometime soon. Hope so as there is only one other store in town.
Wal Mart prices go up and down, I guess depending on deals that the Manufacturer gives them. They pass savings on to the customer.
My Mom said it was the same way at the base commissary. One week something would be one price the next week a different price. That is the real world. I worked for a large candy manufacturer and when they had a good deal on a product sales would go through the roof.
I read an article last weekend that said Walmart was competing with Whole Foods for the vegetable and fruit shoppers. Taste studies found them to be comparable and cheaper.
The only reason I mention this is...they are trying to use local small farmers.
I think Wal-Mart has done some damage to the mom and pop operations, but using local farmers could end up being a huge deal.
Democrats had no problem with Walmart until it started carrying groceries
Democrats have a problem with Walmart for ONE reason:
they won’t go union.
Current gas prices north of Chicago proper range
from $3.03/gal to $3.49/gal
Those costs, plus horrendous tax increases being levied by every budge-starved municipality these days, affect every retail operation.
I would support that decision, but I don’t know how to create the inescapable scenario of you being forced to shop at Walmart.
Perhaps I could copy the methods of those leftists and elitist people that have succeeded in keeping Super Walmarts out of San Diego for all these years and forcing me to shop at the stores that they allow me to shop at.
You can't beat 'em - or even come close - on most canned food items, paper goods, etc.
Wally's truly a mixed bag. You save on one aisle, and get hosed on the next.
Me no like commie appeasers. WM appeases both domestic commies and foreign ones.
Protip: if the package says, “MADE IN CHINA,” don’t buy it.
If my Tabasco sauce was not made in Peking, like God said it should be, then I don’t pay the 98 cents that Wal-Mart charges instead of the $2.28 that Albertsons does.
Stopped shopping there for food long ago.
The local Martins Supermarket beats the snot outta them for prices, quality, cleanliness *and* selection.
Interesting....we've always loved our tiny neighborhood ACE hardware. Ten years ago, a Home Depot opened and, of course, a Lowes opened shortly thereafter.....we continued our hardware shopping (very minimal) at ACE, and asked the owner how he was faring; he told us that he was doing just fine, by doing the "niche" thing...........for instance, NONE of the big boys sell metal trash cans or even rain gutters (desert - infrequent rain) around here - ACE does. They're still our first stop.