A day after the Federal Trade Commission officially approved the $13.7 billion Amazon–Whole Foods Market acquisition, the companies announced that the grocer will offer lower prices on select items starting Aug. 28, including bananas, avocados, brown eggs, kale, salmon and tilapia, lean ground beef, rotisserie chicken, apples and butter.
“The speed with which Amazon intends to adjust pricing across the Whole Foods network will force changes in the way the industry operates,” said Greg Portell, lead partner in the retail practice of A.T. Kearney in commentary provided to Retail TouchPoints. “The complexity associated with traditional grocers makes it difficult to adjust pricing quickly. If Amazon is able to translate their dynamic pricing capability to the physical stores, traditional grocers will be under pressure to match that ability – regardless of whether they match prices.”
Continue reading “‘Whole Paycheck’ No More: Amazon To Slash Prices On Select Whole Foods Products”
Building on its commitment to deliver exceptional customer service and competitive prices across all products, The Home Depot México has selected the Revionics Price Suite of solutions.
The retailer’s pricing team will leverage the Revionics suite to:
While many traditional retailers had a weak Q1, off-price retailers such as TJX, Ross Stores and Five Below did quite well for themselves in the same period. Unlike department stores that often feel the need to mark down inventory for the sake of getting the merchandise off their hands quickly, off-price retailers already purchase their inventory at a discount.
A recent RetailWire article spotlighted what appears to be a trend: most consumers now purchase their clothes at off-price outlet stores. The article noted that off-price shoppers now represent two-thirds of all consumers, according to a study from The NPD Group. The study also indicated that off-price buyers represent 75% of apparel purchases across all retail channels.
Continue reading “Is Off-Price Now The New Normal?”
Pricing is still a top-of-mind concern for the modern American female shopper: price is easily the most important factor impacting shopping behavior among this demographic, according to Blackhawk Engagement Solutions.
This sentiment doesn’t appear to be waning, as nearly all (97%) of these women have the same or greater sensitivity to price this year that they had in 2015.
Continue reading “The Price Must Be Right For U.S. Women Shoppers”
When asked to rank the factors they use in selecting a primary grocery store, 70% of U.S. shoppers identify “low prices” far above any other factor, according to research from Blackhawk Engagement Solutions.
Additional consumer considerations include:
These elements all can contribute to consumers’ perception of the store. They are also vital to reeling them in for the long term, since 60% of shoppers consider themselves loyal to a particular grocery store.
Continue reading “Shoppers’ Message To Grocery Stores: Show Us The Deals!”
Retailers continue to feel pressure from all sides when it comes to refining their pricing strategies. As many as 55% of retailers noted increasing consumer price sensitivity as a top strategic pricing business challenge in 2015, according to research from Retail Systems Research (RSR). Additionally, 48% of retailers believe increased pricing aggressiveness from competitors is a major challenge, up from 32% in 2014.
360pi, a provider of price and product intelligence solutions, co-sponsored the report, titled: Pricing 2015: Learning To Live In A Dynamic, Promotional World. The report highlights the top strategic pricing business challenges for retailers, the pricing strategies of retail winners and laggards, and key opportunities for retailers to successfully navigate through the future of pricing. RSR surveyed 123 retail respondents online between March and May 2015 to collect data for the report.
Continue reading “Retailers Feel Pricing Pressure From Consumers And Competitors”
More than half of retailers (52%) use more than 10 pricing strategies, according to Software Advice, a web-based reviewer of retail POS systems. Another 18% use either nine or 10 strategies, while 14% use seven or eight.
To create the report, Software Advice gathered insights from 395 retail professionals within the U.S., India, Mexico, the UK and Germany. More than one third (36%) of the respondents have more than 50 locations and 22% have only one location.
Continue reading “52% Of Retailers Use More Than 10 Pricing Strategies”
Amazon and Sears are the most price-dynamic retailers, changing prices on 15% to 20% of their product assortment daily during normal shopping periods, according to research from 360pi. These figures can double during heavy shopping periods, particularly during the back-to-school and holiday shopping seasons.
On the other end of the spectrum, the least price-dynamic retailers included Apple and Staples. These retailers changed prices on nearly 0% of their products. The research indicates that price dynamism varies for the majority of retailers during normal shopping periods, falling between 0% to 5% and 15% to 20%. Walmart falls into this range, as it changes prices on 6% to 8% of its assortment on a daily basis.
Continue reading “Amazon And Sears Top List Of Most Price-Dynamic Retailers”