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Wal-Mart Always has The Lowest Prices, Right? Wrong, It’s Amazon

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We have four Wal-Mart stores in the immediate area. We have two in Evansville, one in Newburgh and one in Henderson. If you have ever had the misfortune to be in any local Wal-Mart on a Saturday, you know how crowded it is. The reason for the crowd is simply because Wal-Mart is cheaper than anyone else….until now. According to a new survey, Amazon is not only cheaper than Wal-Mart, but is MUCH cheaper. An organization called YouGov is thought to be the only daily consumer perception research firm. Their BrandIndex has interviewed 5,000 people each weekday from what they call a representative U.S. population and they asked one question of those people…”Does [retailer] give good value for what you pay?”

It was determined that Amazon was the cheapest place to shop even though Wal-Mart recently rolled out a $2 billion plan to revive and strengthen it’s low-price guarantee.

Amazon on the other hand is an e-tailer and it’s CEO and founder Jeff Bezos has been working very hard to build Amazon into THE shopping destination for online bargains on the widest assortment of merchandise – - some even refer to Amazon as the Wal-Mart of the web.

In fairness to Wal-Mart, Amazon does not have to deal with store operating costs and overhead to the extent that Wal-Mart does. Amazon also tends to skirt some state sales tax laws which allows their prices to be even lower.

We live in an interactive society now and most experts believe Wal-Mart has done a terrible job at trying to capture and entice the online shopper. Another problem for Wal-Mart is their inability to offer multiple brands at various price points, which is exactly where Amazon is cornering the discount marketplace. The biggest advantage to shopping Amazon would have to be the ability to shop from home on a Saturday.

[Daily Finance]

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