Re: Supermarkets (finally) blinked.

On Mon, 05 Jan 2009 09:53:08 -0500, Ann wrote:

On Mon, 05 Jan 2009 02:13:30 +0000, Terri wrote:

Ann <nntpmail@xxxxxxxx> wrote in
news:pan.2009.01.04.09.42.40.259998@xxxxxxxx:

Considering the drop in commodity and fuel prices, this should have
happened sooner. But, at least here, the prices usually effectively go
up over the holidays and then drop back in mid-January. (Effectively
meaning that there are fewer staple items on sale.) However, since
they (and the manufacturers) appear to be stabilizing prices, I guess
some of their hyperbole can be excused.

It will be interesting to see if/how Walmart responds. Will the
customers who were willing to overlook Walmart's higher grocery prices
for convenience of one-stop still be willing to now the holidays are
over?

I'm a bit confused Ann (yeah I know, what else is new?!), but I was
under the impression Walmart was one of the few that were doing well
_because_ they have lower prices?
I don't shop there so I've no idea what their grocery prices are.

I think they do well because they are very good at merchandising. Walmart
really knows the purchasing habits of its target customers and is good at
store placement.

Duh! I completely forgot one Walmart "advantage". They accept credit
cards for grocery purchases. In theory I don't think it's a good idea to
buy something on credit that will be consumed before the bill arrives.
But it is more convenient than going to the ATM first to get cash.

I think they also sell a lot of gift cards ... which the recipients might
not be as careful spending as they would their own cash.



.

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