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Industry NewsWalmart and Amazon intensify grocery wars

Walmart and Amazon intensify grocery wars


Walmart’s online grocery prices are edging closer to Amazon’s, and only a slim gap now separates the two, says a new study by e-commerce analytics firm Profitero.

The report compared pricing for 21,000 products in grocery, beauty and household supplies, finding only a 1.8% average difference between Walmart and Amazon grocery prices. Target and were on average about 6% higher in grocery than Amazon.

The report also found Walmart matched Amazon prices on 67% of grocery items studied, and that Amazon’s Prime Pantry program is helping Amazon create price separation from the competition, with prices averaging about 11% less than those of other retailers.

“Amazon still reigns as the low-price leader online, but it’s evident that Walmart is making grocery a key battleground for challenging that leadership,” said Keith Anderson, SVP of Strategy & Insights at Profitero. “Our latest study confirms that price gaps in online grocery are much narrower than what we found to be the case across other non-grocery categories.”

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