Amazon.com has lower holiday prices for consumer electronics than Target, Wal-Mart Stores and other big-box players, analysis finds
November 11, 2011
– Amazon.com, Inc. had cheaper prices for consumer electronic goods during the first week of November than rivals Wal-Mart Stores, Inc., Target Corp. and other big-box stores, the Street reported on Nov. 10.
According to a holiday pricing study by Goldman Sachs, this is Amazon’s third consecutive year as the price leader in the consumer electronics category. Amazon’s prices for consumer electronics are 7.3% lower than the average price for these products.
The Street reported that, in a comparison study by Deutsche Bank, Amazon had the cheapest price for 14 out of the 20 consumer electronic items included in the study. Deutsche Bank further found that, during the first week of November, Amazon had the lowest price for 50 holiday items. Amazon also has the lowest average prices in the categories of books, movies and music.
Target lagged behind the other players in terms of price although, when adding in the 5% Redcard discount, Target had the cheapest price for 23 of the 50 holiday items included in the Deutsche Bank study.
In the Deutsche Bank study, Wal-Mart came out slightly ahead in terms of toys, and had the cheapest price in four of the 12 items studied.
It is worth nothing that both Target and Wal-Mart will match the price of items when they are advertised at a cheap price by competitors.
The primary source of this article is the Street, New York, on Nov. 10, 2011.