BOSTON — A new report from global e-commerce analytics firm Profitero reveals that Amazon may be the current online price leader, but that lead could be slipping as Walmart ramps up its efforts to be price competitive.
The study, “Price Wars: A Study of Online Price Competitiveness,” states that Amazon’s prices are typically 11% lower than those at Walmart, Target Corp. and Jet. However, Walmart is rapidly closing the gap, with the retailer’s prices found to be only 3% more expensive on average than Amazon across all categories studied. This compares to a 2014 Profitero study that found Walmart’s pricing to be 9% higher than Amazon on average. Target was found to be 17% higher than Amazon on average, and Jet 12% higher.
For the study, Profitero analyzed the prices of more than 52,000 exactly matched, in-stock products across 13 categories including beauty, toys and games, electronics, and pet supplies, at Amazon.com, Walmart.com, Target.com, Jet.com and specialty retailers, with data collected daily and averaged between June and August 2017 for comparison.
“While Amazon remains the online price leader, it’s clear that Walmart is on the offensive, with prices just 3% more expensive than Amazon,” explains the report’s author, Profitero senior vice president of strategy and insights Keith Anderson. “A significant change from our 2014 study.”