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Will low prices win Easter? Target and Walmart think so

Written by George Anderson

Photo / Target

Target and Walmart are heading toward Easter with offers of holiday savings for cash-strapped shoppers. Target is playing up its selection of sweets to help its customers create inexpensive Easter baskets. The chain says shoppers have a choice of more than 200 seasonal treats priced under $5. The retailer, mindful of margins, reminds customers that its “affordable basket builders go beyond a wide assortment of treats from beloved national brands to include more than 30 new seasonal sweets and snacks from Target-owned brand Favorite Day. With so many choices, you can pick a mix of flavors and fun to create a truly memorable Easter basket.” Walmart is being even more assertive than Target about its holiday pricing message offering customers the ability to create Easter meals and baskets for the same price as last year. The retailer says customers can purchase a curated meal and Easter basket for under $100. The chain cites research that shows nearly two-thirds of consumers expect inflation to affect their Easter celebrations as the impetus for its actions. “Our purpose is to help customers save money and live better,” writes John Laney, executive vice president, food, Walmart U.S., in a company blog. “We’re committed to keeping prices low, so families can spend less time worrying about the cost of coming together and more time celebrating with their loved ones. To ensure our customers can do just that, we’re continuing to invest in the moments that matter this year by offering a Walmart-curated Easter meal and Easter basket at last year’s price.” Both chains' food pricing messages come at a time when many consumers question whether grocers are getting rich at their expense. A dunnhumby survey of U.S. consumers found that they think prices for food at home are rising at more than twice the inflation rate. They also believe that grocery stores’ net operating margins are 35.2 percent instead of the 2.5 percent earned in the real world.

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