LAS VEGAS--(BUSINESS WIRE)--Shoptalk – An analysis by Boomerang Commerce, creators of the first guidedanalytics suite for modern retailers, reveals Target and Walmart’s beverage and breakfast product pricing is approximately half that offered by Amazon. Given the scale of the price difference, the findings suggest Target and Walmart could lure customers away from Amazon by expanding their assortments of pantry goods — such as canned food, snacks and other non-perishables — while maintaining competitive pricing.
Key findings from the sample set of data analyzed by Boomerang:
- For the top 100 beverage items on Target, the identical products on Amazon were 97 percent more expensive and 93 percent more expensive on average among Target’s top 100 breakfast items.
- For the top 100 beverage items on Walmart, the identical products on Amazon were 105 percent more expensive and 73 percent more expensive on average among Walmart’s top 100 breakfast items.
- The average retail price for an item in Amazon’s top 100 beverage items is $23.28. In contrast, the average retail price for an item in Target’s top 100 is $4.13, while the average retail price for an item in Walmart’s top 100 is $6.06. Though the items are not identical across each retailer’s top 100, the findings show that consumers buy higher-end items at Amazon and also pay a higher margin for these grocery goods across the board. Average prices for the respective top 100 breakfast items at Amazon are $13.64, at Target are $7.95 and at Walmart are $6.55.
“Amazon has cultivated a reputation for being a low-price leader, but Boomerang Commerce’s analysis exposes key opportunities for other retailers to retain their existing customer base and pull new shoppers away from Amazon,” says Boomerang’s CEO Guru Hariharan. “This is a significant vulnerability that Amazon’s competitors can exploit right now, particularly in markets where Amazon does not yet have same-day or one-day delivery.”
These findings, as well as information on the Boomerang Commerce Retail Analytics Suite, are available at Shoptalk, the next-gen commerce event taking place this week at the Aria Resort and Casino in Las Vegas. Attendees can connect with Boomerang Commerce by appointment or see CEO Guru Hariharan speak on the Intelligent Pricing and Merchandising panel on Wednesday, May 18, from 10:45 to 11:25 a.m. For all others, online demos are available here.
About Boomerang Commerce
Founded in 2012, Boomerang Commerce offers the first guided-analytics suite for modern retailers. This Retail Analytics Suite comprises price optimization, price intelligence with actionable recommendations, assortment optimization in near-realtime and more. Nine of Internet Retailer’s Top 50 already rely on Boomerang’s solutions. Built by a team from Amazon, Google and Walmart.com, Boomerang applies machine learning and big data analytics to massive data quantities across digital and brickand-mortar channels. Boomerang’s technology derives superior insights and actionable recommendations to transform business decision makers into retail ninjas. For more detail, please visit www.boomerangcommerce.com.