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GeoIp2\Model\City Object ( [raw:protected] => Array ( [city] => Array ( [geoname_id] => 4509177 [names] => Array ( [de] => Columbus [en] => Columbus [es] => Columbus [fr] => Columbus [ja] => コロンバス [pt-BR] => Columbus [ru] => Колумбус [zh-CN] => 哥伦布 ) ) [continent] => Array ( [code] => NA [geoname_id] => 6255149 [names] => Array ( [de] => Nordamerika [en] => North America [es] => Norteamérica [fr] => Amérique du Nord [ja] => 北アメリカ [pt-BR] => América do Norte [ru] => Северная Америка [zh-CN] => 北美洲 ) ) [country] => Array ( [geoname_id] => 6252001 [iso_code] => US [names] => Array ( [de] => USA [en] => United States [es] => Estados Unidos [fr] => États Unis [ja] => アメリカ [pt-BR] => EUA [ru] => США [zh-CN] => 美国 ) ) [location] => Array ( [accuracy_radius] => 20 [latitude] => 39.9625 [longitude] => -83.0061 [metro_code] => 535 [time_zone] => America/New_York ) [postal] => Array ( [code] => 43215 ) [registered_country] => Array ( [geoname_id] => 6252001 [iso_code] => US [names] => Array ( [de] => USA [en] => United States [es] => Estados Unidos [fr] => États Unis [ja] => アメリカ [pt-BR] => EUA [ru] => США [zh-CN] => 美国 ) ) [subdivisions] => Array ( [0] => Array ( [geoname_id] => 5165418 [iso_code] => OH [names] => Array ( [de] => Ohio [en] => Ohio [es] => Ohio [fr] => Ohio [ja] => オハイオ州 [pt-BR] => Ohio [ru] => Огайо [zh-CN] => 俄亥俄州 ) ) ) [traits] => Array ( [ip_address] => 216.73.216.24 [prefix_len] => 22 ) ) [continent:protected] => GeoIp2\Record\Continent Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( [code] => NA [geoname_id] => 6255149 [names] => Array ( [de] => Nordamerika [en] => North America [es] => Norteamérica [fr] => Amérique du Nord [ja] => 北アメリカ [pt-BR] => América do Norte [ru] => Северная Америка [zh-CN] => 北美洲 ) ) [locales:GeoIp2\Record\AbstractPlaceRecord:private] => Array ( [0] => en ) [validAttributes:protected] => Array ( [0] => code [1] => geonameId [2] => names ) ) [country:protected] => GeoIp2\Record\Country Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( [geoname_id] => 6252001 [iso_code] => US [names] => Array ( [de] => USA [en] => United States [es] => Estados Unidos [fr] => États Unis [ja] => アメリカ [pt-BR] => EUA [ru] => США [zh-CN] => 美国 ) ) [locales:GeoIp2\Record\AbstractPlaceRecord:private] => Array ( [0] => en ) [validAttributes:protected] => Array ( [0] => confidence [1] => geonameId [2] => isInEuropeanUnion [3] => isoCode [4] => names ) ) [locales:protected] => Array ( [0] => en ) [maxmind:protected] => GeoIp2\Record\MaxMind Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( ) [validAttributes:protected] => Array ( [0] => queriesRemaining ) ) [registeredCountry:protected] => GeoIp2\Record\Country Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( [geoname_id] => 6252001 [iso_code] => US [names] => Array ( [de] => USA [en] => United States [es] => Estados Unidos [fr] => États Unis [ja] => アメリカ [pt-BR] => EUA [ru] => США [zh-CN] => 美国 ) ) [locales:GeoIp2\Record\AbstractPlaceRecord:private] => Array ( [0] => en ) [validAttributes:protected] => Array ( [0] => confidence [1] => geonameId [2] => isInEuropeanUnion [3] => isoCode [4] => names ) ) [representedCountry:protected] => GeoIp2\Record\RepresentedCountry Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( ) [locales:GeoIp2\Record\AbstractPlaceRecord:private] => Array ( [0] => en ) [validAttributes:protected] => Array ( [0] => confidence [1] => geonameId [2] => isInEuropeanUnion [3] => isoCode [4] => names [5] => type ) ) [traits:protected] => GeoIp2\Record\Traits Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( [ip_address] => 216.73.216.24 [prefix_len] => 22 [network] => 216.73.216.0/22 ) [validAttributes:protected] => Array ( [0] => autonomousSystemNumber [1] => autonomousSystemOrganization [2] => connectionType [3] => domain [4] => ipAddress [5] => isAnonymous [6] => isAnonymousProxy [7] => isAnonymousVpn [8] => isHostingProvider [9] => isLegitimateProxy [10] => isp [11] => isPublicProxy [12] => isResidentialProxy [13] => isSatelliteProvider [14] => isTorExitNode [15] => mobileCountryCode [16] => mobileNetworkCode [17] => network [18] => organization [19] => staticIpScore [20] => userCount [21] => userType ) ) [city:protected] => GeoIp2\Record\City Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( [geoname_id] => 4509177 [names] => Array ( [de] => Columbus [en] => Columbus [es] => Columbus [fr] => Columbus [ja] => コロンバス [pt-BR] => Columbus [ru] => Колумбус [zh-CN] => 哥伦布 ) ) [locales:GeoIp2\Record\AbstractPlaceRecord:private] => Array ( [0] => en ) [validAttributes:protected] => Array ( [0] => confidence [1] => geonameId [2] => names ) ) [location:protected] => GeoIp2\Record\Location Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( [accuracy_radius] => 20 [latitude] => 39.9625 [longitude] => -83.0061 [metro_code] => 535 [time_zone] => America/New_York ) [validAttributes:protected] => Array ( [0] => averageIncome [1] => accuracyRadius [2] => latitude [3] => longitude [4] => metroCode [5] => populationDensity [6] => postalCode [7] => postalConfidence [8] => timeZone ) ) [postal:protected] => GeoIp2\Record\Postal Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( [code] => 43215 ) [validAttributes:protected] => Array ( [0] => code [1] => confidence ) ) [subdivisions:protected] => Array ( [0] => GeoIp2\Record\Subdivision Object ( [record:GeoIp2\Record\AbstractRecord:private] => Array ( [geoname_id] => 5165418 [iso_code] => OH [names] => Array ( [de] => Ohio [en] => Ohio [es] => Ohio [fr] => Ohio [ja] => オハイオ州 [pt-BR] => Ohio [ru] => Огайо [zh-CN] => 俄亥俄州 ) ) [locales:GeoIp2\Record\AbstractPlaceRecord:private] => Array ( [0] => en ) [validAttributes:protected] => Array ( [0] => confidence [1] => geonameId [2] => isoCode [3] => names ) ) ) )
country : United States
city : Columbus
US
Array ( [as_domain] => amazon.com [as_name] => Amazon.com, Inc. [asn] => AS16509 [continent] => North America [continent_code] => NA [country] => United States [country_code] => US )
Inflation operates stealthily, shaping economic dynamics, eroding consumer purchasing power, and leaving its mark across various sectors. Businesses grapple with formidable obstacles such as escalating costs, hiring delays, and stagnant earnings. Among the industries profoundly impacted by inflation, the grocery sector stands out, where surging prices can deeply concern the average shopper.
If you use retail price intelligence to do deep analysis, over the past year, the United States has witnessed a substantial inflationary surge, altering shopping behaviors for everyday necessities. Soaring raw materials, transportation, and labor expenses have contributed to price hikes. Furthermore, global supply chain disruptions and currency exchange rate fluctuations have intensified this challenge, weaving a complex web of interconnected factors.
To gauge the extent of these effects on prominent e-retailers, we comprehensively analyzed four major retail giants: Walmart, Target, Amazon, and Kroger and got pricing insights on leading US retailers. Each retail giant boasts a distinct business model and competitive strategy and confronts unique challenges. Consequently, they employ distinct approaches to navigate the pressures of inflation. For instance, Walmart anticipates its operating income to outpace sales growth in 2023, reflecting caution in light of sustained high prices and potential macroeconomic pressures. In contrast, Amazon's eCommerce division swung from a $31.9 billion profit in the previous year to a $2.5 billion net loss in 2022.
In the face of these daunting circumstances, grasping grocery pricing trends and strategies becomes imperative for online or brick-and-mortar retailers to adapt and prosper within the current economic landscape, thanks to the data scraped using professional retail price scraping. Examining their pricing trends provides valuable insights into how these companies steer through the turbulent waters of the grocery industry amid the backdrop of inflation.
In conducting our analysis, we scrape US grocery data that spanned a broad spectrum of products. This included items ranging from essential pantry staples like flour and rice to perishable goods such as dairy and produce. We meticulously curated a basket comprising approximately 500 Stock Keeping Units (SKUs) and tracked their prices across Amazon, Kroger, Target, and Walmart. Our data collection spanned from January 2022 to February 2023.
Additionally, we placed a specific emphasis on scrutinizing the prices of a more focused subset. This subset comprised over 28 high-volume daily essentials, which are known to generate increased sales and higher profit margins for these retail giants.
Our examination to scrape US retailers data uncovers a consistent trend: Walmart consistently maintains the lowest prices, typically averaging 7% below its closest competitor, Target. This achievement remains remarkable, even in the face of an annual price increase of approximately 6%. Walmart appears to prioritize a strategy focused on "stability and predictability" rather than aggressive margin optimization. The recent 7% growth in the last quarter suggests that this strategy yields positive results. Nevertheless, it's crucial to acknowledge that this approach may also entail challenges, as Walmart's profit margins face increasing pressure.
To withstand the challenges posed by inflationary pressures, Walmart adopts a prudent growth strategy while safeguarding its profit margins. Reports suggest that the retailer has taken a firm stance against consumer packaged goods (CPG) manufacturers following a series of price hikes aimed at counteracting rising inflationary costs in early 2023. One contributing factor to Walmart's continued growth and increased sales is the intriguing trend of 'non-traditional' higher-income households turning to Walmart for deals and discounts as their spending power diminishes.
Interestingly, Amazon emerged as the retailer with the highest pricing, followed by Kroger, which implemented a 12% price increase over the year. While consumer perception often associates Amazon with the lowest prices, the data reveals a different narrative. Amazon has been charging grocery prices 13% to 17% higher than Walmart's, yet it continues to maintain its success.
Although Amazon experienced a 4% decline in its online sales, it achieved a significant 8% revenue increase from third-party seller services, including warehousing, packaging, and delivery, in 2022. Amazon's robust logistics infrastructure and same-day delivery capabilities grant it a competitive edge over other retailers, contributing to its revenue growth and bolstering profit margins. Intriguingly, this situation allows Walmart and other retailers to adjust their prices upward while preserving their strong competitive positions.
On the contrary, Kroger positions itself with a premium pricing perception, consistently implementing price increases almost every month. Kroger's pricing strategy aligns more closely with that of Amazon.
Our analysis zeroed in on a select subset of over 28 high-demand staples available across various retailers to gain a deeper understanding of pricing dynamics. This subset encompasses well-known products such as beverages, baked goods, frozen meals, canned foods, cereals, detergents, dairy items, and other essentials.
Walmart maintains its position of offering the lowest prices, possibly to bolster margins through higher sales volume, even if it may overestimate the impact of inflation.
Within this context, the price discrepancies among retailers remain relatively modest, with Amazon and Kroger closely aligning their average prices with Walmart's.
However, Target's pricing strategy stands out significantly. Despite positioning itself as one of the more affordable options for a broader range of grocery items, it consistently ranks as the highest-priced retailer for daily staples. This discrepancy suggests that Target's underlying technology and pricing optimization might need to be more finely tuned to address market dynamics as its leading competitors. In our assessment, Target might benefit from enhancing its efforts to monitor and adjust pricing strategies within this sub-category closely.
In the face of a challenging economic landscape, retailers and grocery stores confront mounting pressure to uphold their revenues and profit margins. The adoption of a comprehensive and dynamic pricing strategy becomes paramount. Acquiring a nuanced understanding of which product categories are witnessing price fluctuations among competitors equips retailers to make well-informed decisions regarding pricing, both at the category and individual product levels.
Retailers should carefully strike a balance between maintaining healthy profit margins and respecting consumers' willingness to pay using ecommerce scraping services. Instead of implementing broad, across-the-board price hikes that could potentially erode customer trust, a more prudent approach should be considered. Price adjustments can present challenges for both customers and merchants alike. Retailers who harness the power of data-driven insights are positioned for greater success in navigating these complex pricing dynamics.
Stay tuned to the Actowiz Solutions blog for comprehensive analyses spanning pricing strategies, discounting tactics, stock availability, discoverability, and more across various retailers and brands spanning different industry segments. For immediate access to valuable insights, consider subscribing to our interactive grocery price tracking dashboard. Alternatively, reach out to us today to engage with an Actowiz Solutions expert and gain immediate clarity on your pricing strategies.
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Industry:
Coffee / Beverage / D2C
Result
2x Faster
Smarter product targeting
“Actowiz Solutions has been instrumental in optimizing our data scraping processes. Their services have provided us with valuable insights into our customer preferences, helping us stay ahead of the competition.”
Operations Manager, Beanly Coffee
✓ Competitive insights from multiple platforms
Real Estate
Real-time RERA insights for 20+ states
“Actowiz Solutions provided exceptional RERA Website Data Scraping Solution Service across PAN India, ensuring we received accurate and up-to-date real estate data for our analysis.”
Data Analyst, Aditya Birla Group
✓ Boosted data acquisition speed by 3×
Organic Grocery / FMCG
Improved
competitive benchmarking
“With Actowiz Solutions' data scraping, we’ve gained a clear edge in tracking product availability and pricing across various platforms. Their service has been a key to improving our market intelligence.”
Product Manager, 24Mantra Organic
✓ Real-time SKU-level tracking
Quick Commerce
Inventory Decisions
“Actowiz Solutions has greatly helped us monitor product availability from top three Quick Commerce brands. Their real-time data and accurate insights have streamlined our inventory management and decision-making process. Highly recommended!”
Aarav Shah, Senior Data Analyst, Mensa Brands
✓ 28% product availability accuracy
✓ Reduced OOS by 34% in 3 weeks
3x Faster
improvement in operational efficiency
“Actowiz Solutions' data scraping services have helped streamline our processes and improve our operational efficiency. Their expertise has provided us with actionable data to enhance our market positioning.”
Business Development Lead,Organic Tattva
✓ Weekly competitor pricing feeds
Beverage / D2C
Faster
Trend Detection
“The data scraping services offered by Actowiz Solutions have been crucial in refining our strategies. They have significantly improved our ability to analyze and respond to market trends quickly.”
Marketing Director, Sleepyowl Coffee
Boosted marketing responsiveness
Enhanced
stock tracking across SKUs
“Actowiz Solutions provided accurate Product Availability and Ranking Data Collection from 3 Quick Commerce Applications, improving our product visibility and stock management.”
Growth Analyst, TheBakersDozen.in
✓ Improved rank visibility of top products
Real results from real businesses using Actowiz Solutions
In Stock₹524
Price Drop + 12 minin 6 hrs across Lel.6
Price Drop −12 thr
Improved inventoryvisibility & planning
Actowiz's real-time scraping dashboard helps you monitor stock levels, delivery times, and price drops across Blinkit, Amazon: Zepto & more.
✔ Scraped Data: Price Insights Top-selling SKUs
"Actowiz's helped us reduce out of stock incidents by 23% within 6 weeks"
✔ Scraped Data, SKU availability, delivery time
With hourly price monitoring, we aligned promotions with competitors, drove 17%
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