Private Label Buyer

Walmart Promotions Up In 2013

July 3, 2013

Heading into the holiday weekend, a majority of retailers studied by Chicago-based research firm Market Track exclusively for PLBuyer’s eReport cut back on private label promotions from the same time a year ago.

Leading the decliners was Walmart, which had 53.3 percent fewer promotions than a year ago. It’s been a steady theme for Walmart in much of 2013, but despite the seemingly lower promotional numbers, Market Track said Walmart actually has increased private label promotions in the first half of 2013.

Analysis by the group showed that although private label product promotions have increased in 2013 from a year earlier, the share of private label promotions each week has dipped from 7.6 percent last year to 6 percent this year.

Walmart began increasing overall promotional pages midway through 2012, and has continued that pattern in the first half of 2013, the group said. It has Walmart flyers averaging 10 pages more a week than last year, including a midweek grocery circular that launched in the second half of 2012.

So despite the overall number of private label promotions rising in 2013, it comprises a smaller share of promotions at the world’s largest retailer because of those increased weekly pages.

Publix (-35.4%), Kroger (-20.4%) and HEB (-20.2%) were the other leading decliners last week. Food Lion increased promotions by 49.2 percent to lead the gainers.

Market Track’s analysis reflects regional versioning and market specific differences in circulars. This is accomplished through an extensive collections process, including physically obtaining the ads from the various markets in which they are distributed. In instances where retailers send additional circulars to a limited number of markets, Market Track’s information reflects these nuances to give a view of what is happening nationally.