Price Perception – Is CVS Cheaper than Wal-Mart??

In our society we are conditioned to think one way or anything. Marketing executives are paid large sums of money to come up with catchy phrases like ‘every day low prices’ and ‘dollar days’. Many retailers use a variation of everyday low prices to create a positive price perception with you the consumer. Large chains like Kroger and Wal-mart identify and aggressively price the brands and items that the largest segment of shoppers care about and are likely to remember. For example Kroger will run great cereal deals. Does this mean all cereal is on sale, no, but it often does lead to a positive price perception, and that can lead to store loyalty.

Perception is important when it comes to saving lots of money. We need to understand what strategies the stores employ in order to shop smarter. In pricing items stores often will employ the following:
1. Lure you in by offering a great discount price on a few select items.
2. Have sales on attractive and commonly purchased brands.
3. Offer value sized items, at a good price
4. Establish low everyday prices on select items to establish the perception of price credibility.

All of these strategies give us an impression of the store. We as consumers must be extremely prepared to reevaluate our price perception when we start using coupons. We need to understand that Wal-mart does not usually have the best price. Kroger or an even a drug store might. Many people only shop at Wal-Mart even when there are many other options in town, simply because they have a positive price perception of Wal-Mart. The important thing to remember is perception is NOT reality.

Wal-Mart has good prices, but has terrible coupon policies. CVS on the other hand is a great store for coupons. Before I started using coupons, I would have never thought to buy anything but prescriptions in CVS, but now, I’m in CVS buying something every week. CVS runs very aggressive sales every week. When combined with my coupons, I get many products for free or even get paid to shop!! What a change in perception!

Wal-mart does not employ the high-low prices model, so it is difficult to get things for extremely cheap. (See the article on high-low pricing) In learning the basics of couponing, we must first find the best price. Ignoring our price perceptions or building new ones is an important step in successful coupon usage. Second we must learn the coupon policy of the store. If Wal-Mart does not double a coupon, yet has a lower price is that price really lower?? The answer is a resounding NO. Coupon policies are so important in forming your new price perception. Who doubles, how many, what kind of sales do they run, how often are all questions you’ll need to ask.

If I were to ask you: What store has the cheapest price? What would be your response? In my experience, savvy (non-coupon) shoppers say Wal-Mart. What if I told you I save hundreds every month, and I don’t even step foot in Wal-mart!! Price perception is something that is hard to break, but in breaking and building a new price perception you’ll be on your way to saving big.

Written By: MrCoupon for weusecoupons.com

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My perception is that locally Wallyworld is horrible for coupons!
The newest Wally=huge-world just opened (3rd store in town of Wallys)
and prices are even higher. Can't understand that at all.

TYVM for sharing!

I have noticed that each WM has there own prices for everything. I can buy diapers in one WM for 9.97 and other is 10.97 or higher. It all just depends on what you are wanting.

I've noticed this with meijer and kroger too....i'm wondering how they determine prices for certain region.