Walmart plans to launch its opening price point private label, Price First, nationwide in late third quarter.
The Price First line has focused primarily on consumables, as peanut butter, baking mixes and condiments are among the items being offered on the first tier of a good, better, best marketing strategy. Walmart has piloted the Price First line across 400 stores in the Southeast since last fall and will now be expanding distribution across its entire store base.
"These initiatives are about changing with our customer," said Doug McMillon, Walmart president and CEO. "We’re pushing to save [our customers] time and money, both in store and online," he said. "Customers are rational. They respond to low prices, innovative products and the service they expect. So, we must run stronger stores everywhere we operate, with better merchandising, in-stock levels and quality service. I’m confident that we can improve comp sales as we deliver on these priorities, and I’m bullish on our core business."
To ensure customers are in fact getting the best price at Walmart, the discount retailer two weeks ago rolled out a program called Savings Catcher nationwide, which leverages Walmart's data analytics capabilities to automatically match competitors’ ads, and "strengthen customers’ confidence that they are receiving the lowest advertised price on like items," Greg Foran, Walmart U.S. president and CEO, told investors.