Have you noticed everything is becoming more expensive? You are not alone, and Walmart is taking notice. After high inflation has pushed the prices of everyday needs up, Walmart is telling suppliers that it needs to draw the line.
For suppliers, this means that if they don’t find ways to cut back on costs, they may find their products replaced with cheaper Walmart brand options, according to Reuters.
Last year Walmart and others were hit with not only higher costs of products but higher costs to get the products to stores. The cost of transportation went up, about so did the cost of cardboard. Now though, cardboard is down by as much as 50%, and transportation costs are down by as much as 30%. This is driving Walmarts to push to fight back against new price hikes.
Inflation is not going away, and Walmart is unlikely to be able to stop all new price hikes. At this point, Walmart is likely hoping just to slow them down and, if need be, replace products with cheaper versions.
Inflation has helped Walmart attract back customers who had gone to more expensive stores, but it has also hurt Walmart. Now an increasing number of shoppers are looking to even cheaper options or bulk buying at places like Costco.
Some companies like Clorox have said they don’t have plans for new price hikes. Others, like P&G, have announced plans for more price hikes in the months to come.
How has inflation impacted your shopping? Leave us a comment and let us know.