Key Takeaways
- Walmart prices haven’t risen dramatically across the board, but they’re showing in some categories, according to Consumer Edge, a data and insights firm.
- Consumer Edge noted particularly high price increases in products including pet food, toothpaste and body wash.
- Industry experts have cautioned that any price actions Walmart takes could lead other retailers to do the same.
Walmart warned that higher prices were on the way. Fresh data indicates that they’re here.
Walmart (WMT) CEO Doug McMillon said in May that the giant retailer was trying its “best to keep our prices as low as possible. But given the magnitude of the tariffs… we aren’t able to absorb all the pressure given the reality of narrow retail margins. The higher tariffs will result in higher prices.”
Prices aren’t rising dramatically across the board, but they’re showing in some categories, according to Consumer Edge, a data and insights firm that analyzes daily shopper purchase data on packaged consumer goods. Industry experts have cautioned that any price actions Walmart takes could lead other retailers to do the same.
According to the latest Basketview data from Consumer Edge, prices for some products are notably higher at both Walmart and Target (TGT), said Michael Gunther, the firm’s head of insights.
Between the “Liberation Day” tariff announcements and June 1, according to Consumer Edge, the price of wet dog food was up 8%, rising alongside other varieties of dog and cat food. Gunther also noted higher prices at both chains for products including toothpaste and body wash. Earlier measures taken in May showed higher prices of liquid laundry detergent and crackers.
Consumer Edge began to watch consumer packaged goods prices at Walmart and Target after McMillon’s comments, according to Gunther, who said prices on everything from ingredients to packaging—as well as “opportunistic” price hikes by retailers—could be increasing price tags.
“We didn’t see any significant change initially—and then we did,” he said. In the week ended May 25, Gunther said, the prices started to tick up.
Walmart declined to comment for this story. Target did not respond to Investopedia’s request for comment in time for publication.
Target executives said last month that tariffs weighed on its first-quarter sales. Best Buy (BBY) also recently said the company would consider price increases to soften the impact of tariffs on the business.
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