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Kantar Retail is out with its semi-annual pricing study of Walmart and Target, concluding that Walmart continues to lead in this area, though the gap is narrowing.

"With an overall branded basket 2.4% less expensive than Target’s," the study says, "Walmart’s overall price gap has still remained within a few percentage points of Target’s, although its lead has narrowed since the last iteration of the study. Importantly, Target’s edible basket was within cents of Walmart’s. 'Though bolstered by TPCs, Target’s ability to match Walmart’s pricing in a department where Walmart has focused its price leadership efforts is most impressive,' notes Robin Sherk, Director of Retail Insights for Kantar Retail and leading contributor to the study.

Among the conclusions:

• "Driven by non-edible grocery, Walmart’s overall branded basket was 2.4% less expensive than Target’s, with only Target’s HBA sub-basket leading Walmart’s in price."

• "Only 19% of the items in the two retailers’ baskets were more than 10% more expensive at Target this iteration."

• "Walmart maintained its lead through everyday low prices (EDLP), with its basket recording only one Rollback.  Target increased its use of TPCs to a total of 10, an increase from 7 in January 2013."
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