Check Out Wal-Mart’s price cuts for eggs, milk, butter and bread in Ontario, Canada.

If you are counting pennies but still want that morning coffee and omelet, you can now buy one- and two-liter milk cartons for $1.77 and $2.97 respectively or a dozen large eggs for $1.97, if you shop at Wal-Mart’s Ontario stores.

The world’s top discount retailer said that besides cutting prices for those staple food items in its Ontario stores, it will also slash prices on hundreds of products across Canada in September, after a round of different price cuts in August.

Wal-Mart’s decision is yet another nod to the fact that more and more shoppers are squeezed for money these days.

“With looming back-to-school costs, gas-pump woes, food-price hikes, and a struggling provincial economy, times are tough for many of our Ontario customers,” said Vi Konkle, Wal-Mart Canada’s chief customer officer, in a release.

It certainly looks like Wal-Mart is paying close attention to consumers’ money-saving actions, such as drawing up shopping lists to avoid spending extra money, consolidating shopping trips, avoiding costly items and buying cheaper store-brand products.

Konkle said milk, butter, eggs and bread feature prominently on people’s shopping lists, and that is why they’re getting their prices cut.

With that move in Canada, how far behind is a round of price reductions in the United States?

Also in the basket:

Starbucks says more discounts, promotions coming

Suitmakers hit hard as retailers want discounts

Tiffany U.S. fortunes could turn at holidays

Linens ‘n Things may file restructuring on Friday - NY Post

(Photo: Reuters)

Check out how generic drugs cut into June pharmacy sales at Rite Aid.

The No. 3 U.S. drugstore chain said its pharmacy same-store sales fell 0.5 percent, as generic drugs were introduced and allergy medicine Zyrtec was switched to over-the-counter status.

Generic drug rollouts hurt rival Walgreen as well. That company said a day earlier those drugs cut into its pharmacy same-store sales by 2.1 percentage points. 

Drugstores, in general, have been facing more competition from grocery stores and discounters like Wal-Mart, which have been offering discounts on a slew of prescription drugs.

Also in the basket:

Adidas eyes 6,300 stores in China by 2010

Blockbuster may do Circuit City deal later (New York Post)

Circuit City faces tough road but Chapter 11 not near

(Photo: Reuters)

As consumer prices rise and the economy founders, Web surfers are scouring cyberspace for deals.

A new study released this week by market research firm Hitwise showed that online coupon clipping is on the rise.

Hitwise told Reuters that U.S. visits to certain custom coupon Web sites increased 66 percent from May 2007 to May of this year.

Heather Dougherty, research director at Hitwise, said shoppers are trying to cope with cost of living increases.

“While discretionary income is shrinking for some households, consumers are still shopping online, but making sure they find the best deals,” she said in a statement.

Coupons.com led the pack within the category, grabbing 29 percent of the market and chalking up a 190 percent increase since last year.  Coupon Mountain and Eversave rounded out the top three with 14 percent and 6 percent, respectively.

When Hitwise measured traffic from the week ending June 6, they found that search engines directed 20 percent of penny-pinching shoppers to coupon sites. Of the top search terms, 60 percent included a reference to a specific brand or branded product.

Monthly visits to comparison shopping Web sites also increased 60 percent from May 2007 to May of this year, Hitwise spokesman Matt Tatham said.

Looking for a bargain? Here are some other coupon sites:

• Coolsavings.com
• Couponsurfer.com
• Valpak.com
• grocerycouponguide.com

Upon entering Wal-Mart Stores annual shareholder meeting, an observer might be forgiven for thinking they had just walked into a lively, national political convention.

Patriotic red and blue buntings covered the 16,000-seat arena at the University of Arkansas, the music hardly stopped and the crowd was treated to a constrant stream of well-tuned public relations bullet points — in this case, sustainability, community relations and saving shoppers money.

Associates — the word the world’s largest retailer uses to describe its 2 million employees – whooped and hollered at every chance, especially whenever an executive uttered the word “proud.”

(An associate later told Reuters that staff had been told to react whenever they heard that word — even when it meant interrupting the speaker, presumably.)

“We’re just having fun!” said Mike Miller of Scott Depot, West Virginia, whose group of fellow Sam’s Club associates donned funny hats with stars and stripes, reminiscent of a patriotic Dr. Seuss character.

Large balloons emblazoned with the company slogan “Save People Money So They Can Live Better” bounced back and forth between the bleachers, and enthusiastic associates waved flags.

Even Master of Ceremonies Queen Latifah seemed moved by the euphoria. After a number in which singers sang “One World” as representatives from different countries took to the stage in a mini-U.N, the performer beamed and sighed: “One world — a Wal-Mart world.”

The associates’ enthusiasm waned somewhat during presentations by the companies’ financial mucky-mucks — shares up 26 percent since January, ho hum, etc — but revived somewhat with a performance by Dreamgirls’ Jennifer Hudson (picture at right).

She sang, fittingly, “And I Am Telling You I Am Not Going.”

Just like Wal-Mart. – Reporting by Alexandria Sage

(Reuters photos)

Check out the other discounter.
 
The wisdom in the struggling U.S. economy is that discounters are doing well as consumers trade down to try to save some money. It has worked for Wal-Mart, which saw first quarter profit rise 7 percent, while same-store sales rose 2.9 percent.
 
Not so much for Target, though.
 
That discount retailer today posted a 7.5 percent decline in net income for the quarter and its same-store sales dipped 0.7 percent and were weaker than the company had expected.
 
For a time, Target attracted customers with an approach that became known as “cheap chic,” with designers like Isaac Mizrahi developing exclusive clothing lines for it. At the same time, Wal-Mart has stumbled with its own attempts to upgrade its apparel offerings.
 
But even before the economy went south, Wal-Mart refocused on offering lower-priced value, a move that has helped the company in an economy that many say is in a recession.
 
Meanwhile, sales are falling short of Target’s target. And  Mizrahi has left to become creative director at Liz Claiborne.
 
Right now, it looks like the dog days for Target, while Wal-Mart sports a smiley face.
 
Also in the basket:
 
Home Depot posts quarterly loss 
 
Saks Inc posts higher quarterly profit 
 

(Photo: Reuters)