CNN/Money 

Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

News > Companies
graphic
Wal-Mart kicks off toy price war
Report: No. 1 retailer slashes tags on popular and hard-to-find items, surprising Toys "R" Us.
November 19, 2003: 8:48 AM EST

NEW YORK (CNN/Money) - Wal-Mart Stores Inc. is cutting prices on a number of hot toys earlier in the holiday season than such sales are normally seen, according to a published report.

Hokey Pokey Elmo, which Wal-Mart is selling for less than wholesale cost  
Hokey Pokey Elmo, which Wal-Mart is selling for less than wholesale cost.

The Wall Street Journal reports that a survey conducted by Banc of America Securities found that Wal-Mart's prices of 15 popular toys were 12 percent lower than those of Toys "R" Us, the largest stand-alone toy retailer, and 8 percent lower than prices at discount retailer Target, the nation's No. 2 general retailer after Wal-Mart.

The Journal says that Toys "R" Us executives have acknowledged that the Wal-Mart price cutting has caught them somewhat by surprise and was among factors hurting its recently reported third-quarter results.

YOUR E-MAIL ALERTS
Retail
Wal-Mart
Toys R Us Incorporated

The newspaper said the lower prices are even found on some toys in short supply, including Leap Frog's Explorer Globe. And it reported that some of Wal-Mart's retail prices are below wholesale prices. For instance, it is charging $29.74 for the Hot Wheels T-Wrecks Play Set, which has a wholesale price of $42, and $19.46 for the Sesame Street Hokey Pokey Elmo, whose wholesale price is $24.  Top of page




  More on NEWS
No winners! Powerball grows to $415 million
Tesla has plenty of customers, but still no profit
Washington Post's Dana Milbank ready to eat his Trump column
  TODAY'S TOP STORIES
Jim Chanos is betting against Tesla
No winners! Powerball grows to $415 million
Driver for Uber's Chinese rival arrested over killing




graphic graphic