Walgreens and CVS charge roughly 40% more than Wal-Mart for the same basket of goods, according to a new report.
Sterne Agee analysts purchased 33 identical items at five retailers to compare prices for the report. Retailers included Wal-Mart, Dollar General, Family Dollar, CVS and Walgreens.
Given the low-price guarantees of the discount retailers included in the study, the analysts expected to find higher prices at the drug store chains.
But they weren’t expecting their mark-ups to be so extreme.
The baskets cost $95.42 at Wal-Mart. They were $40.96 more expensive at Walgreens and $36.83 more expensive at CVS.
This is what happens to “journalists” who gain the majority of their experience deep inside the DC/Manhattan media bubble-they’re taken aback realities for regular Americans that don’t fit their preconceived notions. Grab any twelve year old off the street in Middle America and ask him which store is a lot cheaper and nine out of ten of them will answer “Wal-Mart”.
The other one will kick you in the groin and run, because that’s what he was taught to do if a stranger grabbed him off the street.