1. Department stores & supermarkets? - supermarkets and department stores pricing schemes and renovations Andrew Hill Bobby Pfennigs Seunghee Cha

2. Supermarket and department store trends Supermarket: Safeway, Albertson’s Department Store: Marshall’s, J.C. Penny 50-70 percent off specials BOGO's (Buy One, Get One) Both started to shift from toward EDLP (Every Day Low Prices)

3. What Customers are looking for They soon found out that customers go to supermarkets or department stores for the bargains For EDLP, consumers tend to go to big discount stores such as Wal-Mart or club stores for EDLP

4. Admitting Defeat The Supermarkets and department stores realized that there was no way to compete against Wal-Mart’s low prices. So they are realizing that they must transition back to bargain pricing and differentiate themselves in other ways.

5. Bringing in customers The supermarkets and department stores are doing a number of things to bring in customers: Putting clear signs up to tell the customer where to go for certain items The customer likes easy shopping Spending millions on renovations to improve ambiance They can charge more for the experience

6. In Summary They have learned that making it easier for shoppers to shop pays off! Customers are willing to pay a higher price for a better shopping experience.

7. Bibliography "Department stores & supermarkets? - supermarkets and department stores pricing schemes and renovations". Shopper Report, The. Oct 2003. FindArticles.com. 06 Mar. 2007. http://www.findarticles.com/p/articles/mi_m0YQW/is_2003_Oct/ai_110392663