Most consumer products (69%) have the same price online and offline, according to a recent report from Anthem Marketing Solutions.
However, when there is a price difference between the two, 65% of the it's the time online channels that are cheaper than offline (in-store) channels, the study found.
The report was based on an analysis of the prices of commonly purchased consumer products across multiple categories, including personal care, books, electronics, entertainment, home improvement/household items, and office supplies.
![Are Online Product Prices Lower Than In-Store Prices? (1) Are Online Product Prices Lower Than In-Store Prices? (1)](data:image/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==)
Below, additional key findings from the report.
Average Savings
- When there is a difference, online prices are usually lower than in-store prices. However, on the increasingly rare occasions when the price is less in-store, it is often substantially lower (32% average savings in-store vs. 26% average online).
- For example, in the entertainment category, when a price difference was observed, there was just a 15% chance of finding the better deal in-store. But, in those situations, the average savings was 76%, suggesting it continues to pay to do price comparisons for certain categories.
![Are Online Product Prices Lower Than In-Store Prices? (2) Are Online Product Prices Lower Than In-Store Prices? (2)](data:image/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==)
Savings by Price Tier
The trend of general price parity, and an online advantage when there is a difference, was observed at all price levels:
![Are Online Product Prices Lower Than In-Store Prices? (3) Are Online Product Prices Lower Than In-Store Prices? (3)](data:image/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==)
Same-Store Comparisons
- 8 of the 12 retailers examined in the study offered more favorable pricing online than in-store.
- Prices for Walgreens, Best Buy, Target, Kmart, and CVS were lower online than in-store more than 70% of the time.
- Wal-Mart offered a nearly even split, with 47% of prices favoring offline and 53% favoring online.
![Are Online Product Prices Lower Than In-Store Prices? (4) Are Online Product Prices Lower Than In-Store Prices? (4)](data:image/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==)
About the research: The report was the seventh installment of a semi-annual study comparing online and in-store pricing of consumer goods across a range of commonly purchased categories (including personal care, books, electronics, entertainment, home improvement/household items, and office supplies).
FAQs
Typically, online prices are lower to account for shipping costs and the cost of running a physical store is higher, so their prices are higher. If an online item is available at your local store, you can place a store pick-up order to receive the online price.
Are items cheaper in-store or online? ›
When there is a difference, online prices are usually lower than in-store prices. However, on the increasingly rare occasions when the price is less in-store, it is often substantially lower (32% average savings in-store vs. 26% average online).
Are target online prices higher than in-store? ›
Pricing, promotions, styles and availability may vary by store and online. We match Target.com prices on in-store purchases and in-store prices for Target.com purchases. In-store price matches from other Target stores are excluded. Online clearance prices can't be matched with in-store clearance prices.
Are Walmart prices cheaper online or in-store? ›
For a large quantity of Walmart inventory, you're going to get the same price online that you would find in-store — particularly for big-ticket items like TVs or white goods. But as we've already mentioned, you might find relatively big price differences on a lot of small items. These tend to cost more on Walmart.com.
Is it cheaper to buy everything online? ›
Online shopping has become so common that most of us might just assume that something is cheaper just because it's online. That's not always the case. Some merchants may generally be cheaper than their storefront competition on most items, but they may carry a few items that are premium priced.
Are there better deals in store or online? ›
Product Type: The type of product can significantly impact where savings are found. For electronics and books, online retailers often have lower prices due to higher competition and lower overhead costs. Conversely, for furniture and large appliances, in-store shopping can save on substantial shipping fees.
Is shopping in person cheaper than online? ›
Online shopping often offers lower prices due to lower overhead costs. However, in-store shopping allows for better price negotiation and immediate discounts.
Are prices higher online? ›
Online pricing and in-store pricing can vary. Typically, online prices are lower to account for shipping costs and the cost of running a physical store is higher, so their prices are higher. If an online item is available at your local store, you can place a store pick-up order to receive the online price.
Is online shopping more affordable? ›
Key Takeaways. Online shopping is often cheaper than in stores because online retailers may have fewer overhead costs. Online shopping also may come with the chance to apply more discount codes so you can save even more money. You may even be able to find cheaper gently or never used items on second-hand shopping sites ...
Do people spend more money in-store or online? ›
A recent consumer survey about shopping habits, purchase behavior and influences driving decisions found that 71% of respondents (72% of men; 70% of women) typically spend more than $50 when shopping in-store.
Is there a mark-up on Walmart+ delivery orders? Nope! We don't add additional fees to your orders of $35 or more.
Why is it cheaper to buy online and pick up in store? ›
Most retailers provide a time frame for pickup, such as a certain number of days after order confirmation. No Shipping Costs — Customers who use BOPIS won't have to pay for delivery or shipping fees because they travel to the store to collect the item.
Does Home Depot price match? ›
How the Low Price Guarantee works for in-store pre-purchases: If you find a current lower price on an identical, in-stock item from any other retailer, we will match the price. Just bring the ad, printout or photo with you to the register for validation. (This may involve the associate contacting the competitor).
Is it better to buy online or instore? ›
More variety. While brick-and-mortar stores must deal with the limitations of shelf space and retail agreements, online shopping presents few restrictions. There are many options to choose from, such as whether your product comes from brands or sellers — both local and international.
Is online shopping worth it? ›
For items you regularly use (such as a laptop, phone charger, luggage, or textbook), the internet may be the best place to compare offers. For things you require to have long-lasting value (like a car) or must get right away (such as groceries), shopping in person may be best.
Are online grocery prices higher than in store? ›
Other options for buying groceries online
You'll essentially be paying the same prices as if you visited the store yourself, plus a $4 delivery fee and tip.
Do people spend more money in store or online? ›
A recent consumer survey about shopping habits, purchase behavior and influences driving decisions found that 71% of respondents (72% of men; 70% of women) typically spend more than $50 when shopping in-store.
Is it cheaper to buy a phone online or in store? ›
It's much easier to take advantage of promotions and deals online because they're easier for retailers to advertise. That means you can save money on your new purchase and perhaps even grab some free accessories.