Target is releasing its cheapest Thanksgiving meal ever, which costs $5 per person.
The supermarket undermines rival Walmart with the deal and comes close to the meal offered by budget retailer Aldi.
At $20 for four people, Target’s Thanksgiving meal is also $5 cheaper than last year.
It’s the latest addition to a growing price war between retailers during the holiday season Americans with little money are increasingly looking for cheaper groceries.
Walmart’s deal works out to $7 per person, while Aldi says the meal marks “the return of pre-inflation prices,” allowing ten people to get a full meal for less than $47, or $4.70 per person.
At $20 for four people, Target’s Thanksgiving meal is $5 cheaper than last year
Sam’s Club, Walmart’s members-only store, also announced its Thanksgiving meal offering earlier this month, which can feed up to 10 people for less than $100.
And unlike the offers from other supermarket brands, this meal can also be delivered pre-cooked.
However, Target’s meal includes all the traditional Thanksgiving fixings, including a turkey, russet potatoes, green beans and a stuffing mix.
It includes a mix of items from Target’s Good & Gather label and well-known brands, such as Campbell’s cream of mushroom soup and Heinz’s homemade roasted turkey gravy.
“One of the themes we hear consistently is the need for affordability, so we’re committed to prioritizing that and making sure we provide affordable options,” Rick Gomez, Target’s chief commercial officer, told us. CNN.
Food price inflation has started to cool in recent months. In September, food prices rose by 1.3 percent year on year.
But according to Labor Department data, food prices have risen 20 percent over the past five years, meaning many American households are still feeling the pinch.
But there is some relief for shoppers, who will have to pay 16 percent less for their Thanksgiving turkey this year. So says Wells Fargo, which published its annual issue report about the cost of holiday dinner favorites earlier this month.
Prices for Turkey could fall even lower if retailers decide to pass on more of their savings to shoppers, the report said, as stores compete for consumer dollars.
However, it is not all good news, because the price of ham is at a record high: 5.2 percent more than last year. According to Wells Fargo, canned green beans, canned pumpkin and russet potatoes are also more expensive this year.
“Despite home inflation having eased to 2.4 percent since October last year, this year’s celebration will be no less expensive,” the report said.
“That’s because there are record price gaps between the wholesale price that supermarkets pay and the retail prices that consumers pay — and the difference affects some of the most popular holiday dishes, including turkey and ham.”
Target’s meal includes all the traditional Thanksgiving dishes, including a turkey, russet potatoes, green beans and a stuffing mix
At $20 for four people, Target’s Thanksgiving meal is also $5 cheaper than last year
Target’s Thanksgiving meal is the latest addition to a growing price war between retailers this holiday season, as cash-strapped Americans increasingly look for cheaper groceries
Target’s Thanksgiving announcement comes after it slashed prices on more than 2,000 items earlier this month — ranging from snacks to toys and cold medicine — in an effort to attract bargain-seeking shoppers this holiday season.
This is the second time this year the retailer has cut prices to attract inflation-weary consumers as it looks to win over customers from Walmart.
The price cuts are coming in anticipation of a shorter than usual key shopping period this year, and against a backdrop of frugal consumer behavior. They did that together led to a warning from a former Target executive that retailers will have a hard time.
Target rival Walmart has also pushed to keep prices low on essential products as more Americans turn to discount shopping.
Gomez, Target’s chief commercial officer, told CNN that customers have responded positively to the price cuts as they remain “choiceful” in their spending.
He said customers are trying to stretch their budgets in different ways. This includes buying in bulk to save money, or purchasing smaller and cheaper items compared to their full-size counterparts.
Gomez added that customers continue to “prioritize the holiday season,” but added “they are looking for affordable options to do that.”