When fuel costs increase, corporations like Walmart initially absorb these costs (e.g., $175 million absorbed by Walmart) but eventually pass them to consumers through higher retail prices, as demonstrated by Walmart's warning that prices will rise in fall if fuel costs remain elevated, with current fuel prices around $4.35 for gasoline and $5.49 for diesel.
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Walmart Is Raising Prices Again Now People Are LOSING IT — Here’s WhyHinzugefügt:
Walmart just warned its customers to get prepared because prices will be going up again as a result of fuel cost and Trump's war in Iran. On a recent call, Walmart shared that they've already eaten up $175 million in added fuel cost that they have not passed on to consumers. However, they say that will change in the fall if things don't change. Translation: When oil spikes, corporations don't eat those costs. They pass them along to the consumers and everything gets more expensive. On the call, Walmart, which also owns Sam's Club, shared that customers are putting less than 10 gallons of gas in their car, something that they have not seen since 2022. Translation: people can't afford gas. Now, if you plan to post you don't shop at Walmart, just keep in mind Walmart is the industry driver of all trends. So, what happens at Walmart will eventually happen at your grocery store and other retailer. It may be easier to say shop somewhere else, but Walmart is the budget option for a majority of America, especially rural communities.
They don't have the luxury of Aldi or Costco.
>> This is the reality that we're facing right now yet again with another price hike that is coming very, very fast to a lot of Americans. And people are furious right now, losing it as we speak because of these prices. I mean, we just saw Trump come out and say he doesn't care about America's financial situation, even though that was tied to, you know, the nuclear weapon of Iran. It just also shows the dynamic of where we are right now as a country. And people are realizing that you have to understand and set a budget and you know cut as much as you can unless you won't you won't really survive or work two and three jobs just to survive in today's economy because every single day there is some random new announcement that everything is getting much much more expensive. And here is the document that he was reading from. Maybe not the same one, but you know, a similar one, right?
And there's so many ads on here. But basically, Walmart warns fuel prices could impact pricing. And like he said earlier, 175 million uh which was absorbed due to higher than plan fuel cost. But unfortunately, they're going to have to uh recoup some of this a little bit later on. And they have strong income. I'm not saying that Walmart is not making money. They're making lots and lots of money, billions right now. I think as we speak it's crazy. They're making a lot of money.
However, when you talk about these gas prices, there are they said specifically quote unquote these are real impacts to the cost of goods sold for us and our suppliers. And if the current elevated cost environment persists, we some expect somewhat higher retail price inflation in Q2 and the second half of the year. This is what they said specifically on their earnings call. So, in Q2, which we're in Q2 right now as we speak, they're already planning and projecting these prices to start to go up because gas prices are still very, very high. We're talking about, you know, average fuel right now, $4.50 and diesel is $560 and there I mean they're going down every couple, you know, uh, you know, every day or so. And actually, that's the here's the updated price. That was the older one, right?
$4.35 and diesel $549, right? So, yeah, they're going down, but it's only a couple pennies per day, right? You check this out from yesterday. We went down 4 cents from yesterday and diesel went down 3 cents from yesterday. So, think about that math over the time periods and how long that's actually going to take. So, you know, as you talk about these uh uh prices of groceries, prices of of of everything at some of these uh retail stores, just prepare for it to go up.
I'm not saying it's going to double, triple, or, you know, uh be 100% increase is not what I'm saying whatsoever. But guaranteed it is going to go up. Whether that's 10%, 5%, or even as high as 25%, just understand how that's going to impact you when you go out and shop.
>> There's no price tags on anything. Look, seriously, over all the clothes here at Walmart, there's no price tags. What's up with that? I'm talking all of them.
Look, all of them. Except I did notice right here, they got these little QR codes right here. So, you can scan the QR code and it'll take you, I guess, to the item. But right here, like on these right here, right, there's no What do y'all think? Is it kind of weird? All right, look. So, we're way over here now. Even right here, look, there's no Where are the price stickers at? Look at this, y'all. There's none of them. All right. 150 bucks for three bags. That is insane, dude. Anyways, I talked to them.
What they're going to do is they're putting like a digital price tag on top of it. It's going to be all digital basically. But anyways, y'all have a great day. That's pretty cool how they can do that, you know. Anyways, have a good day.
>> I will say the two ladies we talked to were super cool, y'all.
>> And I'm going to be honest with you. I always try to be objective and honest with you guys when I'm, you know, making these videos. It is a a wonderful idea for Walmart, right? For them, the workers, the employees, the companies, because that is so much less money that they have to spend on, you know, updating their pricing and all these different things because now all they got to do is click a button and say, "Hey, this is the price I want, you know, and boom, that's what it is."
Instead of going to each individual tag, printing these new labels, and putting on all the shirts, right? Whereas now, you know, customers are are suffering as a result of it, right?
>> I hope Walmart knows that ever since they switched to this like new pricing system. I buy far less clothes because I can never find the price of whatever it is I'm looking for and then I have to pull out my app in order to scan it to figure out what the price is. And that's enough for me to just not buy it.
>> Because you go out and you shop at these, you know, stores and you don't even know the price of what you're picking up. So then you go and and check out the rest. You're like, "Wow, this is $40 for a t-shirt." And like I said, I understand the efficiency part about this. I understand how great it is for the workers and how much payroll they can save from price changes and all these different things, but in reality, it sucks for the average American. Let's be honest with you. But here's another perspective, guys.
>> Has anyone in Tulsa experienced the dynamic pricing at Walmart? I've been seeing so many videos about it and I heard about it coming down the pike a while back, but I just really I couldn't believe that it was actually happening.
Um, it's happening. I saw a video of a woman that she took a video and it was $5 and then it flashed for a little bit and then it changed to $10.97.
There are tons of videos out there.
There's a girl that bought some mascara.
She said it was $5.97. When she got to the register it was $6.97. like they've already gotten in trouble and had a lawsuit filed against them that they lost a couple years ago for um weights of food not being correct. Now this like they're nickel diamonding and dollaring us to death. And I guarantee you they're going to get away with it. At least while we've got our current president in office, they're going to get away with it. Are we going to get any back pay for this? No. Our class action settlement will be like 12 bucks. Has anyone in Tulsa experienced this?
>> She's specifically talking about Tulsa, Oklahoma, right? But of course, this has happened all around the world. And in the grand scheme of things, they've come out multiple different times to say that, hey, this these prices aren't going up because of these digital labels, like they're not manipulating the prices. But of course, everybody's experience is going to be 100% different across the board. And when I see these different videos, you see these different perspectives. I I saw a video where the the lady or the guy I forget it was a while ago but they recorded the entire process and like I personally saw them like the price actually went up like personally so you know I'm not saying it doesn't happen however you know in the grand scheme of things it probably doesn't happen as much as a lot of people are making it it seem like it happens and a lot of the videos you have to be careful out there it is a lot of fearongering it is a lot of doom and gloom so you have to understand and truly educate yourself yes are the prices going to go up 100% %. How much is going to go up? It really depends on, you know, their financial situation, Walmart's financial situation. But this is what's going on right now in the corporate space. Y'all let me know what y'all think about this down in the comments section below. So, I'm at the grocery store right now and couple observations. Everything is insanely expensive. It's been expensive, but it's getting to the point where it's like unsustainable to just keep shopping for food, as crazy as that sounds. The second thing is, why are we still using coupons? What is the deal with coupons?
Why doesn't the grocery store just knock down the price to what it should be with the coupon? Why do I have to like pull this little ticket here or why do I have to go on the store's app to get the lowest price? Just give me the lowest
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