The holiday bargain-shopping season has begun. Target has announced it will match toy price discounts of Wal-Mart. Givencchristmas shopping the current economic climate, and the fact that shoppers will be looking for the best deal, this move is not expected. Target even plans to match Wal-Mart’s list of 100 toys under $10. With classics like: Transformers. Play-Doh and Barbie, it’s going to be tough to beat.

Obviously Target was serious about attempting to get their piece of the toy industry pie. This summer they were touting great toys and deep discounts with prices slashed twenty-five percent or more.

Sears has also decided to take on the retail giant, with more toys on sale at deeper discounts. This seems to have set the tone for the season. Consumers should expect to see aggressive price promotions in the areas of toys and in electronics. That flat screen television or laptop may not be as expensive as you once thought. The electronics category is expected to drop even lower then last year.

Retailers remain convinced that consumers will be looking for the best deal before they part with their hard-earned cash. Customers may not be interested in buying luxury items like diamonds or cashmere. The focus is expected to be on basics, great deals on toys and maybe a couple of deals too fabulous to pass up on consumer electronics.

Certainly selling toys at less than ten dollars means having to sell a lot more inventory to get ahead than if you were selling flat screen televisions. This comes as no surprise to retailers. They have had a year to prepare. This year’s bargains aren’t a panicked response to rid themselves of inventory. Part of seeking out great deals for consumers may mean focusing on in-store brands. Retailers continue to bring in quality toys, clothing and goods under these labels. The holiday season will see the number of products under in-store brands or labels continue to grow.

It will be a tough time for retailers. The consumer will get the better end of the deal. Retailers will offer great bargains but will have to move mountains of merchandise at rock-bottom prices just to stay a float. For some retailers there may be no competing with the Wal-marts and Targets and Sears. For local and mom-and-pop shops these are precarious times. Even out of work parents who want to buy American or support local businesses may not be able to resist the urge to make their dollar stretch farther at Wal-Mart or Target.