Walmart.com pushing value this holiday season

By Nicole Maestri

NEW YORK (Reuters) - Wal-Mart Stores Inc's (WMT.N: Quote, Profile, Research, Stock Buzz) online division is keenly aware of the tough economic climate facing U.S. consumers, and is planning to put a heavy emphasis on low prices this holiday season.

"The merchant team and I are preparing for a budget-friendly holiday," said Walmart.com chief merchant Kelly Thompson in an interview. "You'd be a fool not to, no matter where you work."

While the back-to-school shopping season is just getting underway, U.S. retailers have already turned their attention to the holiday, the biggest shopping season of the year.

Last year, U.S. holiday sales rose a less-than-expected 3 percent, the lowest level in five years according to the National Retail Federation, as consumers faced a challenging economic climate.

Conditions have not improved for U.S shoppers this year as food prices rise, access to credit has tightened and the housing market slumps.

Meanwhile, the national average retail price for gasoline has surged this year to an average of $4.11 a gallon in the latest week from $2.98 a gallon at the end of 2007, according to the U.S. Energy Information Administration.

Thompson said that in the past, shoppers have approached the holiday season with a list in mind of the number of people they need to shop for.

This year, she expects shoppers to approach the holiday season with a total dollar amount in mind that they can spend.