| | |  Business News | November 2009 
Wal-Mart Enters Casket Market, Creates Competition for Funeral Homes
 Jon Jordan - NEWS 9
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November 02, 2009
| | Now funeral homes are facing more competition after Wal-Mart announced it is selling caskets online, often at cheaper prices. | |
Oklahoma City - Many people are looking for any way to save money these days, even when it come to saying their final goodbyes, and one super store is hoping to capitalize on that final resting place.
As people plan funerals on a budget, it is making times tough for funeral homes that already have more competition these days.
A cheaper solution for families is cremation, but when people chose to do that it means less money for funeral homes. This comes at a time where funeral homes now find themselves competing with the largest retailer in the world.
An area of Rose Hill Burial Park where families leave their loved one's ashes has become more and more popular as families choose cremation. Jeremy Sparks, manager of Rose Hill Burial Park, said building the cremation area became a necessity.
"Just like every industry we have change, and yes, cremation is something as a funeral industry we've had to adapt to," Sparks said.
By 2025 its estimated 60 percent of the deceased will have been cremated, mainly because it's cheaper.
"Maybe they are not able to have an elaborate of a service they had initially desired to have for there loved ones, so we've had to work with families and meet their needs," Sparks said.
But also trying to meet people's financial needs is Wal-Mart, which just announced they are selling caskets online. Compared to funeral homes, Wal-Mart's caskets are about a thousand dollars less. Wal-Marts cheapest casket costs just $895.
"That can only be good for the consumer. A lot of us slam Wal-Mart, but a lot of us shop there," said Rep. Paul Wesselhoft, (R) District 54.
Wal-Marts move into a new market is welcomed news for Wesselhoft who has tried to increase competition in the casket business over the past few years in hopes of lowering their prices. In 2007 Wesselhoft tried to pass legislation that would have allowed people to sell caskets without a funeral director's license. However, the bill failed. Wesselhoft said he is considering re-introducing his bill next session.
"I suspect even right now that there are probably some funeral homes that have already dropped their prices because they see the handwriting on the wall," Wesselhoft said.
In light of Wal-Mart selling caskets, the Oklahoma Funeral Directors Association issued a release reminding people of the dangers of buying a casket online saying you may not get the product you expected and the delivery time could cause funeral delays.
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