Target chases after Amazon.com, Wal-Mart in new book discounts

So, with the economy rebounding and the holiday shopping season fast approaching, will Target bounce back to lead the discount pack? That's doubtful, as Wal-Mart has taken the downtrodden economy as a chance to continually drop prices and preach that it saves the American consumer more than ever.

Although book-reading gadgets are popular these days, old-fashioned books are hot holiday sellers. This holiday season, best seller prices will be lower than ever. Want that latest Dean Koontz novel in hardback? Less than $10 at your local Wal-Mart or Amazon.com (NASDAQ: AMZN). And, now, Target.

Wal-Mart began selling best sellers from Walmart.com for $10 last week, which includes free shipping. In an odd twist, these selections will not be available in Wal-Mart retail locations. Amazon.com responded by going the same route, and both retailers chopped prices to $9 a day later. Now, Wal-Mart and Target are at the $8.99 level -- a penny less than online-only retailer Amazon.com.

It's pretty certain that all three retailers are using hardcover book sales as loss leaders to get customers shopping on their respective websites. But, unlike driving to a retail location, customers can visit multiple websites with a few button clicks. Expect more battles in the online arena this holiday season similar to this. It's just getting started.