I hope the Fraggle sets are sold everywhere including Wal-Mart. They are a powerful store that helps steer buying trends through having some of the lowest prices. I do know they would make HIT pay for prominent placement and eat the cost of any discount.
Wal-Mart makes things cost less by influencing its product suppliers to make cuts (that end up in a loss of blue collar jobs that get outsourced to cheap exploitive labor) in order to supply inexpensive goods to blue collar patrons. There are many upsides and downsides to it, but it is the way of the world and modern commerce.
I will list a Muppety example for Muppet fans. Target gave the Palisades Muppet figures a shot. So did Toys R Us, but not Wal-Mart. They would have likely wanted the figures to be made with cheaper materials and not care about the accuracy of character likeness. But hey, empty a crate of Bratz dolls on the shelves.
Wal-Mart used to be a good company that took good care of its employees, its vendors and its customers equally. Sam Walton died and that all changed. No more commercials about being "Made in America" or the like. Now, I'm not saying the company is evil; it just used to have a higher standard when I was a kid. That's unfortunate.
Anyway, back to topic. I really agree that a stand alone set will be released eventually for season 4. It's good to hear some other whisperings about it.