Target’s Price-Matching to Lure More Millennial Shoppers?

In Industry Experts, Reports, What's New by Accessories Staff

target_dollarsMinneapolis—Target unveiled a new price-matching policy today, which includes price-matching both online and in-store. It’s all part of Target’s greater initiative to compete with the convenience and price advantages offered by competitors Amazon and Walmart both of whom are included in Target’s new price-matching, which is set to launch on October 1.

The new price-matching policy will couple these shipping initiatives with price initiatives to aggressively attempt to put Target’s prices on par with Amazon and Walmart.

“We believe this is critically important to influence consumer buying trends and attract more consumers both online and in-store, especially young consumers,” wrote analysts today at Seeking Alpha.

They went on to say that Target may have an advantage with Millennial shoppers who are student-debt burdened Millennials in a slow wage-growth US labor economy are price-preferred shoppers. “This has made Walmart the most preferred general merchandise retailer among shopped age 24 and younger. Despite being 25% more expensive, Target is still more preferred than Walmart among the 25-34 and 35-44 demographic, and has continued to post impressive comps numbers both online and in-store. an Amazon’s during the back to school season. So while Walmart and Amazon e-commerce prices are competitive, they are far better than Target’s online prices. As opposed to competing on price, Target instead chose to compete on shipping during the back to school season, offering free shipping and returns on all purchases regardless of size during the first two weeks of August. Both Amazon and Target offer free shipping on purchases over $25.”

The new price-matching policy will couple these shipping initiatives with price initiatives to aggressively attempt to put Target’s prices on par with Amazon and Walmart.