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Walmart, Target, Kmart Showdown
Frugal shoppers can trace several of their go-to stores for bargains back to the same year: 1962, when Walmart, Target, and Kmart all opened their doors. After 50 years of rolled-back prices, bull's-eyes, and Blue Light Specials, Cheapism set out to determine which discount retailer has risen above the others in terms of price, quality, and service.
Not surprisingly, Walmart posted the lowest prices on a shopping cart of 30 identical and like items -- nearly 5 percent cheaper than Target overall and about 15 percent cheaper than Kmart. On the other hand, many customers assert that Target presents more attractive merchandise and a more agreeable shopping experience. In our comparison of Walmart, Target, and Kmart, we found that Walmart holds its own on those fronts and also offers the widest array of products and services both online and off, delivering bona fide one-stop shopping. All things considered, Walmart earns our discount crown. Target is next in line and Kmart disappoints on all counts.
We assessed several factors when comparing Walmart, Target, and Kmart and used a variety of methodologies, including site visits, customer and expert interviews, an informal Facebook poll, and analysis of online reviews.
We started by visiting one location for each retailer within the same market, armed with a shopping list link here to chart of items from major departments. A simple price comparison of Walmart, Target, and Kmart showed Walmart the cheapest, with a bottom-line total of $1,776.15, followed by Target at $1,866.10 and Kmart at $2,092.82. While shopping, we assessed each store's organization, inventory presentation, customer service, and cleanliness. Target and Walmart fared well in all areas while Kmart fell short. The Kmart location we visited was poorly maintained, shelves were empty, and unhelpful sales associates left customers disgruntled.
A single visit to a single store won't necessarily yield a representative shopping experience, so our conclusions factor in what others had to say about Walmart vs. Target vs. Kmart in external surveys, in person, on Facebook, and elsewhere online. While those sources also have their limitations -- e.g., non-random sampling of customers -- the picture that emerged of each retailer closely aligned with our own in-store experiences.
Target surfaced as a favorite among shoppers for its pleasant atmosphere and desirable products. The stores are clean, the atmosphere is calm, the employees are obliging, and the products seem well made. Shoppers voiced a strong preference for most store-brand items at Target, saying the quality is superior. In particular, customers take to Target's clothing lines and several also contend that the house-brand home goods and furniture hold up better than counterparts at Walmart and Kmart. A handful of parents highlighted Target's Up & Up brand baby products. "Up & Up diapers, wipes, and formula are all as good as the much costlier name brands," one Facebook comment reads.
Identifying the victor was not easy when it came down to Walmart vs. Target. Each claims a loyal customer base, is endowed with a certain reputation, and boasts different strengths and weaknesses. The distinctions between these fierce competitors are real but subtle, turning on perceptions and subjective judgment as much as on any objective variables.
"For a long time, our research proved that many consumers, especially Walmart's core of blue-collar moms, saw Walmart as a necessary evil," Courtney said in an email interview. "Target owned the emotional high ground, as well as the same kind of design cues that consumers gravitate to in record numbers -- the 'Apple-izing' of retail." (Zimmerman has done work for Target but is not the retailer's agency of record.) Courtney cited an effort Walmart launched several years ago to revamp its image -- de-cluttering stores, cultivating a friendlier atmosphere, and changing its tagline from "Always Low Prices" to "Save Money. Live Better." "They finally gave the consumer a better reason to shop than price," he said.
Walmart and Target ran neck and neck in the race we sponsored. In the end it was Walmart by a nose, fueled by its prices, value, breadth of offerings, and near ubiquitous presence.
Best Cheap Discount Retailer
WalmartWalmart was cheapest in our price comparison and peddles the widest variety of goods and services, including a full grocery with a deli and bakery in more than 3,000 stores and health clinics in many states. The retailer also offers the most generous price-matching, shipping, and return policies. On our visit we encountered helpful employees and a clean store. Read more »
Good Cheap Discount Retailer
TargetTarget claims devoted partisans willing to pay slightly higher prices for products they regard as higher quality than other stores' brands, particularly the fashionable clothing lines. They also praise the calm, easy-to-navigate stores. Amenities such as full grocery departments aren't as widespread as Walmart's and additional services are fewer, although Target's credit and debit cards offer 5 percent off. Read more »
Don't Bother Discount Retailer
Kmart doesn't effectively compete with Walmart or Target on any front. It's the most expensive of the three and consumers echo our experience of a dingy store, disgruntled employees, and unorganized stock. Kmart is known for its layaway policy, but few stores offer full-service grocery and additional services such as photo developing are absent. Read more »
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