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Survey finds Target gaining preference over Walmart


New York city Target gained shopper preference over Walmart this spring, according to an online survey by Retail Eye, an independent equity research and consulting firm. While both Target and Walmart are seeing spending increases versus this time last year, Target’s spending increases are outpacing those at Walmart, the survey found.

The data for the survey was gathered during the second and third week of April. Other survey conclusions include:

  • While Walmart remains the undisputed leader in offering the best prices, sales and discounts, Target continues to win in April on all other brand metrics. Also, for the first time in years, more shoppers are saying that Target is more convenient for them, which Retail Eye believes is a sign of increasing preference for Target

  • Shoppers believe that both Target and Walmart have improved prices versus last year, so both retailers are getting credit for their value messages. Walmart’s heavily marketed price rollbacks and Target’s sharper consumable prices and more focused value marketing campaigns over the last few months are resonating with shoppers and getting them into stores.

  • This spring, shoppers feel there are significant improvements at Target on metrics such as shopping experience, service, merchandise selection and merchandise quality -- all elements of Target’s “cheap chic” appeal. This signals that shoppers, while still price sensitive, are looking more at the overall shopping experience this spring versus just price, in determining where they are going to buy.

Target’s more significant improvements in consumers’ minds versus Walmart’s this spring as well as less focus by consumers on just price in deciding where to shop, position Target for continued top line momentum through 2010, according to Retail Eye.

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