by Bruce Tyson

Created on: February 18, 2010

Target and Wal-Mart have in common the fact that they are both discount retailers. Wal-Mart is the world’s largest retailer. For anyone – including Target – to try to beat that would be unwise and destructive. Although similar in many ways, the two stores are different in certain aspects that make them appealing to different segments of the market.

Price

Wal-Mart is rooted in its tradition of being the leader in low prices. No one sells for less. That’s just the way it is. Where Target differs is that they try to have low prices, but they don’t insist on being the lowest priced seller in the market. After all, where will competing with Wal-Mart on price get you – besides bankrupt?

Quality

What Target loses from being a little higher on prices it makes up on quality. Let’s face it: a lot of times you get what you pay for. Suppose you wanted some bed linens. You can get a better price at Wal-Mart, but what you get will not be of very good quality. That’s why discerning shoppers who don’t have to have the lowest priced goods would want to go to Target: there you’ll get better quality at just a slightly higher price. The same goes for a lot of clothing items, housewares, and other goods.

Snobbery

Some people have so much money that they think that they are “above” the clientele of Wal-Mart, yet they want to save money when they shop. These people will go to Target because it’s more socially acceptable at their socio-economic level. Let’s face it: toothpaste at Wal-Mart is going to be the same as the toothpaste at Target. A tube of Crest or Colgate is going to be identical except for price. Rather than be seen at Wal-Mart, and rather than having to see people they perceive to be “lower class,” some willingly pay the extra dollar or two per item at Target just to stay away. It’s that simple. 

Service

Some people think that Target employees are more helpful than Wal-Mart employees. This obviously can be debated and the answer is likely to vary between locations. Both retailers offer very low pay, especially to new employees, which means that the level of service is going to depend on the principles and values of each individual worker.

Restrooms

This one is a no-brainer. If you had to use a restroom and you were equally near a Wal-Mart or a Target, which one would you choose? Target is the hands-down restroom champion. Go into a Target restroom anywhere and it’s going to be dramatically cleaner than the facilities at the Wal-Mart down the street. Why? Snobs would point to this as evidence of a more civilized and sophisticated clientele. Others would suggest that Target has made a deliberate emphasis on restroom cleanliness and therefore has them cleaned more often. It also might result from Target’s notably lower volume of customers, meaning that less activity keeps the restrooms cleaner, longer. You can argue about why Target’s restrooms are always better, but the bottom line is that they are. 

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