What will the merger between Kmart and Target mean for you? 16



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Wesfarmers has made the major decision to merge Kmart and Target, in an effort to bolster the success of both businesses. So what could this mean for everyday shoppers like you?

According to the Courier Mail, “the two Wesfarmers-owned department store chains will be brought together under the single umbrella of a new department store division”.

Richard Goyder, Wesfarmers chief, said despite the merger each business will retain its own identity. “We will have better co-ordination of both businesses”, he said.

The current Kmart managing director Guy Russo will take the reigns for both businesses, as managing director for both Target and Kmart.

“With the competitive landscape and position both businesses are in, we think it’s time we can put our foot down and get benefits for both businesses”, Mr Goyder explained.

The merger is expected to result in lower prices, particularly for Target shoppers. Target has been struggling to develop a strong price point, since the success of Kmart’s cheaper product offerings.

“Target is a little lost, I don’t think they understand who they are, who their customer is. I am praying we’re not going to have two brands now that are simply another Kmart”, one retail expert told A Current Affair recently. 

Do you think the merger between Kmart and Target is a positive development? Or will Aussie shoppers end up with one blurred type of discount retailer?


Starts at 60 Writers

The Starts at 60 writers team seek out interesting topics and write them especially for you.

  1. We had K Mart in our town and I loved it. Then it closed and became Target. I prefer K Mart so would be so happy if it returned to our place!

  2. [email protected]

    I was a Target shopper until finding nice cheaper clothes in k-Mart so that is where I shop today….Merger could help as long as the prices remain as wonderful as today in K-Mart. I was surprised to read that Target was struggling but then I think many a business (small especially) are struggling to stay afloat in this financial climate of ours.

  3. I was thrilled to get a K Mart at my local shops. I never go to Target as it was always too expensive for me. My grand daughter prefers Target. So an amalgamation could be good just as long as prices don’t go up!

  4. I dont know if a merger will work. Kmart appeals to people with a ‘thin wallet’, whereas Target appeals to people with a ‘thicker wallet’. If the prices stayed low – like they are now – with Kmart, then maybe, just maybe…….. Look at Big W. Once upon a time they were a really good place to shop for people with thin wallets. Then they went silly somewhere along the line – maybe with their ‘brand name’ clothes, I dont know – but all of a sudden their clothing wasnt so affordable any more and people went over to Kmart. Thats why Big W isnt doing so well. If Kmart and Target merge then they should merge as one entity, not two under one roof.

  5. I shop K Mart, mainly for price and product. There is more choice at K Mart compared to Target. Target once was the better of the two stores but has definitely lost its way. The store in Wagga for example, concentrates mainly on football wear than Men’s Wear. Prices are definitely too high as well compared to similar/same product at K Mart.

  6. Liked K Mart until they did that stupid thing of putting cash registers in middle of shop. Who’s stupid idea was that. Xmas, took 1/2 hour to get served. Like Targets set up, you can find everything. K Mart can’t find anything without spending ages walking around and no one around to ask

  7. I love Kmart their prices are cheap but still good quality. I do use Target now and again but much prefer Kmart. Please keep Kmart.

  8. I mostly go to Kmart as the prices are good. Target prices are usually more expensive. OK for something special, but Kmart is great for everyday stuff.

  9. Oh no……!! Keep them separate please. I love both of them for different reasons.

  10. Wondering if the merger will see the disappearance of the Pensioner’s Discount on 1st Wednesday of each month. Has been very useful for this Pensioner on a very slim wallet at times!

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  11. [email protected]

    I like target for it quality last longer i don’t mind paying a little more for clothes and home goods for it quality. Kmart seems to me cheap and nasty i brought some shoes there a few months ago and had to bin them last week nothing seems to last long these day’s from Kmart i did buy a sheet set a couple of years back from Target and they have been washed and washed just a couple of weeks back binned them

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