Both Kmart and Target have been go-to shops for Australian customers for years, but new reports show that Aussies definitely prefer one over the other.
Customers have been flocking to Kmart over the past few years, leaving Target to wonder where it went so wrong.
New figures show that Kmart smashed Target in the profit stakes, making well over $1 billion more at the till.
Kmart has somewhat reinvented itself over the past few years, offering customer up-to-date and affordable fashion and a homewares section that has gained a cult following.
Target on the other hand has struggled to find its place between high-end and affordable.
Many of the clothes and products on sale at Target retail for over $100, something which puts off many customers who don’t think its products are high enough quality to cost that much.
Senior Lecturer of International Business at QUT Dr Gary Mortimer, says Target has two options.
“There’s two options, he [Target’s CEO] can push Target slightly more upmarket and into the Myer space, rather than compete against his own store Kmart,” he told the Daily Mail.
“Or alternatively – and this is what the rumour has been – they actually start to almost be the same retailer so bring the target model back down to the Kmart everyday low price.”
Some customers say they don’t Target to drop its prices though and reckon they can get better quality there than at Kmart.
“If you want quality products that stand the test of time, everyone knows Target is the place that steps things up,” said one customer.
“Kmart’s new shop layouts aka rat mazes, frustrates the hell out of me. The whole store layout is not convenient for customers who end up walking around frustrated because they cant find the one thing they came in to quickly get.”
Other’s though have jumped on team Kmart.
“I agree that Kmart has stepped up their homewares, and you can nab a real bargain without breaking the bank,” said one commenter.
“Target is very middle of the road now and their homewares are pretty blah.”
Which do you prefer?