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Walmart and Target Go Head-to-Head for the Holiday Season
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The season of overcrowded malls and last minute purchases is just around the corner. Competitors Walmart (WMT - Free Report) and Target (TGT - Free Report) have just announced new changes for the season, including an upgrade on shipping time and in-store returns. Over the past year, it has been clear that both chains have been exercising all of their efforts to outcompete one another. Let’s take a look at whether or not their holiday changes will make a difference to the company’s overall.
Walmart:
Recently, Walmart announced that it would expand its two-day shipping option to over a million more products featured on their website. Consumers will have the choice of purchasing an extensive variety of products throughout the website, rather than shopping in store.
Walmart also announced the option of returning products from third party sellers from the comfort of your own home. All you would have to do is print out the return label from the website and return it to the seller, without the hassle of taking it back to the store.
It seems as though something similar is happening at Target and overarching competitor Amazon (AMZN - Free Report) . Even though it’s seen as the underdog, Walmart definitely has found its niche in the market and is providing customers with a satisfactory experience.
Target:
Today, Target announced its own free two-day shipping on any of the products available online. Target began offering this feature to its credit card holders, but made it available to all customers this holiday season. Although very similar to Walmart's shipping policy, CEO Brian Cornell said that he has never felt better about Target's position and readiness to deliver against the holiday season, according to CNBC.
Over this past year, it’s apparent that Target has been doing better than Walmart in terms of retail. In Target’s most recent quarterly report, the company reported a 6.5% increase in comparable sales, whereas Walmart only saw a 4.5% increase.
What Can We Expect?
According to a press release from Deloitte, retail sales are expected to increase 5 to 5.6% this holiday season as compared to the previous year. Deloitte's Retail and Distribution practice expects that all total holiday sales will exceed $1.10 trillion between the months of November and January.
Consumers are looking for an easier and much more efficient way to shop, especially during the holiday season. So with the option of two-day shipping and easier returns, we can look towards an increase in revenue for both companies with their new added features.
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Walmart and Target Go Head-to-Head for the Holiday Season
The season of overcrowded malls and last minute purchases is just around the corner. Competitors Walmart (WMT - Free Report) and Target (TGT - Free Report) have just announced new changes for the season, including an upgrade on shipping time and in-store returns. Over the past year, it has been clear that both chains have been exercising all of their efforts to outcompete one another. Let’s take a look at whether or not their holiday changes will make a difference to the company’s overall.
Walmart:
Recently, Walmart announced that it would expand its two-day shipping option to over a million more products featured on their website. Consumers will have the choice of purchasing an extensive variety of products throughout the website, rather than shopping in store.
Walmart also announced the option of returning products from third party sellers from the comfort of your own home. All you would have to do is print out the return label from the website and return it to the seller, without the hassle of taking it back to the store.
It seems as though something similar is happening at Target and overarching competitor Amazon (AMZN - Free Report) . Even though it’s seen as the underdog, Walmart definitely has found its niche in the market and is providing customers with a satisfactory experience.
Target:
Today, Target announced its own free two-day shipping on any of the products available online. Target began offering this feature to its credit card holders, but made it available to all customers this holiday season. Although very similar to Walmart's shipping policy, CEO Brian Cornell said that he has never felt better about Target's position and readiness to deliver against the holiday season, according to CNBC.
Over this past year, it’s apparent that Target has been doing better than Walmart in terms of retail. In Target’s most recent quarterly report, the company reported a 6.5% increase in comparable sales, whereas Walmart only saw a 4.5% increase.
What Can We Expect?
According to a press release from Deloitte, retail sales are expected to increase 5 to 5.6% this holiday season as compared to the previous year. Deloitte's Retail and Distribution practice expects that all total holiday sales will exceed $1.10 trillion between the months of November and January.
Consumers are looking for an easier and much more efficient way to shop, especially during the holiday season. So with the option of two-day shipping and easier returns, we can look towards an increase in revenue for both companies with their new added features.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%. And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation. See Them Free>>