In Target’s earning call last quarter, the CEO talked about frustration with the consumer perception of price credibility.
I don’t much care about that, but I do know the Target “experience” is not that good these days. If it’s price only, then buy online or Walmart. Make the experience better and maybe we will not care about slightly higher pricing.
We are in a new world where experience rules the day. The box stores don’t get it, but West End Architectural Salvage in Des Moines, Iowa does get it and more. The store is cool. And it has a coffee shop and sells beer. They bring in fashionable junk, repurpose it and make it look like something out of HGTV.
It is so neat and unique, people hold birthday parties and meetings at the “store.” It’s the perfect combination of reclaimed junk, food, beverages and vibe. Making it an experience where the price matters less and less and the value climbs.
So Target CEO, if you really want to make a change, work on the experience. Amazon and Walmart have you beat on price before your product hits the shelves.