Retailers have pulled up their socks and are coming up with
numerous strategic measures as they take the final lap before the
onset of the key holiday season. From lucrative discounts to
flexibility of shopping through smartphones and tablets to free
shipping and 24-hour shopping, they are leaving no stone unturned
to make the most of the busiest shopping season of the year.
These measures are not new, rather the retailers' initiatives
to match the prices being offered by online retail giants in
order to rise to the competition is a new trend. Discount
) and beleaguered consumer electronics retailer,
Best Buy Co. Inc
) announced that they will offer their patrons the facility to
match the prices being offered by
Wal-Mart Stores Inc
) Walmart.com and Toysrus.com.
The move comes at a time when most of the brick-and-mortar
retailers are facing significant challenges from a concept called
'Showrooming.' Technological advancements have led to the
emergence of a new type of consumer, who compares the prices
offered by various companies through smartphones and tablets, and
thereafter buys the product at the best price available.
As a result, online shopping is seeing a sharp uptrend while
traditional retailers are losing millions. The changing
environment prompted retailers to develop new sales strategies,
with the prime focus on combating online retailers.
According to the Target's price matching policy, the customer
will not find any discrepancy in pricing if an item is bought
between November 1
and December 24
from Target stores. However, if the item costs less at Target.com
or in a local competitor's printed ad, Target will provide items
matching the price.
Further, to better serve the shoppers, the retailers are
ramping up their hiring plans. Retail giants such as
), Target Corporation, Wal-Mart Stores,
) and Toys "R" Us have announced their hiring plans for the
upcoming holiday season.
Going forward, with the raging competition and price wars, the
players who will be able to cater to the needs of discerning
consumers will bolster volumes by ensuring foot falls and margin
expansion and will have the last laugh.
Further, the ratio of converting shoppers to buyers will also
rest on the continued economic recovery and improvement in the
job market. This will ultimately boost consumer confidence and
increase discretionary spending.
AMAZON.COM INC (AMZN): Free Stock Analysis
BEST BUY (BBY): Free Stock Analysis Report
KOHLS CORP (KSS): Free Stock Analysis Report
MACYS INC (M): Free Stock Analysis Report
TARGET CORP (TGT): Free Stock Analysis Report
WAL-MART STORES (WMT): Free Stock Analysis
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