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Battle of the Brands: Wal-Mart vs. Target

This post is part of our Battle of the Brands feature. Let us know which brand you prefer, and check out other Battle of the Brands posts.

In the suburban landscape littered with big-box retailers, it is no secret which are the favorites of the Friday morning housewives, the Saturday afternoon family shoppers. These are the stores so formidable that families can often be spotted pushing two carts to haul their weekly stock of everything from boxed wine and board books to T-shirts and toilet paper. And Wal-Mart Stores Inc. (NYSE: WMT) and Target Corp. (NYSE: TGT) are the very exemplification of our Battle of the Brands showdown: for most of you, it's either one or the other, never both. In the world of bargain retail megastores, loyalties run deep.

And naturally, both Wal-Mart and Target are forever trying to move in on each others' turf. While Target has always been known for its partnerships with cutting-edge fashion icons (regular shoppers often call it "Tar-jay," with a French accent, though the corporation is firmly rooted in the American Midwest), Wal-Mart has been known for tripping over its own fashion foot. Wal-Mart has emphasized its ability to deliver every single last thing to its customers (from banking to bebop to "green" coffee).

This year has marked a few nuances to the two companies' strategies. Target has been wooing upper-middle-income shoppers who are now looking for better values, with a rumored experiment with high-end cosmetics, a refinement of its furniture offerings, and a focus on labeling foods so consumers will feel more secure purchasing its fresh groceries.

As for Wal-Mart's part, the company is struggling to overcome its fashion deficit (and taking a page right out of Tar-jay's book) by working to become more fashionable, attracting recognized brands, and convincing celebrities to license their names on blue jeans and sheet sets. Lately the company's saccharin self-congratulatory commercials (in which yoga-pants-clad women wonder rhapsodically what the world would be like if everyone bought a bag of Sun Chips or organic cotton pajamas) demonstrate Wal-Mart's attempt to position itself as the ultimate green company. Is anyone buying this?

I'm not. And while I'm attempting to buy less of everything given the current recession and my family's commitment to lessen our footprint (and be kind to our bank account), I'll always have a soft place in my heart for Target. When I need a new digital camera or a couple sets of rubber boots for the kids, that will be my destination. Wal-Mart's environmental commitment won't win me over; I'm still too overwhelmed by the chaos of simply walking in my local Wal-Mart's doors. Until the chain does something to address its deserved reputation for poor customer service, badly-treated employees, and the carnival-madhouse atmosphere of its stores, I think Target will continue to win the Brand Showdown.

Vote in our poll for Target or Wal-Mart as your preferred brand, and let us know in the comments why you love it.

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Last updated: July 06, 2008: 07:19 AM

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