Target has announced that it is lowering prices on thousands of items as shoppers continue to struggle with price fatigue. This fatigue has led many consumers to be more wary about what they spend their money on.
According to Target, many of these price cuts will be on frequently bought grocery items. This decision comes after the retail giant has also slashed prices on other products on their shelves.
Target Lowers Prices
In a recent statement, Target explained that it will cut prices on about 5,000 different items in its stores.
These items will be products that shoppers frequently buy, such as certain grocery staples like milk. The cuts will be seen throughout many areas and brands in the store.
Food Items To Drop in Price
Target has also explained that many grocery and food items will be slashed in price, all so the company can better attract shoppers.
This will lead to items like milk, bread, fruit, vegetables, and meat to have their prices dropped. Other commonly bought products, such as diapers and paper towels, will also have a decreased price.
Brands Affected
Though it appears that these price cuts will be spread out among commonly bought items in the store, there are some brands that will be cut in price more than others.
So far, Target’s own brands — Good & Gather and Everspring — have the most price cuts in the near future.
Why Target Is Dropping Prices
Target’s sudden announcement that it is slashing prices on thousands of items comes as multiple reports have suggested that shoppers are going through price fatigue.
Consumers are no longer willing to pay high prices at stores like Target. Instead, they’re deciding to save their money and be more wary about how they spend their hard-earned money.
Target’s Statement
Target’s statement on this decision also comes as the store already cut prices on about 1,500 different items. Rick Gomez, Target’s executive vice president and chief food, essentials, and beauty officer, further explained this move.
Gomez said, “We know consumers are feeling pressured to make the most of their budget, and Target is here to help them save more.”
Helping Shoppers Save Money
Gomez also explained that this decision was made to help Target customers save more money during this time.
Gomez further added, “Our teams work hard to deliver great value every day, and these new lower prices across thousands of items will add up to additional big savings for the millions of consumers that shop Target each week for their everyday needs.”
A Change in Company Behavior?
For the last few years, consumers have had to deal with paying higher prices for just about everything, thanks to high inflation.
Even affordable grocery stores and fast food restaurants have become incredibly expensive for many Americans because of these high prices. Now, with Target’s latest decision, it appears that some companies may be noticing the price fatigue consumers are experiencing.
Other Grocery Store Changes
Target isn’t the only massive store that has realized some changes may need to be made to further bring customers in during a competitive time. Walmart has also discussed how they’re seeing consumer behavior changes.
Walmart CFO Jack Rainey even stated that Walmart has seen more higher-income customers shop at their stores as they seek to save money.
Higher-Income Shoppers at Walmart
Rainey explained that these higher-income shoppers are newer additions to the kind of frequent shoppers Walmart sees.
“We’ve got customers that are coming to us more frequently than they have before and newer customers that we haven’t traditionally had, and they’re coming into a Walmart whether it’s a virtual store online, or whether it’s one of our physical stores,” Rainey stated.
Fast Food Changes
While Target has chosen to slash prices to try to bring more customers into their stores, fast food restaurants such as McDonald’s have also made changes to better connect with customers.
Recently, reporting confirmed that McDonald’s was set to create a $5 meal deal. This more affordable meal was created to bring back consumers who stopped going to the fast food giant, as their meal prices had become too pricey.
Consumer Changes Bring About Company Changes
According to McDonald’s CEO Chris Kempczinksi, these changes have come about because of changes in consumer behavior during this period of price fatigue.
Kempczinksi explained, “Consumers continue to be even more discriminating with every dollar that they spend as they faced elevated prices in their day-to-day spending.”
