Companies like Target and Best Buy are corporations from my home state of Minnesota. I’ve grown up with them. I’ve seen them change, grow, and shrink.
Target and Best Buy, both seem to be stuck in the past. Sure the models have changed but overall the beliefs are still there. The consumer and the market has dramatically changed…. but they have not. They think they have but the moves they’re making now they should’ve made at least a decade ago.
Target diving deeper into the grocery segment in order to stay relevant. Investing large sums of money into private brands in order to increase profit and use said profit to try and take hold of the dwindling market share. The move to get into groceries should’ve been made more than a decade ago. Every Target store should’ve become a full on grocery. Or even better, merge with Cub Foods (Another Minnesota based corp) or acquisition of Cub Foods. Why these brands needed to stay separate is beyond me. The fighting of market trends would be far greater combined then apart. If I ran Target, I would fight to make that deal happen at any cost. But no, none of this happened, Target rested on the ideal of being a higher end experience then Walmart. Took them two decades to realize, maybe that’s a bad idea. Target has a huge uphill battle, lots of money, no real innovation, half baked ideas, and a market that will walk away from them soon as Amazon and other brands offer a better experience.
Best Buy, well I have been saying they will go bankrupt for the last 10 years or more. It’s shocking they haven’t. I go there when I must, because I need it now and I can’t get it any where else. I’m not the only one. Everyone I know has that mind set at this point. They still push the same sales model since the 90s. It’s always an up sell to them. The staff is woefully under educated. They’re great at asking if you need anything and then when you actually need help, they don’t have the answer. Beyond that, their online ordering system needs work. I’ve ordered, showed up 2 hours later when their system said it would be ready, and it’s not. All the staff is standing around watching a game and my order hasn’t been picked. I had to pick my own order. Which I don’t really care, it’s the fact that they can’t even follow a simple task and follow through with their marketing message. I as a consumer see no real benefit to buying from Best Buy other then having a place to get something today. Not to push Amazon, but they just started offering that to my area, and I don’t have to leave my house. Why would I shop at Best Buy when I can get it for cheaper and I don’t have to leave my house? Best Buy, if you’re listening, you need to make an extreme change. Amazon will put you out of business if you can’t figure this out.
I write this not to bash on these companies. I write this in the hopes these companies change and offer true capitalism with some competition. I don’t want to buy everything from Amazon. But as any consumer, I’m going to give my money to the company that deserves it the most. How I define deserves, is through who saves me time, money, and offers what I want. Target and Best Buy are losing that battle with me. They still can turn this around but they need real innovators. Take a chance on something no one else has.