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Top 10 Target Competitors- Best Retail Stores Like Target In The US

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May 22, 2025
Target Competitors and Alternatives
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Target Corporation remains a significant force in U.S. retail, yet it faces increasing competition and shifting consumer trends.

According to a recent AP News report, Target experienced a notable 2.8% revenue decline, with comparable store sales dropping by 3.8% in the first quarter alone, highlighting the growing impact of economic pressures and evolving shopper preferences. As a result, consumers are actively exploring Target competitors that might better cater to their needs.

Among Target’s biggest competitors are retail giants like Walmart and Amazon, which leverage expansive online presence and competitive pricing to attract customers. Additionally, discount retailers like Target, including Dollar General and Aldi, are rapidly growing due to their value-driven business models.

Consumers looking for variety and specialised offerings often turn to home goods stores similar to Target, such as HomeGoods and TJ Maxx. Similarly, Kroger and Costco represent key grocery stores competing with Target, capitalising on convenience, bulk buying, and customer loyalty programs.

This article examines the top 10 retail alternatives to Target, exploring how each positions itself within the competitive landscape, and offering insights into why consumers might prefer these alternative retail stores like Target.

See Also: Best Grocery Store Franchises for 2025: Top Investment Opportunities in Food Retail

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Key Takeaways

  • Target is facing growing competition from major retailers such as Walmart, Amazon, and Costco, all of which offer compelling value and broad product selections.
  • Many consumers are now turning to discount chains, grocery giants, and specialised home goods stores as strong retail alternatives to Target.
  • A recent dip in revenue and store sales reflects ongoing challenges related to shifting consumer behaviour, economic pressures, and public backlash.
  • In response, Target is investing in its private-label lines, improving its digital shopping experience, and focusing on affordability to stay competitive.

Target Competitors and Alternatives

Target’s Current Market Position in the Retail Industry

Target Corporation remains a prominent retail brand in the U.S., renowned for its wide-ranging product selection spanning clothing, home goods, electronics, and groceries.

With roughly 2,000 stores nationwide and approximately 440,000 employees, Target ranks as the seventh-largest retailer in the United States, underscoring its significant market presence.

However, recent financial trends highlight mounting challenges. In the first quarter of 2025 alone, Target reported a revenue decline of 2.8%, totalling $23.85 billion, accompanied by a 3.8% drop in comparable store sales.

This downturn reflects multiple pressures, including lower discretionary spending, rising tariff costs, and consumer backlash related to the company’s diversity, equity, and inclusion (DEI) initiatives.

To counteract these setbacks and strengthen its competitive edge against major retail stores like Walmart and Amazon, Target is implementing targeted strategic initiatives.

These include expanding private-label products, refining its online shopping platform, and leveraging competitive pricing to attract cost-sensitive consumers. By pursuing these strategies, Target seeks to enhance customer loyalty and reinforce its standing among retail alternatives.

Despite facing significant competition and shifting consumer preferences, Target’s continued commitment to innovation, adaptation, and customer-focused strategies positions it as a resilient competitor within the dynamic retail landscape.

Why Are Consumers Shifting to Target Competitors In the US?

Target has long positioned itself as a one-stop retail destination for value, convenience, and variety. However, a mix of economic pressures, evolving shopping preferences, and brand perception challenges has prompted many customers to explore Target competitors and alternatives.

Below are the key drivers behind this consumer shift.

Rising Price Sensitivity

With inflation and economic uncertainty continuing to shape consumer behaviour, many shoppers are prioritising affordability more than ever.

Retailers like Walmart and Aldi, known for their everyday low prices, have gained significant traction. These discount retailers like Target appeal to budget-conscious families looking to stretch their spending without compromising on essentials.

Diverse and Specialised Shopping Preferences

Today’s consumers are more discerning and intentional in where they shop. While Target offers a broad product mix, some shoppers prefer specialised stores.

For example, grocery stores competing with Target, like Kroger, offer deeper assortments and loyalty rewards in the food category, while home goods stores similar to Target, such as HomeGoods or At Home, provide greater variety and style options in décor.

Shift to Online and Convenience-Driven Retail

The surge in e-commerce and same-day delivery expectations has raised the bar for digital retail. Amazon continues to dominate in this space, offering an unmatched level of convenience and product accessibility.

Consumers seeking fast, reliable service often opt for retail stores like Target that have fully optimised their digital platforms, sometimes favouring Amazon or even Walmart over Target due to delivery speed and inventory availability.

Brand Perception and Social Factors

Target’s recent controversies around DEI (diversity, equity, and inclusion) initiatives have sparked polarised responses from the public.

While some shoppers continue to support the brand, others have chosen to shop elsewhere based on ideological or cultural differences. This has led to increased visibility and support for Target’s top competitors, who are seen as more neutral or better aligned with certain consumer values.

Inventory and Product Availability Issues

Target has struggled with supply chain disruptions, leading to stockouts and limited availability in key categories like baby formula, home essentials, and seasonal goods. In contrast, Target top competitors like Costco and Amazon are better positioned to manage inventory at scale, making them a more reliable choice.

Better Loyalty and Reward Programmes

Competitors such as Kroger, Walmart+, and Amazon Prime offer integrated loyalty perks, cashback options, and exclusive savings that outperform Target Circle in many ways. For value-driven consumers, these programmes offer more tangible rewards for ongoing loyalty.

See Also: How to Increase Revenue Through Time-Limited Promotions And Referral Programs

Store Format and Accessibility

Smaller-format stores and urban locations offered by competitors like Dollar Tree, CVS, or even Walgreens are often more convenient for quick shopping trips, especially in densely populated areas.

In contrast, some Target locations are larger and more suburban, which can be a deterrent for those looking for faster in-and-out access.

Top 10 Target Competitors in the U.S.

As consumer expectations shift and retail competition intensifies, several established players have emerged as strong retail alternatives to Target.

These brands offer similar or better value in terms of pricing, product range, convenience, or specialisation, making them go-to choices for shoppers seeking options beyond Target.

Let us explore the top 10 Target competitors and alternatives, highlighting some of the most dominant forces in U.S. retail.

1. Walmart

Walmart is arguably one of Target’s biggest competitors, both in terms of market share and consumer reach.

With over 4,600 stores across the U.S. and a powerful online presence, Walmart caters to a broad demographic by offering aggressively low prices on everything from groceries and electronics to home goods and apparel.

What sets Walmart apart is its deep penetration in both urban and rural areas and its unmatched efficiency in supply chain logistics. It is also ahead of Target in e-commerce innovation, offering services like same-day delivery, in-store pickup, and its membership program, Walmart+.

While Target has cultivated a more curated and style-driven image, Walmart leans heavily into affordability and accessibility, making it a clear leader among other discount retailers like Target and a preferred choice for budget-conscious consumers.

2. Amazon

Amazon is a dominant force in the retail space and one of the most disruptive Target competitors and alternatives. While it lacks physical retail stores on the same scale as Target, its massive digital infrastructure and vast product catalogue make it a formidable rival.

Amazon’s key advantage lies in convenience. With fast shipping via Prime, one-click purchases, and competitive pricing across categories, it has become the go-to retailer for everything from electronics to groceries.

Amazon’s expansion into household essentials and fashion has made it one of the most viable retail alternatives to Target, especially for time-strapped or remote shoppers.

Where Target appeals through in-store curation and brand experience, Amazon wins by eliminating the friction in shopping.

For consumers who value speed, variety, and seamless returns, Amazon is increasingly replacing other traditional retail stores like Target and steadily becoming their preferred destination.

3. Costco

Costco stands out as a value-driven Target alternative that thrives on bulk sales and membership loyalty. Unlike Target’s open-access model, Costco operates on a warehouse club format where customers pay an annual fee to access heavily discounted prices on groceries, electronics, furniture, and more.

What makes Costco a strong competitor is its ability to offer per-unit savings on large quantities, which is appealing to families and small businesses looking to cut down on frequent shopping trips.

Its exclusive in-house brand, Kirkland Signature, is also trusted for quality and affordability, making it a key draw for repeat purchases.

While Target attracts casual and style-conscious shoppers, Costco wins over the value-focused segment with simplicity and scale.

For those seeking grocery stores competing with Target or budget-friendly alternatives in household items, Costco has become a solid and reliable choice.

4. Home Depot

Though not a direct rival across all categories, Home Depot is a major player when it comes to home goods stores similar to Target, particularly in the DIY, home improvement, and garden supply space.

As consumers invest more in personalising their living spaces, Home Depot has captured a segment of Target’s customer base that once turned to Target for décor and functional home items.

What sets Home Depot apart is its depth in specialised inventory like lighting, paint, hardware, tools, and seasonal outdoor products, which far exceeds what Target offers in the home improvement aisle.

Professionals and everyday homeowners alike turn to Home Depot for both essentials and project-specific materials, making it a go-to store for function-driven purchases.

With online ordering, in-store pickup, and delivery options, Home Depot combines retail convenience with industry-grade variety, positioning it as a smart option for consumers who have outgrown Target’s limited home goods selection.

5. Dollar General

Dollar General has carved out a strong position as one of the fastest-growing discount retailers like Target, especially in rural and underserved urban areas.

While Target caters to mid-market shoppers, Dollar General focuses squarely on affordability and proximity, offering everyday essentials, household goods, snacks, and personal care items at ultra-low prices.

Its no-frills store model and smaller format make shopping quick and convenient, which appeals to consumers looking for immediate value without the distraction of higher-end displays or lifestyle branding.

It is more popular among low-to-moderate income households who want to avoid the travel or expense of larger big-box stores.

Though its selection is more limited than Target’s, Dollar General excels in volume and accessibility, making it one of the most relevant retail alternatives to Target for price-sensitive consumers seeking a reliable stop for essentials.

See Also: Who Owns Dollar General? Trace the Retail Chain’s Ownership and Impact

6. Best Buy

Best Buy may seem like a niche competitor, but in the electronics and tech accessories category, it is a powerful alternative to Target.

While Target stocks a modest selection of gadgets, TVs, and appliances, Best Buy dominates the space with product depth, tech expertise, and competitive pricing.

For consumers prioritising technology, Best Buy offers a far more comprehensive shopping experience. It features top-tier brands, exclusive product bundles, and in-store support through its Geek Squad service, something Target does not match.

This makes it a top destination for tech purchases, especially during holidays and back-to-school seasons.

Though it does not compete with Target on groceries or apparel, Best Buy is often preferred by consumers who want specialised knowledge and service, positioning it as a trusted Target alternative for electronics and home office needs.

7. Kroger

Kroger stands tall as one of the largest supermarket chains in the U.S. and a key player among the grocery stores competing with Target. While Target offers a general grocery section in most of its locations, Kroger provides a far more comprehensive food retail experience, ranging from fresh produce and deli items to pharmacy services and fuel rewards.

Kroger’s strength lies in its regional loyalty and tailored offerings. Its private-label brands, digital coupons, and personalised shopping apps create a strong value proposition that Target struggles to match in the grocery category. The company also continues to invest in delivery and curbside pickup, improving convenience for busy families.

For shoppers who prioritise food variety, pricing, and rewards over general merchandise, Kroger is often the preferred choice, making it a serious retail alternative to Target, especially in areas where food shopping is a priority.

8. Aldi

Aldi has quickly become one of the most popular discount retailers like Target, especially among consumers looking for no-frills grocery shopping at unbeatable prices.

With its growing footprint across the U.S., Aldi has positioned itself as a cost-effective alternative by focusing on private-label brands, limited assortments, and efficient store layouts.

What makes Aldi stand out is its ability to offer high-quality essentials, produce, snacks, pantry items, and even seasonal goods at significantly lower prices than traditional supermarkets or big-box retailers like Target.

Its minimalist approach not only reduces operational costs but also simplifies the shopping experience for customers.

For value-focused households, Aldi offers a reliable alternative to Target’s grocery section, particularly in markets where affordability is paramount.

While it lacks the broad product categories Target offers, Aldi is a top pick for everyday essentials without the extra spend.

9. TJX Companies (TJ Maxx, Marshalls, HomeGoods)

TJX Companies, which owns TJ Maxx, Marshalls, and HomeGoods, is a major force in the off-price retail segment and a popular choice among consumers seeking retail alternatives to Target.

While Target offers curated home décor and fashion basics, TJX appeals to treasure-hunting shoppers looking for brand-name products at discounted prices.

Each of its chains caters to a specific niche: TJ Maxx for apparel and accessories, Marshalls for a mix of fashion and home, and HomeGoods for stylish interior décor.

This specialisation allows the TJX brands to draw in shoppers who might browse Target for style but prefer deeper discounts and broader variety when it comes to home and lifestyle products.

With constantly rotating inventory and competitive pricing, TJX stores offer a sense of discovery that Target’s more structured product strategy cannot replicate, making them stand out among other home goods stores similar to Target.

10. Macy’s

Macy’s, a long-standing department store chain, is often overlooked in the discount retail conversation, but it remains one of the more versatile Target alternatives, especially for consumers focused on apparel, beauty, and home goods.

With its mix of private-label brands, mid-range pricing, and seasonal promotions, Macy’s attracts shoppers who want more variety and brand recognition than Target typically offers in fashion and cosmetics.

What differentiates Macy’s is its broad assortment of premium and designer products across both online and in-store platforms. It also offers in-store services like personal styling, wedding registries, and beauty consultations, features that add value for experience-driven consumers.

While it does not compete directly with Target on groceries or low-cost essentials, Macy’s does overlap in lifestyle categories where customers are seeking more aspirational shopping.

For shoppers looking for retail stores like Target that elevate the fashion and home shopping experience without jumping to luxury pricing, Macy’s presents a compelling, department-store alternative.

See Also: Top 10 Lululemon Competitors and Alternatives – Best Activewear Brands for 2025

Target Competitors and Alternatives

Top Target Competitors Comparison Overview

RetailerCore StrengthCompetes Most Directly on
WalmartLow prices, wide selection, massive footprintEssentials, groceries, general merchandise
AmazonFast delivery, vast online marketplaceConvenience, delivery, and product variety
CostcoBulk savings, strong membership modelGroceries, household items
Home DepotDIY and home improvement specialistHome improvement, seasonal décor
Dollar GeneralExtreme affordability and store proximityDaily essentials and low-income segments
Best BuyElectronics depth and expert serviceElectronics and tech accessories
KrogerComprehensive grocery selectionGroceries and pharmacy
AldiAffordable private-label groceryGroceries and household basics
TJX CompaniesDiscount fashion and home décorHome goods and fashion
Macy’sMid-range fashion, beauty, and homeApparel and lifestyle goods

How to Choose the Best Target Competitor

With so many strong Target competitors available in the U.S. retail space, choosing the right one depends on your specific shopping needs, preferences, and priorities.

Here is how to determine which alternative is the best fit for you.

Identify Your Shopping Priorities

Start by asking yourself what you visit Target for most often. If your shopping revolves around groceries and household essentials, retailers like Kroger, Aldi, or Costco are better equipped to meet those needs with stronger product depth and pricing in that category.

On the other hand, if you tend to shop more for décor, apparel, or seasonal items, stores like Macy’s, HomeGoods, or even Amazon may provide a better experience.

Consider Product Depth and Specialisation

Target offers a little of everything, but some shoppers prefer stores that specialise. Best Buy, for example, is far more robust in tech and electronics than Target, while Home Depot dominates in home improvement and garden supplies.

If you frequently shop within a specific category, a specialised store might give you more value and satisfaction.

Evaluate Price Sensitivity

If price is your top concern, focus on retailers that consistently offer low prices across categories. Walmart and Dollar General both provide extensive savings on daily essentials, while Aldi is ideal for grocery shoppers who do not mind a minimalist shopping experience.

These stores are designed for value and affordability, often outperforming Target in core pricing.

Think About Store Proximity and Convenience

Your ideal store may simply come down to what is closest. Smaller-format retailers like Dollar General or Aldi often have locations in areas where big-box stores are scarce.

Meanwhile, Amazon offers ultimate convenience for those who would rather not leave the house at all. If ease of access is a major factor for you, this can narrow your options quickly.

Compare Online vs In-Store Experience

Target has made strides in digital retail, but competitors like Amazon and Walmart are still ahead in e-commerce infrastructure.

If you value fast delivery, live inventory updates, and seamless returns, these platforms may offer a better overall experience. On the other hand, if you enjoy browsing in-store, a brand like Costco or TJ Maxx offers a more tactile, discovery-driven environment.

Review Return Policies and Customer Support

Customer service can make or break a retail experience. Amazon’s return process is nearly frictionless, which gives it a strong edge. Best Buy also earns high marks for in-person tech support.

If you want responsive customer service or lenient return windows, compare these factors carefully, especially for higher-priced items.

Explore Loyalty and Rewards Programmes

Target Circle has some perks, but many of Target’s top competitors offer more robust rewards systems. Kroger’s personalised deals, Walmart+, Amazon Prime, and Costco’s member pricing all bring real value over time.

If you are a regular shopper, these perks could mean hundreds of dollars in savings annually.

Assess Inventory Reliability

In recent years, Target has faced challenges with stock availability, especially for high-demand items and seasonal products. If this has been your experience, switching to a retailer with more dependable inventory, like Walmart, Amazon, or Costco, could save you frustration.

These brands often have better supply chain resilience.

Match Your Values With the Brand

Public perception and brand alignment are increasingly influencing where consumers choose to shop. Whether it is around social policies, environmental practices, or ethical sourcing, many shoppers prefer to support brands that reflect their values.

If this matters to you, take time to research the policies of major retail alternatives to Target before making a switch.

Think Long-Term Value

Finally, consider not just the immediate price tag, but the long-term value of shopping at an alternative retailer. Costco’s membership fee, for instance, may feel like a commitment, but the savings on bulk items often outweigh the upfront cost.

Similarly, loyalty points, credit card partnerships, and delivery options can all influence how cost-effective a store is over time.

Conclusion

As the retail industry continues to evolve, Target is facing mounting pressure from a wide array of competitors, each offering distinct advantages in pricing, convenience, or specialisation.

From Walmart’s pricing power and Amazon’s digital dominance to Costco’s bulk value and Aldi’s no-frills efficiency, consumers now have more choices than ever.

Choosing the right Target competitor or alternative depends on what you value most, whether it is affordability, delivery speed, product depth, or alignment with your lifestyle.

What is clear is that the traditional loyalty to one-stop retail is shifting, and the brands that meet today’s demands with agility and relevance are the ones winning over shoppers.

We want to see you succeed, and that’s why we provide valuable business resources to help you every step of the way.

Target Competitors and Alternatives

FAQs About Top Target Competitors and Alternatives

Who are Target’s biggest competitors?

Walmart, Amazon, Costco, and Kroger top the list, each offering similar products and competing on price, convenience, and category depth.

Are Walmart and Target competitors?

Yes, they are direct competitors with overlapping product lines, customer bases, and retail formats across the U.S.

Why is Walmart Target’s top competitor?

Walmart leads in pricing, store coverage, and supply chain efficiency, making it the most aggressive and consistent rival to Target’s model.

How do you find competitors’ target market?

Look at their product focus, branding, marketing tone, pricing strategy, and customer interactions across digital and retail channels.

What are the best retail alternatives to Target?

Top alternatives include Walmart, Amazon, Costco, Aldi, and Dollar General, depending on what products or services you’re prioritising.

Is Amazon considered a competitor to Target?

Yes, especially in online shopping, delivery convenience, and product variety. Amazon competes heavily in areas where Target is still growing.

Which grocery stores compete with Target?

Kroger, Aldi, Costco, and even Walmart compete directly with Target’s grocery section, often offering better pricing or deeper selection.

What home goods stores are similar to Target?

HomeGoods, At Home, and IKEA offer broader or more design-focused selections in furniture and décor compared to Target.

Why are people switching from Target to other stores?

Factors include rising prices, availability issues, stronger online experiences elsewhere, and broader loyalty perks at competing retailers.

Is Target still competitive in the retail market?

Yes, but with increasing pressure from all sides, Target must innovate in pricing, product mix, and e-commerce to stay ahead.

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ABOUT THE AUTHOR

Rebecca Ogunbayo

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