$TGT Foot Traffic Outpaces $WMT as Retailers Battle Over Value Shoppers

Target ($TGT) is gaining ground against Walmart ($WMT) as both retailers ramp up efforts to attract budget-conscious shoppers. Walmart increased its "rollbacks" to 7,200 stores in Q1 and ran competing savings events against Target Circle Days in June, with Walmart CEO John Furner saying consumers are "looking to Walmart for value."
Target's overall store foot traffic rose 4.7% year-over-year in Q2, compared with 0.7% for Walmart, according to Placer.ai data. Target's comparable sales grew 3.8% year-over-year during the quarter, with digital comparable sales up 8.7%, and CEO Michael Fiddelke said sales grew across all six core merchandising categories, with non-merchandise sales up 20%.
Target Chief Merchandising Officer Cara Sylvester said the company completed its largest dry-grocery reset in more than a decade, leaning into wellness, global flavors, and emerging brands, with snacks driving double-digit comparable sales growth. Walmart remains the top grocery retailer by market share at 20.3%, up 0.3% year-over-year, according to Numerator data.
Fiddelke said Target has lowered prices on more than 10,000 items over the past year, with 95% of its back-to-school supplies priced at or below last year's levels, aided by nearly $1 billion in tariff refunds received in Q2. The moves come as U.S. retail sales fell 0.6% in July, the steepest monthly drop since May 2025, according to the Commerce Department.