Target ends price matching policy amid financial struggles

In the United States, Target Corporation is set to terminate its price matching policy with competitors such as Amazon and Walmart on July 28, 2025. This decision comes after 12 years of allowing customers to request lower prices at Target stores if they found identical products cheaper elsewhere. The move reflects a significant policy shift as more consumers have preferred to match prices only with products from Target's own website and stores. Target launched its price match policy in 2013 with the aim of attracting shoppers battling online price competition. However, recent financial reports indicate a decline in customer shopping at its locations and online, resulting in lower earnings. The retail chain reported $23.8 billion in first quarter sales for 2025, a decrease from $24.5 billion the previous year. This drop is attributed to several factors including changes in corporate policies and rising tariffs affecting consumer spending. The company explained that the need to revamp its pricing strategy is a response to evolving customer behavior which notes that most guests are more likely to utilize Target's price matching service versus external competitors. Furthermore, retail analysts suggest this decision is a response to Target's deteriorating profitability and operational margins, indicating a need for tighter financial management amid increasing costs and market challenges. As the retail landscape continues to adapt, policies like the price match guarantee are increasingly scrutinized. While Target's decision to end this policy may enhance financial discipline, analysts warn that it is crucial for the retailer to address other operational weaknesses to regain its competitive edge in the market.