Price-matching, initially introduced for the holiday shopping season, will now be offered all year round. The move comes after Target’s holiday sales proved lower than anticipated, CBS News noted.
Discounted prices at competing stores and “showrooming,” the process in which consumers visit a brick-and-mortar store to look at an item before buying it online at a lower price, hurt Target’s sales this year.
In a bid to fend of agressive online rivals, Target will match prices on items found at the online stores of Best Buy (NYSE:BBY), Wal-Mart (NYSE:WMT) and Toys ‘R’ Us. The program will also be extended to cover items that are out of stock at Target’s online store.
A Target executive said that making the price-matching program permanent was meant to bolster consumer confidence in the retailer’s low pricing. Wal-Mart, the nation’s largest retailer, does not match the prices of its online competitors.
Shares of Target slipped about 1% in Tuesday afternoon trading.