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For the people of Walmart, the problem is Walmart makes a ton of its money by vacuuming up all the low/no income customers that would have been served in smalle
by 542354234235 5y ago
For the people of Walmart, the problem is Walmart makes a ton of its money by vacuuming up all the low/no income customers that would have been served in smaller numbers by convenience type stores. If they go upscale like Target or Trader Joes, they lose that customer base and move into competition directly with those types of stores. Same with the layout. Sure, you or I will pay more for a store laid out for actual convenience and fully staffed decently paid cashiers that will get me in and out quickly, but most of their customer base wont.
It reminds me of Mcd’s problem. They can’t go upscale because people that will pay for it already like places like Chipotle or Chick fil a more and Mcd’s is so deeply branded as the classic cheap fast food. And their current customer base is heavily weighted at lower income busy people looking for the ubiquity, price, and mentally easy process.
- ineedasername 5y agoI didn't realize Chick Fil A was more upscale. Though the one s in my area are food court versions-- are the full physical locations markedly nicer inside than McDonald's? I think their employees do get paid more and/or better benefits though.
- trashcan 5y agoI wouldn't say the physical location is materially nicer, but the food experience is. I don't think I've ever been served stale food at Chick Fil A, and at McDonald's there's a very good chance on almost every visit. The employees also seem much happier and more helpful in my anecdotal experience.