A man surprised with his hand over his mouth in front of a Walmart store.
CONSUMER AFFAIRS

The European brand threatening Walmart and Target: massive store openings in America

Walmart views the arrival of a new competitor in the US with uncertainty

For years, US consumers have trusted Walmart and Target to find basic clothing at good prices. But now, a European brand is gaining ground with a direct and expansive approach. This is Primark, the Irish low-cost fashion chain, which is making a strong impression in the United States.

The company, owned by Associated British Foods, has confirmed an ambitious plan: 60 stores operating by 2026. It has already surpassed the 30-store mark in 12 states and continues to add new openings. Its arrival in Tennessee, with a store in Memphis set to open this July 24, marks another key step in its expansion.

Woman surprised with her hands on her face and an image of a Primark store in a red circle.
Primark expands in the US | Primark, Dean Drobot, Kwangmoozaa

Primark has a simple model

Primark bets on large, well-stocked physical stores. It doesn't sell online. This model, although it may seem limited, reduces costs. This way, it manages to keep prices very low on fashion, home, beauty, and children's products.

Basic clothing, accessories, cosmetics, lingerie, and even suitcases: everything is available under one roof. In many cases, prices are lower than those of other well-known chains. That's exactly what makes it a powerful alternative for a consumer looking to save without giving up variety.

Advantage amid changes

Primark not only grows, but also adapts to the context. In the US, there's a discussion about eliminating the "de minimis" exemption, a rule that currently allows small products to be imported without paying tariffs. If it's eliminated, buying online from foreign platforms will be more expensive.

The brand believes this change will benefit physical stores. Many customers, affected by the new online prices, will return to shop in stores. That's where Primark sees an opportunity.

Entrance to a Primark store with people entering and leaving, and a security guard at the entrance.
A little-known brand, but one that is successful in Europe | Google Maps

Walmart pressured by Primark

Walmart and Target haven't ignored the progress. Both have worked to improve their fashion lines. But Primark arrives with a different approach. Instead of private labels or collaborations, it offers a more direct experience, with a large volume of products and low prices without constant discounts.

Its stores are also spacious, highly visual, and easy to navigate. They don't have a digital focus, but they bet on physical impact. They also organize clothing repair workshops and other community activities, in line with a more sustainable profile.

In the United States, the chain has launched campaigns to make its identity known. "That's So Primark" is the chosen slogan to present itself as a close, young, and accessible brand. This communication reinforces the idea that it's not just a cheap store, but a proposal with its own style.

High expectations

The goal of 60 stores no longer seems far off. The pace of openings is steady. Primark sets up in strategic shopping centers, where it attracts a broad audience looking for price and convenience.

Meanwhile, Walmart and Target continue to dominate the market. But Primark has established itself on the same ground. It already competes for the same customers. It does so with a combination that works: large stores, no frills, with tight prices and a simple experience.

➡️ Consumer Affairs

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