Bank of America analysts recently visited stores operated by 11 major retailers in Nashville, Tennessee, concluding that low prices alone are no longer enough to win consumer loyalty.
The visits covered major chains including Walmart (NYSE: WMT), Target (NYSE: TGT), Costco, Dollar General (NYSE: DG), and Ollie’s Bargain Outlet, producing a report titled “2026 Nashville store tours: What did we learn?”
“Value remains the dominant consumer message across retail,” BofA analysts wrote, but the report highlighted how differently each retailer is attempting to deliver on that promise.
From flashing shelf labels to Pokémon collectibles and rapid delivery subscriptions, the strategic divergence between major retailers is becoming sharper and more deliberate.
Walmart has introduced a feature called Shop to Light, which allows customers to use the retailer’s app to activate a flashing LED light on the corresponding digital shelf label to locate a specific product.
During BofA’s tour of a remodeled Walmart Supercenter in Franklin, Tennessee, executives demonstrated the technology as part of a broader effort to modernize the in-store shopping experience.
Management told analysts that Walmart expects its entire store fleet to be equipped with digital shelf labels by the end of 2026, with the labels also helping employees locate merchandise for delivery orders.
Walmart described its broader intention in a recent company announcement, saying, “Technology works best when it takes something that used to require a little more time or effort and makes it simpler.”
Target has taken a different approach, leaning into high-demand collectibles and pop culture merchandise to draw shoppers into stores at a time when consumer selectivity is increasing.
Target’s Fun 101 business, which covers toys, collectibles, and other hardlines merchandise, delivered 12% sales growth in the first half of 2026, according to BofA’s findings.
Analysts observed a dedicated Pokémon section during the Nashville store tour and reported strong demand, with Target now expanding on that momentum through additional product launches and its Fan Shop initiative.
Dollar General is pursuing its own strategy by expanding its $1 merchandise offering while simultaneously experimenting with ways to accelerate the in-store shopping process for budget-conscious consumers.
The chain also expects to introduce a delivery subscription program in late 2026, with BofA reporting that more than 80% of its delivery orders can already be fulfilled within one hour.
A subscription delivery offering could give Dollar General shoppers a compelling reason to consolidate their purchases with the chain rather than turn to competing retailers, particularly if the program includes loyalty rewards or additional perks.
Across all three retailers, the Bank of America report underscores a fundamental shift in American retail, where experience, technology, and trend-driven merchandise are becoming just as important as competitive pricing.
