07-07-2026SUBSCRIBER EXCLUSIVE

Why today’s smartest shoppers are at Walmart, Costco, Ulta, and Ross

We’re in a trade-down economy. These four lessons are helping retailers win both affluent and lower-income consumers as the rules of shopping radically change.

[Source Photos: Hannet/Adobe Stock, New Africa/Adobe Stock]

There used to be a clear divide between the people who shopped at Walmart and those who shopped at Saks. Not anymore.

Consider the shopper on Walmart’s website loading up on the basics: a 12-pack of paper towels, a few boxes of mac ’n’ cheese, a gallon of milk—all from Walmart’s private label, all cheaper than national brands. Then, into the same cart, she drops a $627 pre-owned Louis Vuitton handbag that Walmart has certified as the real thing. The next morning she swings by Ulta for $12 Maybelline foundation and the $36 Drunk Elephant face wash she refuses to live without.

A decade ago, when the economy was humming, this woman—a six-figure earner—would have spent much of her money at stores built on aspiration and exclusivity, like Saks Fifth Avenue, Whole Foods, and Sephora. But in this turbulent economy, she’s willing to trade down on many products........

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