Target is implementing massive price cuts on over 1,500 items to appeal to shoppers wary of inflation. The reductions, effective immediately, will include household staples and everyday goods, with up to 5,000 items expected to see price drops by summer. Notable reductions include Clorox wipes and unsalted butter. This move follows similar strategies by competitors like Michaels and Ikea.
Rising prices have deterred consumers, leading to stagnant retail sales growth. Target hopes these price cuts will reverse last year’s sales decline and counter predictions of a slow 2024. The retailer’s traditional customer base, the middle class, has been particularly affected by higher prices, impacting discretionary spending.
In response, Target has introduced a new budget-friendly house brand, Dealworthy, featuring 400 items ranging from phone chargers to underwear. The success of these measures will be revealed in Target’s upcoming earnings report.
Read more: corporate.target.com
