Target Cuts Prices on 2,000 Items and Bets Shoppers Notice Before Amazon's Sale Does

Target is cutting prices on nearly 2,000 items across home, apparel, and accessories, the latest round in a rolling campaign that has now touched more than 10,000 products over the past year. Women's shoes are dropping to an average $35 from $40 a year ago, children's rain and winter boots are down roughly 15%, and a refreshed bedding collection is falling about 15% as well.

The cuts are timed to land before Target's Circle Deal Days event on October 6 and 7, which goes head-to-head with Amazon's Prime Big Deal Days for the same wallet. It's a direct response to shoppers trading down and switching retailers to manage spending, a pattern showing up across income levels heading into the holidays. Target's second quarter already posted 5.3% net sales growth and 3.8% comparable sales growth, but CEO Michael Fiddelke has said plainly that "flattish growth in apparel and home isn't what we strive for over time," which is corporate-speak for admitting the higher-margin categories still need work.

Chief Merchandising Officer Cara Sylvester put the strategy in plainer terms: "Guests are looking for great products at an incredible value, and that's an important part of what we aim to deliver every day." Deloitte is forecasting 4% to 4.8% holiday retail growth and Mastercard is projecting as much as 5.5%, which would be the strongest season since 2022, assuming Target's price cuts land before shoppers' patience runs out.

Source: Forbes

Kyle Duford, Founder & Editor, BRNDWIRE. More from Kyle →