Target Decides TikTok's Favorite Bedding Brand Can Help Fix a Home Category That Has Bled Billions
Mellow Sleep debuts in 550 stores this month, Shabby Chic gets a rename, and Target is betting nostalgia plus virality finally turns around its sheets problem.
Target's home category has lost more than $1 billion in sales for three straight years, including a $1.09 billion (6.5%) drop in fiscal 2025 alone. Its fix: let the internet pick the next bedding brand for it. TikTok-favorite brand Mellow Sleep makes its physical retail debut at 550 Target stores starting October 18, with nationwide availability by year's end, selling a five-product collection ranging from a $39.99 CloudAlign pillow to a $129.99 Marshmallow Comforter.
Mellow Sleep reached $130 million in revenue in its first year after launching on TikTok Shop and its own direct-to-consumer site in 2025, and it's on track to clear $300 million in its second. Co-founder Chad Keller said Target reached out last spring, less than a year after the brand launched, adding, "why wouldn't Target capitalize on the brands that have big presences over there?" Co-founder Jay Yue said the Target buyer who made contact was already a fan of the brand and wants Mellow among the retailer's biggest home names within a couple of years. For the launch, Mellow Sleep is using custom end caps with cloud graphics against lavender color blocking, aiming to stand out against a sea of neutral sheets.
Target is pairing the move with a relaunch of its own '90s bedding brand, now renamed Simply Shabby Chic, a collaboration with the creator behind the viral This Oak House Instagram account, and an average 15% price cut across its refreshed private-label bedding assortment. Kantar's Barry Thomas said shoppers increasingly look for a "vibe" on social media before heading to a store, and that nostalgia alone won't be enough: "having a beloved brand name will only get a brand so far."
Source: Modern Retail
Kyle Duford, Founder & Editor, BRNDWIRE. More from Kyle →
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