Store Brands Are a Major Part of Target’s Growth Strategy

Target saw an increase in annual sales of $15.3 billion, a nearly 20% jump in full-year sales reaching $92.4 billion. Digital sales, including delivery and pickup, saw a 145% increase in sales. Store brands were a major part of that success.

Target’s Chief Growth Officer Christina Hennington was recently quoted as saying the retailer’s private brands accounted for one-third of Target’s sales. Four store brands have reached $2 billion in sales. They are Cat & Jack, Up & Up, Threshold and Good & Gather.

“Own brands are vital to the success of our business,” Hennington said, adding that that Target customers seek out their store brands and are loyal to them.

Target even upped the ante recently by announcing the introduction of a major new food line. Slated to hit store shelves on April 5, Favorite Day is a line of 700 products that will focus on snacking items like cupcakes, lava cakes, ice cream, and other sweet and salty snacks. Target is also introducing a crafting line called Mondo Llama. It will consist of 400 arts and crafts products including paint sets, drawing kits, and other craft products.