Target Books Another Sales Surge
Target Corp. reported robust quarterly sales and a jump in store visits, a sign the retailer continues to grab market share even as consumer buying habits change during the pandemic.
Comparable sales, those from stores and digital channels operating for at least 12 months, rose 23% in the quarter ended May 1 compared with the same period last year. The sales growth rate was twice as high as the same quarter last year when people rushed to buy food and household staples early in the pandemic.
Larger rival Walmart Inc. reported comparable sales rose 6% in its latest quarter, a slightly slower growth rate than the same period last year. Walmart executives said sales benefited from government stimulus checks and pent up consumer demand.
Target booked gains across categories, but its results revealed signs of new buying behavior as more people ventured out or hosted social events. Apparel sales rose more than 60%, Target said, and sales of home goods and hardlines, such as appliances, rose more than 30%. Sales of food and home essentials, big winners last year, increased a few percentage points.
Overall sales through digital channels increased 50% in the most recent quarter, a slowdown from the same period last year when sales grew 141%. Store visits rose 17%, year over year.
Published at Wed, 19 May 2021 10:35:00 +0000