Target sales decline 3% with billions in revenue lost. Forbes points to Black people driven boycotts related to anti- DEI

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The ADD

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Target is much more a niche shopping destination that Walmart. In a lot of communities Walmart might be the only full grocery option.

A lot of people shopping at Target aren’t/weren't always buying essentials.
 

Dwayne_Taylor

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Dumb question

How does Target or any store for that matter know how many of its customers are Black/White/Indian etc just because they made a purchase :why:

They take your data eveytime you buy....and they trade it with other corporations
 
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Robbie3000

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The boycott was/is right.
It’s a corporation, the only thing they understand is $.

What is the alternative? Hope and pray that they change their values surrounding diversity?

At the very least, you send a message to corporations to think twice before embracing right wing reactionary nonsense.

That poster you are quoting is tripping, a c00n or a cac cos playing as a black man.
 

bnew

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Are Target Boycotts Starting To Take Their Toll?​


Topline​


Target just reported fourth quarter net sales declined 3% and warned that February topline performance was “soft,” after civil rights leaders called for a Target boycott in Black History Month for changing its position on DEI, followed by a sharp drop in traffic to Target stores and website during the Feb. 28 Economic Blackout.

FILE - A community member holds a sign calling for a national boycott of Target stores during a news... Moreconference outside Target Corporation's headquarters in Minneapolis, Minn., Jan. 30, 2025. (AP Photo/Ellen Schmidt, File)

Copyright 2025 The Associated Press. All rights reserved.

Key Facts​


Target greeted 11% fewer customers on the People’s Union USA Feb. 28 Economic Blackout Day compared with the average number of visits for the previous five Fridays, according to locations analytics firm Placer.ai.

This followed four consecutive weeks of foot traffic declines at Target from Jan. 28 through Feb. 17, though Placer.ai head of analytic research R.J. Hottovy couldn’t credit it to DEI-related boycotts, claiming many retailers experienced a traffic decline during those weeks.

While a Numerator survey among 1,300 consumers found just 16% of Americans planned to participate in the daylong national shopping boycott, Target was particularly hard hit, as Placer.ai found Best Buy visits rose 1%, Starbucks was up 2% and McDonald’s saw an 8% uptick.

More Target boycotts are coming, including a faith-based 40-day fast through Lent and the People’s Union is singling out Target for a boycott June 3 through 9.

Background​


Experts generally agree grassroots consumer boycotts do not have a significant effect on a company’s results. However, this time Target may be particularly at risk. Boycott calls are coming from many different groups, including faith and civil rights leaders, and the People’s Union, which is spreading its protests widely across many big businesses. Professor Brayden King at Northwestern University’s Kellogg School of Management shared with USA Today that more than affecting consumer purchase behavior, boycotts put a “negative spotlight” on the company that can have “reputational consequences.” Consumer trust is a critical factor in where they choose to shop and a retailer’s reputation measures that.

Target’s Reputation Plunges This Year​


Target has historically trended as a “reputationally strong” company, according to reputation tracking firm RepTrak. However, its reputation took a steep downward turn early this year, dropping from 73.8 on a 100-point scale in December to 66.3 in January, coinciding with the company scaling back its DEI initiatives which set off the first boycott call.

History Repeat Itself?​


Target experienced its steepest reputational decline in 2023 after its Pride Month displays resulted in a consumer backlash and boycotts. It had a reputation high score of 76.9 in April that year, then plunged to a low of 60.9 in December 23. In fiscal 2023, Target revenues declined 2%.

What We Don’t Know​


Target full-year 2024 revenues declined 1%, dropping to $106.6 billion from $107.4 billion previous year. For fiscal 2025, it is guiding on flat comparable sales with expectations of net sales growth around 1%, reflecting ongoing consumer and tariff “uncertainty.” The company fielded no analyst questions about boycott pressures, but on the subject of tariffs, it reassured investors that it has been “very proactive” on this issue to diversify its country of origin suppliers. While we must wait for any fallout from the gathering storm of consumer boycotts till next quarter earnings, the company credited soft February sales on declining consumer confidence and “uncharacteristically cold weather” across the U.S.

Crucial Quote​


“Our team grew traffic and delivered better-than-expected sales and profitability in our biggest quarter this year,” CEO Brian Cornell said in the company’s earnings statement.

Key Question​


One wonders what Target was expecting in the fourth quarter after net sales declined 3% to $30.9 billion, operating income was off 21% to $1.5 billion and net earnings declined 20% to $1.1 billion?
 

Mister Terrific

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bnew

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Commented on Wed Apr 23 13:39:58 2025 UTC

They didn't even cave.. they preemptively bent the knee.


│ Commented on Wed Apr 23 14:39:34 2025 UTC

│ Exactly why I felt so strongly about this. They didn’t make a decision to protect their literal existence in the face of government threats. Which you’d hope a large corporation would still find the guts to fight, but could at least see that they had a difficult choice to make. In the face of nothing they said, “Dems are out? Well we don’t have to pretend anymore!”
 

bnew

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Commented on Wed Apr 23 13:39:58 2025 UTC

They didn't even cave.. they preemptively bent the knee.


│ Commented on Wed Apr 23 14:52:18 2025 UTC

│ The way that announcement came out of absolutely nowhere. They JUMPED at the chance to drop DEI and somehow thought it would buy them goodwill? I was talking to one of my siblings about it the other day and we both used to shop at target like crazy, multiple times a week. We've both found it surprisingly easy to not shop there anymore and are saving money not buying things we don't really need.

│ │
│ │
│ │ Commented on Wed Apr 23 15:04:28 2025 UTC
│ │
│ │ Thisss 💯!!! I'm a mom of 2 littles (5 and 7) and the convenience of Target pickup alone... I did groceries there weekly. Diapers and wipes, anything last minute was so easy, and the kids would nap for the car ride. 🤣
│ │ Easily spending $200+/week not including stuff I didn't need. Same with Amazon, canceled prime, and still able to find niche things for my kiddos.
│ │
│ │ They exploited BLM/ Black History Month and Pride. They boasted isles of "black owned businesses " but JUMPED as soon as it was "okay to drop DEI" bc the Prez Velveeta said so.
│ │
│ │ I'm in my anticonsumption era due to boycotting everything and my savings has never been better❤️🙌✌️
│ │
 

bnew

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Commented on Wed Apr 23 13:49:18 2025 UTC

Target made the same mistake Tesla did. They ignored their data on shoppers. Target shoppers have always prided themselves on being more savvy than Walmart shoppers, and more educated. Target,like Tesla,thought their shoppers wouldn't care, well they did. And our country is too diverse to ignore any group and not face repercussions.


│ Commented on Wed Apr 23 14:00:22 2025 UTC

│ They assumed their customers would continue to shop there regardless of what their internal policies were because they viewed themselves as better than the alternatives.

│ Their customers felt very differently. I know I ton of people who have openly talked about how they don’t shop at target anymore. They have completely moved on from them as a brand

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│ │
│ │ Commented on Wed Apr 23 14:04:34 2025 UTC
│ │
│ │ They LITERALLY gained traction from like 2016 to now for being inclusive. What they did is literally tell their customers that anyone is welcome, and then they removed that policy expecting them to still feel welcome.
│ │
│ │ Go fukk yourself, Target. Hope it was worth it.
│ │

│ │ │
│ │ │
│ │ │ Commented on Wed Apr 23 14:25:32 2025 UTC
│ │ │
│ │ │ This is kind of the most baffling part. For years Target has stood by their decision to sell pride merch, as well as stuff made by smaller minority owned businesses. When their right-leaning customers complained, they stood their ground, and they lost customers on that side.
│ │ │
│ │ │ So this year when the power shifted and they dumped DEI.... What did they think was going to happen? They've already burned the customer base on the right, and now they burned the customer base on the left. Masterclass business strategy right here - make all your customers hate you!
│ │ │

│ │ │ │
│ │ │ │
│ │ │ │ Commented on Wed Apr 23 14:44:02 2025 UTC
│ │ │ │
│ │ │ │ For years Target has stood by their decision to sell pride merch
│ │ │ │
│ │ │ │
│ │ │ │ They pulled all of their pride merch the second a single store had a threat called in. Not even an actual attack. They have never stood by anything, and the speed at which they cancelled their DEI policy just continues to show that they have no real values and stand by nothing. They sold the pride merch because they saw a new way to make money, they never actually cared about supporting a minority group. They dropped them the second they thought it could possibly be a risk.
│ │ │ │

│ │ │ │ │
│ │ │ │ │
│ │ │ │ │ Commented on Wed Apr 23 15:04:59 2025 UTC
│ │ │ │ │
│ │ │ │ │ This right here, it was never about inclusion or any of that
│ │ │ │ │
 

bnew

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Commented on Wed Apr 23 16:07:21 2025 UTC

That’s because they are letting their decisions be “data driven” via data mining without regard to how the data is generated.

PEOPLE make decisions to walk into those stores that lead to sales data generation. That data does not help Target UNTIL they walk into the store.

Sure the DEI merch wasn’t a big part of sales, or surely it would all still be there. But its existence made its customer base in many major areas comfortable about Target in general. Think of it like a duck decoy making it seem to other ducks that the lake is a safe place to land.

So when they reversed DEI and pulled the merch, think of it as not only the duck decoys vanishing but the whole area suddenly looking like it’s crawling with hunters.

Now those ducks refuse to land, refuse to even approach the lake. They now hate that lake. If they don’t enter the stores they don’t shop, so the shopping data and algorithms optimizing for what people want to buy is useless.

They completely misread what DEI meant to its shopping customer base. And now those people, who have many many choices, will shop elsewhere. This is not the first time I have witnessed Target’s tone-deafness at the executive level - I saw it at Target Labs a long time ago - and it hasn’t improved AT ALL. Really it’s become much much worse.

Target has been running a massive ad campaign begging people to go back. Clearly that’s not happening yet. The ad campaign completely misses the point and sweeps their BS under the rug. Nobody is buying the schlock they’re selling.

Think of it like this: your sweetie suddenly decides s/he hates you and bangs your a$$hole sibling instead. Then s/he finds out you won the lottery and suddenly wants you back. But - it’s too late! S/he’s shown you who s/he is. You don’t want that person back.

After claiming to support DEI, Target sucked up-to/off the Trumpanzees. OK, but Target’s customer base LIKED the DEI stuff. They may not have bought much of it but just having that assurance that Target supported DEI made them a preferred choice over, say, Walmart. They shot the canary in the coal mine.
 
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