Once-loyal Target shoppers are finding alternatives after boycotts. Can the retail giant win them back?
What has led to customers abandoning Target?
- Target has experienced stagnated sales and a significant drop in stock value since 2022, struggling to retain customers after various controversies.
- The retailer faced boycotts and customer backlash after ending its diversity, equity, and inclusion initiatives to comply with an executive order by Donald Trump.
- Further customer alienation occurred when Target scaled back its Pride merchandise in 2023 following conservative protests and threats.
- These controversies have contributed to a 2.8 per cent drop in Q1 sales and an expected low single-digit percentage decline in annual sales.
- Many formerly loyal customers are now opting for alternative retailers, citing high prices and a misalignment with Target's perceived values.