Target bets big on turnaround plan
Target announced a $1 billion revamp to expand private labels and shop-in-shop concepts, aiming to open 300 more locations by 2035. New stores are opening this week in Fuquay-Varina and Selma, NC reported.
CEO Michael Fiddelke is spearheading the turnaround, aiming to boost sales and appeal through private labels, shop-in-shops, and curated experiences. After three years of declining sales, Target hopes to get back on track. Target is investing an additional $1 billion in operating spending in 2026 to improve customer experience. This includes store upgrades, enhanced merchandising displays, increased store payroll and training, and AI-driven tech. Another $5 billion in capital expenditures will fund over 30 new stores and 130 remodels. Part of the plan involves launching "Target Beauty Studio" in over 600 stores this fall, featuring prestige and emerging brands. This immersive experience will take over the Ulta Beauty at Target footprint after the partnership's end in August. Target is also launching a "Baby Boutique" in about 200 stores, offering premium brands and expert guidance.
