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Target cuts prices on nearly 2,000 home and apparel items

Target cuts prices on nearly 2,000 home and apparel items

Money Moves

Latest round in a price-cutting campaign to reverse three years of declining sales

Today: Nearly 2,000 home and apparel items cut

Overview

Updated 1 hour ago

Target cut prices on nearly 2,000 home and apparel items on September 29, the latest round in a price reduction campaign that has run since 2024. The move is part of CEO Michael Fiddelke's plan to end three straight years of declining sales.

Most of the new cuts run 5% to 20% below original prices, and they arrive in home, bedding, and accessories ahead of holiday shopping. Target is trading short-term margin for customer traffic, betting that repeated price drops pull shoppers back from Walmart and Amazon.

Why it matters

If Target's price cuts win back shoppers, the chain returns to sales growth after three years of declines and forces rivals to match its prices.

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Key Indicators

~2,000
Items in latest price cut (Sept 2026)
Home and apparel & accessories items lowered ahead of the holidays.
10,000+
Items priced lower in 2024
Target exceeded its 5,000-item promise, lowering 10,000+ prices in 2024.
5-20%
Typical discount vs. original price
Most reductions in the September 2026 round fall in this range.

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People Involved

Organizations Involved

Timeline

May 2024 September 2026

5 events Latest: Today
Tap a bar to jump to that date
  1. Nearly 2,000 home and apparel items cut

    Today Pricing

    Target lowers prices on home and apparel & accessories items ahead of the holiday shopping season.

  2. Q2: 10,000 items cut, guidance raised

    Earnings

    Target reports cutting prices on more than 10,000 items and raises full-year guidance under Fiddelke.

  3. Spring 2026: 3,000 items cut

    Pricing

    New CEO Michael Fiddelke's early move lowers 3,000 spring products across apparel, home, and essentials.

  4. Holiday cuts push 2024 total past 10,000 items

    Pricing

    Target cuts prices on 2,000+ holiday items; year-to-date total exceeds 10,000 items in 2024.

  5. Target announces 5,000-item price cut

    Pricing

    Target says it will lower everyday prices on roughly 5,000 frequently shopped items through summer.

Scenarios

1

Target returns to same-store sales growth in 2026

Possible Resolves by Dec 15, 2026

Discussed by: Reuters; Target's own guidance under CEO Michael Fiddelke

Fiddelke pledged to revive sales growth this year by reinvesting billions in remodels, products, and pricing. If lower prices pull enough traffic, comparable sales turn positive in Q3 and Target raises guidance again.

2

Walmart or Amazon matches Target's cuts, margins compress

Possible Resolves by Feb 15, 2027

Discussed by: Reuters, noting stiff competition from other retailers

Target's cuts could take share from rivals. If Walmart or Amazon answers with a matching broad reduction, margins compress across the sector and Target's turnaround slows, forcing deeper cuts or delayed investment.

3

Price cuts fail to lift sales; turnaround extends into 2027

Possible Resolves by Mar 15, 2027

Discussed by: Investors tracking Target's margin guidance

Stubborn inflation keeps Americans prioritizing essentials and value. If cuts don't move same-store sales, Target faces a choice: cut deeper into margin or accept another soft year of growth.

Historical Context

2 moments from history that rhyme with this story — and how they unfolded.

2008-2010

Target's recession-era repositioning (2008-2010)

During the Great Recession, Target leaned into value messaging and private label while preserving its design-forward identity, holding share against Walmart as shoppers traded down.

Then

The chain kept its customer base as spending tightened.

Now

Target cemented its 'cheap chic' brand positioning.

Why this matters now

It shows Target has used price as a defensive tool during economic stress before, facing the same tension between style credibility and price that today's cuts carry.

2018-2021

Walmart's grocery price reinvestment (2018-2021)

Walmart plowed billions into lowering grocery prices for years, accepting thinner margins to win traffic and market share from grocers and Amazon.

Then

Margins dipped as the chain passed savings to shoppers.

Now

Traffic and scale grew, and profits recovered as volume rose.

Why this matters now

It is the same trade-margin-for-traffic play Target is running now, and it shows the bet can pay off if volume follows price.

Sources

(6)