Target on Thursday announced a new exclusive line of kitchenware, dubbed Cravings, with celebrity and cookbook author Chrissy Teigen. The collection, which will debut on Sept. 30, will feature 40 items ranging in price from $4 for drinkware to $140 for a 12-piece cookware set, according to a company blog post.
Earlier this week, Target also announced a Minecraft collection of 75 items in apparel, toys and home decor. To kick off the new line, the company is hosting an event on Sept. 22 that features a scavenger hunt, giveaways and early access to the debuting minigame Grid Runners.
- Meanwhile, Target's newest private label apparel brand, Prologue, rolled out nationwide in stores and online Friday, according to company press materials. The line showcases urban, minimalistic fall styles and is Target's aim at a "high-quality fashion brand at a super accessible price," Jessica Carlson, a Target spokeswoman, told the StarTribune.
Celebrity partnerships, trendy collections and private labels — that's the key to Target's cheap chic merchandising appeal in a nutshell. Over the last year, the company has doubled down on this strategy, launching about a dozen private label lines mainly in its core apparel and home decor categories. This is part of a $7 billion plan to differentiate merchandise, reinvest in stores and bulk up digital spending. And it's paying off.
In August, the company shattered traffic records for a second consecutive quarter, posting traffic growth of 6.4% — the strongest since the company began reporting traffic 12 years ago. In turn, sales are setting new records too. Comparable sales in the quarter increased 6.5%, while comparable store sales grew 4.9% and comparable digital sales grew 41%. Target said these are the best comps in 13 years at the company. Revenue is up too, 6.9% over last year, reaching $17.8 billion.
Many of these new brands and collaborations are central to Target's small format stores — a concept the company has committed to with the rollout of 30 new stores by the end of the year, making for a total of 130 by the end of 2019. Such stores target urban, suburban and college campus areas in a play at young, millennial parents and Gen Z college goers.
Bringing in an of-the-moment celebrity like Chrissy Teigen is a well-used strategy in the Target playbook. In the home category, the Hearth & Hand with Magnolia brand launched last November, which was co-designed with "Fixer Upper" stars Chip and Joanna Gaines, was a big seller over the holidays, CEO Brian Cornell said in January. Last year, the mass merchant's collaboration with Victoria Beckham broke online sales records for design partnerships. Exclusive partnerships with brands like Hunter have also helped keep Target relevant for shoppers as a one-stop shop for cleaning supplies, fill in groceries and trendy but affordable apparel and home goods.
Target will no doubt tout its differentiated mix at the holidays. The company is kicking off the sales season next week, from Sept. 16 to Sept. 22, where REDcard holders can cash in on the "best of" Cartwheel deals and get half off on annual Shipt same-day delivery membership, the company also said this week.