Target (TGT is one of the m) any major retailers hoping to profit from a historical shift in consumer behavior during the holiday season.
According to a recent survey from the National Retail Federation, consumers are expected to spend about $902 per person on “gifts, food, decorations and other seasonal items,” during the holidays this year. This is $25 more than each consumer was predicted to spend in last year’s survey and $16 higher than the previous planned- spending record of $886 per person in 2019.
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As consumers have already begun to flock to stores to do their holiday shopping, Target recently revealed that it expects “flat” sales during the holiday season due to its weak performance during the third quarter.
Related: Target flags startling customer behavior ahead of holidays
In its latest earnings report, Target revealed its comparable sales only increased by a measly 0.3% during the quarter compared to the same period last year. Also, the amount of money customers spent per purchase shrunk by 2% year-over-year.
Target follows other retailers with Thanksgiving Day plans
As Target struggles with lower-than-expected sales, the retailer has decided to once again break a major holiday tradition for the fifth year in a row.
Target is closing its stores on Nov. 28, Thanksgiving Day, in order “to provide team members with the opportunity to spend time with family and friends,” according to a recent press release.
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This is a new tradition Target decided to keep after the COVID pandemic forced its close on Thanksgiving Day in 2020.
"What started as a temporary measure driven by the pandemic is now our new standard — one that recognizes our ability to deliver on our guests' holiday wishes both within and well beyond store hours," said Target CEO Brian Cornell in a note to employees in 2021.
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The move from Target is in keeping with other major retailers such as Walmart, Costco and Home Depot, who also recently announced that they will be closing their doors on Thanksgiving.
Target offers customers extra options for last-minute shopping
To lessen the blow of the store closures for shoppers, Target will remain open regular hours on Nov. 27. It is also offering customers additional options to make last-minute purchases on that day, such as the ability to pick up orders on the same day, even if the order is placed two hours before stores close.
Related: Target makes bold clarification to return policy amid alarming trend
Also, customers who are Target Circle 360 members will still be able to enjoy unlimited same-day delivery for orders over $35 on Nov. 27. Target is also discounting the $99 annual fee of a Target Circle 360 membership by 50% between Nov. 10 to Dec. 2.
Most Target stores will reopen early at 6 a.m. sharp on Nov. 29, aka Black Friday. The retailer also announced that it will be kicking off extended holiday shopping hours on Nov. 30. This means that stores will be open from 7 a.m. to midnight until Dec. 23.
"Target is the place to be on Black Friday — and all season long — with incredible deals on thousands of items across every category and exclusive in-store items you'll want to pick up for everyone on your gift list this year," said Target Chief Stores Officer Mark Schindele in the press release. "With extended store hours, convenient same-day pickup and delivery options, and around-the-clock online availability, you can choose when, where, and how to shop, and our fantastic team will be there to deliver."
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