THE WHAT? Target has reported its results for the third quarter of fiscal 2020. The US retailer saw comparable sales rise 20.7 percent thanks to an impressive 155 percent hike in digital sales and solid 9.9 percent in store sales.
THE DETAILS Basket size grew 15.6 percent in Q3, Target said, and traffic was up 4.5 percent too. Indeed, the multi-category retailer has racked up US$6 billion in total market share gains over the course of the year to date. Essentials and beauty sales saw broad-based growth in the high teens.
“Our strong results in 2020 reflect the benefits of our multi-year effort to build a durable and flexible model, with a differentiated assortment and a suite of industry-leading fulfillment options – all brought to life through the passion and effort of our team. As a result, we’ve seen a deepening level of engagement and trust from our guests. The result is unprecedented market share gains and historically strong sales growth, both in our stores and our digital channels,” said Brian Cornell, Chairman and Chief Executive Officer of Target Corporation.
THE WHY? Target said that its ‘guests’ were shopping more often and putting more in their carts thanks to deepened engagement and trust, resulting in unprecedented market share gains. Digital gains have been driven by click and collect services such as Drive Up, Shipt or in-store pick up.