Target enjoys best traffic growth in over a decade
The first quarter was a winning one for Target as the retailer enjoyed a 3.7 percent traffic spike, a comparable sales growth of 3.0 percent and digital sales increase of 28 percent.
The traffic increase is the strongest quarterly performance in over a decade, according to a press release.
During the quarter Target remodeled 56 stores, opened seven new locations, debuted three new brands and launched its drive-up service in more than 250 stores. It also rolled out same-day delivery from more than 700 stores via its acquisition of Shipt and expanded its Target Restock nationwide.
"We're very pleased that our business continued to generate strong traffic and sales growth in the first quarter, as we made significant progress in support of our long-term strategic initiatives," said Brian Cornell, chairman and chief executive officer of Targe, said in the release. "Our first quarter performance reflects the benefit of our unique multi-category portfolio. Strong sales growth in our home, essentials and food and beverage categories offset the impact of delayed sales in temperature-sensitive categories, which accelerated rapidly in recent weeks as weather improved across the country."
Target expects it second quarter sales growth will be in the low and mid single-digit range and 15 percent growth over last year.
Topics: Financial News