Sept 29 (Reuters) – Target said on Tuesday it is lowering prices on nearly 2,000 home items, apparel and accessories, to attract cash-strapped shoppers ahead of the all-important holiday season.
To navigate a cautious spending environment, U.S. retail giants including Walmart and Target have been announcing price cuts to increase their appeal for households struggling with higher gas prices fueled by the Middle East conflict.
Target, which cut prices on more than 3,000 products earlier this year, raised its annual forecast in August after reporting a third consecutive quarter of stronger-than-expected results, a sign that efforts to revive growth under CEO Michael Fiddelke were gaining traction.
Retail giant Walmart reported its slowest quarterly comparable sales growth in August and said it will cut prices on about 11,000 products, fueled in part by $2.9 billion in tariff refunds.
“Guests are looking for great products at an incredible value, and that’s an important part of what we aim to deliver every day,” said Target’s chief merchandising officer, Cara Sylvester.
The company said its latest reductions build on price cuts for more than 10,000 products over the past year.
Target said it would lower prices on women’s, men’s, infant and toddler apparel and family footwear, with some items priced 20% or more below last year’s levels. The retailer is also refreshing its bedding assortment, with prices averaging 15% lower than a year ago.
The lower prices would add to savings available through its regular pricing and weekly promotions, it said.
(Reporting by Anuja Bharat Mistry in Bengaluru; Editing by Shreya Biswas and Devika Syamnath)
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