In Q1 2021 Target private brands grew a staggering 36%, driven by a 50% increase in online sales and a 15% rise in same-store sales. During their first quarter 2021 earnings call Christina Hennington, EVP, and chief growth officer of the retailer highlighted the retailer’s private brand portfolio.
“I want to pause and also highlight that sales on Target’s owned brands grew approximately 36% in the first quarter, the strongest increase we’ve ever recorded. Because of our unique capabilities in product design, development, and sourcing, our owned brand products offer an unbeatable combination of design, quality, and value. These brands aren’t something that our guests pick up while they’re at Target, they’re a big reason why they shop at Target, which is why we continue to invest in them.”
“Our performance in the first quarter was outstanding on every measure and showcased the power of putting our stores at the center of our strategy. Store comp sales grew 18.0 percent in the quarter, even as they also fulfilled more than three-quarters of Target’s digital sales – including more than 90-percent growth of our same-day services. Importantly, market-share gains of more than $1 billion in the first quarter, on top of $1 billion in share gains a year ago, demonstrate Target’s continued relevance with our guests, even as they have many more shopping options compared with a year ago,” said Brian Cornell, chairman and chief executive officer of Target Corporation.
Cornell further elaborated in the call “the magic behind our performance, is that great combination of in-store experience, the ease and convenience of digital, but that multi-category portfolio and that unique combination of our own brands and curated national brands, we appeal to a broad group of consumers in different cohorts. And we’re picking up share across all of these different areas.”