MINNEAPOLIS – For the third year in a row, Target’s home sales have fallen back both as a share of total sales and on a year-over-year basis. In 2023, the retailer’s Home Furnishings & Décor segment accounted for 17% of the company’s annual sales of $105.8 billion, according to Target’s new 10-K filing with the SEC.
On a year-over-year basis, segment sales declined roughly 6% to approximately $18.19 billion. That marked a steeper drop than total company sales, which fell back 2% for the year.
It’s worth noting that Target’s 2023 home sales still rang in well above its pre-pandemic volume of $14.6 billion in 2019. And the segment’s sales were just off 2020 results.
For most of 2023, Target reported anemic sales across its discretionary categories, as did other general merchandise retailers. In November, the company said it had begun to see an acceleration on apparel and home during Q3, even as total revenue declined.
Last week, Target announced an aggressive plan to add $50 billion to sales over the coming decade, which would represent 47% increase over last year’s annual sales of $106 billion. The retailer plans to open more than 300 mostly full-sized stores during that period and upgrade its existing store base of nearly 2,000 doors.