CEO Claims Customers are Expressing Gratitude for Securing Merchandise

• Target is combating theft in its stores by securing common items.
• Customers are expressing gratitude that merchandise is readily available, as claimed by CEO Brian Cornell.
• Target has consistently stated that theft is negatively impacting its profits, despite its efforts to increase sales.

To combat theft, As has locked up many everyday items in its stores, leaving customers frustrated.

Brian Cornell, the CEO of the retailer, stated that many shoppers appreciate having their body wash, toothpaste, and deodorant displayed behind a glass panel.

During a media call with reporters about Target's fiscal third-quarter earnings, CNBC queried Cornell about the sales lost due to shoppers' frustration with employees unlocking cases in-store. He stated that the shopper response to the policy has been "positive."

In the past week, I have been on both the East and West Coasts, visiting the stores you mentioned, where I have observed that items have been locked up. However, our guests have expressed gratitude because we carry the brands they require when shopping in our stores. Additionally, we have invested in our team members to provide excellent customer service by greeting guests, opening cases, and assisting them in finding the items they need.

Cornell was once again questioned by CNBC about whether Target has experienced a significant decrease in sales or foot traffic due to the inconvenience of waiting for items in their stores.

In many cases, it's the opposite of what Courtney said. The fact that we're in stock is what's most important for the guests. And they understand that we've had to make some changes to ensure the safety of the product and the fact that they have product in stock when they're shopping the stores.

Target's financial results continue to be impacted by theft, as company executives have stated. Despite sales stagnating and the company's struggle to regain growth post-pandemic, stolen items have consistently harmed their profits.

The decision to close nine stores in New York City, the Bay Area in California, Seattle, and Portland, Oregon, was made by Target due to theft.

In response to theft issues, Target has implemented locked cases for various items in select stores.

After Target invested billions to enhance the shopping experience and make stores more convenient, it has renovated its locations and introduced programs such as "Drive Up," where orders, including a fresh Starbucks beverage, are loaded directly into shoppers' cars without them ever having to get out.

If their local store locked up items, 26% of consumers surveyed by Coresight Research in August said they would shop elsewhere, and 26% said they would move online.

Several customers have voiced their annoyance on social media regarding the difficulty of obtaining products from shelves due to store employees unlocking cases.

Kurt Jetta from Delray Beach, Florida, tweeted on X, previously known as Twitter: "Hey @Target! You can't lock up items to prevent theft and then not have a salesperson nearby to help customers get them out. This has resulted in lost sales of electronics and shaving products. I lost a $300+ basket from you."

The retailer aims to provide an easy shopping experience for its guests and will review the date and location of the incident.

Target executives stated during a media call and in its earnings conference call with analysts that its merchandise in-stock levels are the best in four years, despite a 14% year-over-year decline in inventory and a 19% reduction in apparel, a category where Target has experienced soft sales for several quarters.