Target’s efforts to make amends with customers hit a snag

Target has recently fought hard to win over consumers as it continuously faces sharp criticism over its prices, which have increased due to inflation over the years, and its company policies and beliefs. 

In January, things went further south for the company when it pulled the plug on several of its diversity, equity, and inclusion initiatives shortly after President Doland Trump issued an executive order on Jan. 20 that dismantled the federal government’s DEI programs. 

Some of the initiatives that Target cut included anti-racism training for its staff members, advancing the careers of Black employees, promoting Black-owned businesses, and sourcing products from Black suppliers. 

It also withdrew its participation in the Human Rights Campaign survey, which tracks LGBTQ+ corporate policies and practices, and scrubbed its three-year DEI goals. 

Target’s decision had an alarming ripple effect, sparking backlash from consumers, which resulted in several massive boycotts. Since then, the retailer’s sales and store foot traffic have nosedived, despite it launching generous deals over the summer to attract back customers. 

During the second quarter of this year, Target's comparable store sales dropped by almost 3.2% year over year, according to its latest earnings report. Additionally, recent data from Placer.ai revealed that customer foot traffic at Target’s same-store locations during the quarter decreased by 3.6% year over year. 

Target will soon see fewer customers in stores

Now, Target faces another major threat to its sales during one of the most crucial times of the year for retailers: another huge consumer boycott during the holiday shopping season.

The “We Ain’t Buying It” boycott, organized by grassroots organizations Black Voters Matter, Indivisible and Until Freedom, is urging consumers across the country to avoid shopping at Amazon, Target, and Home Depot between Nov. 27 and Dec. 1., accusing each company of “undermining democracy,” according to the campaign’s website. 

The organizers of the campaign specifically accuse Target of “caving” to the Trump administration’s “biased attacks on DEI.” 

They claim that Thanksgiving weekend is a crucial time to send a “powerful message” to retailers. 

Related: Target hopes to stop alarming customer behavior with bold offer

“In 2024, 196.7 million Americans shopped during Thanksgiving weekend,” reads the campaign’s website. “Cyber Monday has become an enormous cultural and commercial phenomenon. If we want corporations to hear our concerns about enabling this administration’s harms to our communities, we need to send them a message during this crucial window.”

The boycott’s organizers encourage consumers to instead shop at small and local shops, Black, immigrant, and POC-owned businesses, and at “retailers that have stood firm for democracy and inclusion.”

The boycott comes during a time when retail sales nationwide are expected to grow between 3.7% and 4.2% in November and December, compared to the same time period in 2024, resulting in total spending of $1.01 trillion and $1.02 trillion, according to recent data from the National Retail Federation.

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“American consumers may be cautious in sentiment, yet remain fundamentally strong and continue to drive U.S. economic activity,” said National Retail Federation CEO Matthew Shay in a press release. “We remain bullish about the holiday shopping season and expect that consumers will continue to seek savings in nonessential categories be able to spend on gifts for loved ones.”

Target has even launched a $20 Thanksgiving meal deal and vowed to lower prices on 3,000 everyday items in its stores during the holiday season to attract price-conscious consumers. 

Many low-income shoppers plan to reduce their holiday spending this year amid economic uncertainty, according to a recent Gallup survey.

How Americans plan to spend during the 2025 holiday season: 

• Americans plan to spend an average of $1,007 on gifts during the holidays this year, which is slightly lower than the $1,014 average in 2024.
• Also, American households earning less than $50,000 a year expect to spend $651 on holiday gifts, down more than $100 from last year’s $776.
• Only 18% of lower-income Americans say they will spend more this year, down from 28% in 2024.
  Source: Gallup

Target is suffering from a growing consumer trend

Target has faced several consumer boycotts this year for its decision to cut its DEI initiatives. In February, it suffered a boycott from labor advocacy group We Are Somebody. In March, it also faced a 40-day consumer boycott organized by the Rev. Jamal Bryant, a pastor from Atlanta. Target also suffered several boycotts organized by The People’s Union USA during the summer. 

The boycotts follow a growing trend among Americans: More are voting with their wallets amid elevated political tensions, which have impacted companies such as Walmart, Lowe's, and Amazon this year. 

Where Americans stand on boycotting companies in 2025:

• About 20% of Americans support boycotting companies that align themselves with President Doland Trump’s agenda.
• Roughly 53% of Americans boycott a company as a way to demonstrate to companies that consumers have economic power and influence. In comparison, 49% do it to express dissatisfaction with current government policies.
• Additionally, 46% cited companies cutting back their DEI policies as a reason for their boycott.
  Source: Harris Poll and The Guardian 

“Companies and consumers are playing a high-stakes game of chicken – corporations betting on convenience winning out over conviction, while consumers wield their spending power like a weapon,” said Libby Rodney, chief strategy officer at the Harris Poll, in a statement. “The data suggests this is a miscalculation. When 20% of Americans are permanently changing their consumption habits and nearly a third of boycotters say they’ll hold out indefinitely, convenience may no longer be the decisive factor companies think it is.”

Related: Walmart quietly shrinks generous offer for holiday shoppers