(Photo courtesy Target Corp.)
Target reports that its work on food and beverage has paid off, particularly with fruits and vegetables.
“We’re seeing the strongest results where we’ve been investing,” Mark Tritton, chief merchandising officer and executive vice president, said in the third-quarter earnings call Nov. 15, according to a company transcript. “This is best evidenced in produce, where we’ve been investing in freshness, organics, in-stocks and specialized store labor, where we saw a high single-digit comp increase in the quarter.”
Overall, the company saw slight growth in sales for the quarter, up to $16.7 billion from $16.4 billion in the same period in 2016.
E-commerce continues to be a focus for the company, and sales in that area were up 24% from the third quarter last year.
Digital initiatives in the works include same-day delivery and a drive-up pickup option, which are being tested in numerous markets.
“As we look ahead to next year, we’ll continue scaling all of our new fulfillment capabilities, including same-day and next-day delivery,” John Mulligan, chief operating officer and executive vice president, said on the call. “Our ultimate goal is to build a supply chain that can reliably deliver any item in our network to all but the most remote areas in the U.S. in two days or less with most items delivered in one day.”