Target’s Good & Gather line recently became its largest in-house brand by expanding its product line to over 2,000 goods. Throughout the fall season the retailer will stock its shelves with new products such as hummus, meatless patties, and speciality coffees. The fresh additions will sit beside new premium Good & Gather products, which include gourmet pizzas, pastas, and sauces. Many of the items cost between $3-$10 and can be found in food aisles including baking, frozen foods, snacks, and deli. The grocery additions arrive during a surge in grocery sales, which Target could potentially carve a larger slice of with its thousands of new in-house grocery items. The food products could also help Target level up against Kroger, Walmart, and Amazon, which have all made moves to win over grocery shoppers during the Coronavirus pandemic.
With a rise in grocery sales during this year also came an increase in home cooking and baking. Target’s private-label goods could appeal to grocery shoppers preparing meals at home by offering an affordable alternative to national brands. With many of the 2,000 goods sold exclusively in-store and online, Target could begin to grow a loyal following similar to its other in-house labels, like Hearth & Home for interior decor, or Cat & Jack, its children’s clothing line. The Good & Gather line also brings an opportunity for Target to promote its same-day order pickup offerings, including its “Click and Collect” service, which is running at 1,500 stores around the U.S, or its Shipt service which offers same day grocery delivery, according to a Gartner report on the topic. With grocery sales accounting for 20% of Target’s revenue in 2019, expanding the availability of Good & Gather now could help it sustain those sales while amplifying its image as a national grocer.
Adding premium products alongside everyday snacks and foods could allow Target’s Good & Gather line to appeal to any shopper that walks through its doors. By doubling its product offerings during the pandemic, Target could turn regular grocery shoppers into loyal customers, potentially helping set it apart from other grocers in the increasingly competitive market.