Target CEO admits a major mistake amid boycotts from customers
It is no secret that Target (TGT) has fallen down a rabbit hole of controversy over the past few years.
In 2023, the retail giant faced a massive boycott from consumers over its pride collection, which sparked backlash for containing items marketed toward children. Since then, Target’s diversity, equity, and inclusion policies have suffered criticism, and its sales have weakened for several financial quarters.
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In January this year, tensions between the retailer and consumers heightened after it made the harsh decision to scale back its DEI initiatives. This includes withdrawing its participation in the Human Rights Campaign survey, which tracks LGBTQ+ corporate policies and practices.
Related: Target suffers major loss amid massive boycott threats
It also discontinued its three-year DEI goals and concluded its Racial Equity Action and Change initiatives, which involved advancing the careers of Black employees, instituting anti-racism training for team members, promoting Black-owned businesses, sourcing products from Black suppliers, etc.
Target decided to scale back these goals shortly after President Donald Trump issued an executive order dismantling the federal government’s DEI programs. In the executive order, he claimed that the programs enforce “illegal and immoral discrimination.”
Target’s sharp turn on DEI sparked a whole new wave of boycotts, which appears to have contributed to weaker foot traffic in its stores. According to recent data from Placer.ai, foot traffic in Target stores started to decrease during the week of Jan. 27, and the trend continued over the next two months.
Image source: Justin Sullivan/Getty Images
Target CEO acknowledges a major frustration
Amid recent controversy, Target CEO Brian Cornell has reportedly sent an email to employees acknowledging that it has been “a tough few months,” according to a recent report from The Minnesota Star Tribune.
He also admitted that the company’s lack of communication during the recent controversy has led to “uncertainty.”
“I recognize that silence from us has created uncertainty, so I want to be very clear: We are still the Target you know and believe in,” said Cornell in the email.
Related: Target makes controversial move to dodge high tariff costs
The CEO also emphasized that Target’s values of “inclusivity, connection, drive” are “not up for debate” and said that the company is “committed” to sharing how its values create an impact.
“The world around us is noisier and more complicated, but that doesn’t change who we are,” said Cornell.
Target CEO previously tackled a significant threat
Cornell’s email comes after he met with the Rev. Al Sharpton, president of the National Action Network, last month to discuss Target’s decision to pull back on DEI. Before the meeting, Sharpton threatened to organize a boycott of Target stores if the retailer didn’t express a commitment to the Black community and work with Black-owned companies.
In a statement on social media platform X on April 17, Sharpton claimed that his meeting with Cornell was “candid” and “constructive.”
“This morning, I had a very constructive and candid meeting with Brian Cornell that included NAN National Board Chair Dr. W. Franklyn Richardson and NAN Senior Advisor Carra Wallace,” said Sharpton. “I am going to inform our allies, including Rev. Dr. Jamal Bryant, of our discussion, what my feelings are, and we will go from there.”
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Despite Cornell’s recent attempt to dodge a boycott organized by Sharpton, Target is already set to face another major boycott this summer.
The People’s Union USA, which has conducted boycotts of Walmart, Amazon, General Mills, etc., has organized a Target boycott, which will start on June 3 and end on June 9.
According to the group’s website, it targets large corporations that have allegedly “driven up prices, underpaid their workers, and outsourced jobs while raking in record profits.”
“Our mission is simple, unite everyday Americans against the greed and corruption that’s kept us divided, distracted, and struggling for decades,” said The People’s Union USA on its website.
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