Target Reaches $1 Billion Milestone In Just One Year
Target has become one of the most dominant forces in retail in the U.S. over the last decade. The company has created a cult following of customers who can easily wonder stores for hours buying almost anything they need.
A large part of Target's recent success can be attributed to in-house brands that the company has launched. Target announced earlier this week that its activewear brand All in Motion surpassed $1 billion in sales in its first year.
Target launched All in Motion just before the pandemic hit last year and has seen sales boom as people have traded work attire for comfortable clothing. Target says sales for the brand exceeded industry growth and drove market share gains for the retailer.
By hitting $1 billion in sales, All in Motion becomes Targets tenth brand to reach the milestone. Target attributes its in-house brands' success to its guests. Target says its in-house design team used intel from thousands of guests from the beginning to get the product right. It found customers' most popular request was for sizing options such as 4X for women and 3X for men.
"Our owned brands are truly a differentiator for Target, and in its first year, All in Motion stood out in the marketplace, providing guests incredible activewear and sporting goods for whatever their daily lives bring — at an only-at-Target value," said Jill Sando, executive vice president and chief merchandising officer, style and owned brands, Target. "We're proud that our brands are meeting guests' evolving needs and sparking moments of daily comfort and joy for the entire family when they need it most."
Target shared some fun facts for its first year of sales for the line such as selling 21 million pounds of hand weights and kettlebells—which is enough steel to build a second Eiffel Tower, and 7 million square feet of yoga mats—which is enough to cover 122 football fields.
Despite achieving so much success with the All in Motion line in just one year, Target isn't letting up. Target says its design team still reads every single customer review so it can improve the line and introduce new products.
With the All in Motion line having more than 700 products and generating $1 billion in sales in just one year—Target's tenth in-house brand to do so, the company has proved it can launch successful in-house brands in very short order.
Amazon cracks down on Ferragamo counterfeits. Amazon and Italian luxury brand Salvatore Ferragamo have filed lawsuits against four sellers and three businesses for allegedly using Amazon to sell counterfeit items featuring Ferragamo's branding and design elements. Both Amazon and Ferragamo confirmed that the items were counterfeits after they purchased items and found out that they showed trademarked Ferragamo branding. The suit says the listings were able to evade Amazon's anti-counterfeiting detection tools by removing "any mention of the Ferragamo word mark in the product descriptions."
Hormel Foods acquires Planters. Hormel Foods announced it has agreed to acquire the Planters snack nut portfolio from the Kraft Heinz Company in a $3.35 billion cash transaction that will be reduced to an effective purchase price of $2.79 billion due to tax benefits. "Planters is an iconic leading snack brand with universal consumer awareness," Hormel Foods Chairman, President and CEO Jim Snee said. "The acquisition of the Planters business adds another $1 billion brand to our portfolio and significantly expands our presence in the growing snacking space." The Planters snack nut portfolio saw net sales of approximately $1 billion in calendar year 2020.
IKEA eyes consumer banking. IKEA owner Ingka Group announced it has acquired a 49% stake in financial services partner Ikano Bank as it looks to expand its financial services offerings. Ikano Bank was spun off from IKEA in 1988 and provides financial services to IKEA shoppers in eight markets. Terms of the deal were not disclosed but IKEA has the option to acquire the remaining shares at a later date. "This is a decisive step into financial services, a core part of Ingka Group's journey to help make IKEA more affordable, accessible and sustainable," IKEA said in a statement.
AMMO acquires GunBroker.com. AMMO announced it has agreed to acquire IA Tech LLC's GunBroker.com business, which is the largest on-line auction marketplace dedicated to firearms, hunting, shooting and related products, for approximately $240 million. "I am excited at the prospect of bringing the GunBroker.com technology platform, marketplace, and my world-class team to the AMMO family of companies," GunBroker.com founder Steve Urvan said. "GunBroker.com has long been the technology leader in the industry and we look forward to continuing to build innovative products and solutions for our expanding and loyal customer base."
Uber may accept bitcoin as payment. Uber CEO Dara Khosrowshahi discussed the company's views on bitcoin yesterday on CNBC, saying the company "quickly dismissed" the idea of following Tesla and buying bitcoin with the company's cash. "It's a conversation that's happened that has been quickly dismissed," Khosrowshahi said. "We're going to keep our cash safe. We're not in the speculation business." Khosrowshahi added Uber may consider accepting bitcoin as payment, though, saying "Just like we accept all kinds of local currency, we are going to look at cryptocurrency and/or bitcoin in terms of currency to transact."