Target to lower prices on about 5,000 basic goods as inflation sends customers scrounging for deals

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Target plans on cutting prices on thousands of consumer basics this summer, goods ranging from diapers to milk, with more Americans paying closer attention to their spending as inflation cuts into household budgets

Target Price Cuts

Target plans to cut prices on thousands of consumer basics this summer, from diapers to milk, as inflation cuts into household budgets and more Americans pay closer attention to their spending.

The price cuts on as many as 5,000 food, beverage and household essential items announced Monday is a bid by Target to cater to customers who increasingly have deployed a mix of strategies to find relief at the register, including trading down to private label products, forgoing impulse buys, using coupons and waiting for deals.

Last week McDonald's said that it was planning to introduce a $5 meal deal in the U.S. next month to counter slowing sales and customers’ frustration with high prices. Walmart posted strong quarterly sales last week, driven by a influx of customers looking for bargains.

Target is cognizant of the pullback by shoppers due to inflation and because of the increased cost of using credit cards. The company in March reported its first annual decline in sales — 1.7% — in seven years.

Target Corp. said Monday that the lower prices will roll out over the summer on national brands and its own house brands.

“These reductions are in addition to our everyday low prices, which we routinely adjust to be competitive in the market and make sure you enjoy great value every day,” the company said in a prepared statement.

Target said customers will be able to score reduced prices on food items like milk, bread, fruits and vegetables. They'll also see price reductions on goods such as diapers and pet food.

Target may discuss its pricing strategy in more detail Wednesday when it reports its quarterly earnings results.

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