Part 5/8:
Target's latest earnings report confirmed that, while there was an increase in sales during key shopping events such as Black Friday and Cyber Monday, the retailer is simultaneously grappling with a decline in discretionary spending. The company has been unable to reignite sales for non-essential items, suggesting an erosion of consumer confidence and purchasing power.
Notably, Target’s sales figures don’t tell the whole story when adjusted for inflation. With increasing percentages of disposable income being consumed by rising costs, consumers are likely to tighten their budgets, particularly when discretionary spending is concerned.