EXCLUSIVE: Behind Target’s Wellness Push
To find out what inspired Target to prioritize its wellness offering by introducing more than 2,000 new items, Progressive Grocer connected with John Conlin, SVP of merchandising, food and beverage at the Minneapolis-based big-box retailer.
Progressive Grocer: Why did Target decide to “double down” on its wellness proposition?
John Conlin: Over the last few years since the pandemic, we know our consumers are looking at wellness in a new way – as a necessity versus a luxury. We’re seeing an increasing demand from them to shop for wellness-related items, with over half of Target shoppers making purchases in self-care categories. We are seeing this trend within food and beverage specifically, too: wellness items for food and beverage have outpaced that of the total Target food and beverage business. Additionally, our nonalcoholic business has grown fivefold since 2020 as consumers continue to shop for nonalcoholic beverages.
PG: What was the process like of developing new private-brand products for this strategy?
JC: Our only-at-Target owned brands are a key differentiator, offering consumers incredible value with an element of exclusivity, giving them more reasons to choose Target. As we developed our expanded wellness assortment, we leaned into the strength of our $30 billion portfolio of owned brands, including our $4 billion food and beverage brand Good & Gather and $1 billion activewear brand All in Motion.
At Target, innovation is a part of our DNA. To bring our owned food and beverage brands to life, our expert team of trend analysts, food scientists, product designers and sourcing managers continue to evolve the owned brand food and beverage assortment and ensure we’re producing world-class food brands and products that exceed expectations for taste, quality, innovation and value.
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PG: How does Target cultivate its exclusive partnerships with brands and celebrities, and how did it bring wellness into the mix?
JC: Partnerships play a big role in creating the “Tar-zhay” magic. The key to our successful wellness strategy is rooted in exclusive partnerships, a curated, trend-driven assortment and a best-in-class shopping experience. Each of our partners brings something unique to Target and allows us to meet consumer needs in new and differentiated ways.
In doubling the number of new items in our wellness assortment with 2,000 items across categories, we’re excited to offer more than 600 exclusive-to-Target items and over half of the items under $10. Our assortment includes exclusive brands our shoppers love, like Ashley Tisdale’s Being Frenshe hair care and Blake Lively’s Blake Brown, as well as new, exclusive activewear and sporting good accessories from Blogilates, founded by Cassey Ho.
Within food and beverage, I’m most excited about our expanding functional and nonalcoholic beverage assortment, including our newly launched premium nonalcoholic beer BERO by Tom Holland. We are also offering more high-quality functional beverages that contain ingredients to provide health benefits beyond basic hydration, including exclusive-to-Target brands and items like Alex Cooper’s Unwell Hydration and Poppi prebiotic soda. Plus, we just launched an exclusive, limited-edition collection with Poppi to offer an on-trend, affordable assortment of loungewear and accessories – all under $30 and perfectly coordinated with the new, limited-time flavor: cream soda.
We’re also continuing to see shoppers look for protein products they can enjoy on the go, which is why we are bringing high-quality solutions like Good & Gather protein packs, new and exclusive Pioneer Pastures protein shakes and milk, and an expanded assortment of Chomps.
PG: What can we expect from Target in the wellness space going forward?
JC: We expect wellness to be a continued priority for our shoppers, and we’re excited about the newness we have coming in functional beverages, wellness tech, hair health, self-care and more to deliver upon their needs. I’m especially looking forward to the expansion of our flagship, No. 1-selling food and beverage owned brand, Good & Gather, the first Target owned brand to hit $4 billion. In 2025, we will introduce more than 250 new products, providing more ways for families to shop food without artificial flavors or sweeteners, synthetic colors, or high-fructose corn syrup, and at great prices.
