Target Launches Four-Priority Turnaround Plan After 2.5% Q4 Sales Drop
Target’s Q4 comparable sales fell 2.5% year over year, contributing to a 1.7% decline in full-year 2025 net sales to $104.8 billion. New CEO Michael Fiddelke has launched a four-pronged transformation plan focusing on merchandising authority, guest experience, technology acceleration and team/community investment to win back customers.
1. Challenging 2025 Financial Results
Target’s comparable store sales declined 2.5% year over year in Q4, contributing to a 1.7% drop in full-year 2025 net sales to $104.8 billion and a 2.6% decline in comparable sales for the year.
2. Leadership Overhaul
Michael Fiddelke assumed the CEO role in early 2026 after two decades at Target, charged with reversing slumping sales and addressing controversies over past DEI rollbacks and customer boycotts.
3. Four-Priority Turnaround Strategy
Fiddelke has outlined a four-pronged plan: curate merchandise with conviction, streamline in-store and digital guest experiences, accelerate technology for personalization and efficiency, and invest in workforce skills and community engagement to rebuild brand trust.