Target Foot Traffic Continues to Decline Following the DEI Program’s End

Foot traffic declines for the eighth consecutive week as Target withdraws its diversity initiatives, while Costco, which maintained its DEI program, has consistent growth.

After abandoning its diversity, equality, and inclusion (DEI) initiative, Target is feeling the pressure, and customers may be reacting by leaving.

According to recent statistics from Placer.ai, foot traffic at Target shops has decreased for the ninth consecutive week. Compared to the same period last year, visitation decreased by 5.7% during the week beginning March 17. The average fall over the last two months is now 6.2%, after a 7.1% dip the previous week.

The decline started soon after the business terminated its DEI program in late January, a decision that was criticized, particularly in light of Target’s multi-billion dollar pledge and prior outspoken support of racial and social justice initiatives.

Executives had anticipated a boost from Easter shopping. The business said during an earnings call on March 4 that it was certain its seasonal product lineup will help turn things around. However, according to Retail Brew, the anticipated Easter surge isn’t yet evident in the data.

A boycott led by a group of Black clergy members urging consumers to abstain from Target during Lent in protest of the DEI reversal could be a major factor. The initial target of 100,000 persons has been greatly exceeded by the more than 150,000 who have joined the initiative. Easter Sunday is the last day of the boycott.

Target hasn’t made any public remarks regarding the decline in in-store visits, but the difference with rivals is noticeable. Foot traffic at Costco, which upheld its DEI pledges in spite of criticism from the Trump administration, is still increasing. Costco’s winning streak now stands at 13 weeks after visits increased 5.2% year over year for the same week beginning March 17.

Although Target isn’t the only business to resign from DEI in response to political pressure, it might be receiving more criticism than most because of its obvious history of encouraging inclusivity. When combined with declining foot traffic and sales, the boycott shows that consumers are paying attention and reacting.