Dive Brief:
- Target is relaunching its Up&Up private label of home essentials. The retailer on Monday announced it’s adding hundreds of new products to the assortment and said it’s reformulated 40% of the brand to higher quality standards in response to consumer feedback.
- Along with the expanded selection, Target has updated packaging to improve visibility and sustainability. In partnership with occupational therapists, some packaging has been updated to improve comfort and ease of use, the company said.
- The new and revamped products roll out to Target stores and online this month. The refreshed brand will ultimately offer over 2,000 items, with most priced under $15. Target plans to continue introducing new Up&Up items through early next year.
Dive Insight:
Up&Up launched in 2009 and has grown into a popular brand, generating nearly $3 billion in sales annually, according to Rick Gomez, Target's chief food, essentials and beauty officer.
“With this expansion, we’re giving even more guests reasons to choose Target for their household essentials,” Gomez said in an announcement.
The additions to Up&Up’s offering will include oral care, moving supplies, food storage and dog grooming supplies. Some specific changes and additions include a new shape and feel for manual toothbrushes and interchangeable heads for powered toothbrushes that also fit with Sonicare products. Food storage containers now feature thicker walls for more durability. And many of the brand’s baby, cleaning, bath and pet products feature new scent profiles.
Updated items like cotton balls, pet grooming, oral care and baby products are set to roll out this month. Over-the-counter pain relief, protein powder, napkins, batteries, computer accessories and other new and updated products will be added throughout this year and into early next year.
Target says its nearly 50 owned brands generate $30 billion in annual sales. Target has been able to make billion-dollar brands by successfully shifting consumers' mindset on private labels. The retailer is currently getting it right with its offering of both owned and popular brands, analysts with Telsey Advisory Group, led by Joe Feldman, said in a note last month that summarized analysts’ in-person visits to several retailers.
During a visit to a Target in West Nyack, New York, in late January, Telsey’s analysts said they were impressed by the retailer’s prominent store-within-a-store concepts for apparel and home decor private brands, like Cat & Jack, Hearth & Hand and Universal Thread. In addition, Feldman said Target continues to elevate the customer experience and its product offering through partnerships with Apple, Disney, Levi’s and Ulta Beauty.
“We believe Target should continue to gain market share over time, given its value-offering and company-specific initiatives — private brands, store remodels, small format stores, fulfillment/supply chain enhancements, rollout of fresh/returns via BOPIS/drive up, loyalty programs, and Target+ marketplace,” Feldman said.
