Target blames Apple for its own decline in sales

Target blames Apple for its own decline in sales


Target says its Apple sales fell 20 percent over the past quarter.
Photo: Target

Declining sales of Apple products is one of the factors Target has blamed for its disappointing second-quarter earnings.

During a conference call today, Target CEO Brian Cornell noted that Apple products fell 20 percent in sales at his company’s stores, resulting in a double-digit percentage sales decline in the retailer’s electronics division.

Cornell added that Target is reportedly working with Apple to improve performance, although there was no elaboration on exactly what was meant by this. Conceivably it could mean pushing Apple for exclusive products, which could help drive sales.

The fall in Apple business isn’t the only factor that was pointed out during the conference call (sales of grocery items and Target’s new CVS pharmacies inside stores were also discussed), but it’s interesting to hear — particularly since Target has been so bullish about Apple’s products in the past.

Early in the Apple Watch’s life cycle, for instance, many people fretted about demand for the item — only for Target to strongly come out in favor of it as “one of the season’s hottest gift items.”

Apple has also provided Target with some impressive sales figures around Black Friday in the past. According to one report, the retail giant sold one iPad every second on Thanksgiving Day.

When was the last time you bought an Apple product from Target? Leave your comments below.

Source: TheStreet