Target will launch a private label collection of everyday essentials called Smartly, with most items costing less than $2. The assortment will arrive in stores on Oct. 14 and includes items such as hand soap, paper plates, household cleaners and razors.
The retailer is creating new brands as one of three avenues for dealing with competition from Amazon and Walmart, according to Target CEO Brian Cornell. The other two are opening and remodeling new stores, and leveraging Drive Up delivery and Shipt same-day delivery services.
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Target has launched more than 20 private label and exclusive brands over the last few years, including three Millennial-focused collections in August:
- Heyday: the company’s first private label electronics brand;
- Wild Fable: a young women’s apparel, accessories and shoes brand; and
- Original Use: a young men’s clothing and accessories brand.
Several other retailers have been introducing private label offerings as competition grows. Kohl’s plans to introduce the EVRI private label plus-size women’s apparel brand in Spring 2019, while this fall Kroger is adding a clothing line called Dip at more than 300 Fred Meyer and Kroger Marketplace stores.
More private label lines are popping up in e-Commerce as well. Amazon applied for a series of trademarks that suggests the company may be introducing eight additional clothing lines. Additionally, 50% of Amazon marketplace sellers offer private label products, and 17% sell private label only.
Smaller e-Commerce players are expanding their private brands as well: KIDBOX recently launched three curated apparel lines, and earlier in 2018, Boxed announced it would expand its Prince & Spring line to include items such as laundry detergent, almond butter and bottled water.
