Retail analytics firm Placer.ai has released a new report on the top performing retail chains of the first quarter of 2022. Two chains with a large selection of own brands, Target and Costco, were the two big winners so far this year.
Target, Store Brands’ 2021 Retailer of the Year, saw visits up by double-digits in January and February (10.7% and 10.5% respectively) and up nearly 7.0% in March compared to the equivalent months in 2019. Placer.ai credits Target’s innovation, new partnerships and strengthened customer relationships.
“While much of this growth centers around the retailer’s evolution since 2019, looking at Target’s performance compared to the wider superstore category only reinforces the exalted position Target now holds in retail,” wrote Ethan Chernofsky, VP of marketing at Placer.ai. “Throughout Q1, Target visits consistently outpaced the category and even showed March growth while the wider segment saw visits dip into decline as a result of the significant impact rising gas prices had on visits early in the month. Year over year visits also showcase the retailer’s strength, with foot traffic to Target up 4.7% and 11.6% in January and February respectively and down just 1.7% in March.”
Costco is another big winner so far in 2022, with traffic beating out grocery chains and superstores overall, especially in January and February, seeing 6.4% and 6.7% traffic growth compared to 2019 respectively. Costco also ended 2021 on a high note, seeing increased traffic across the board.
“Costco saw significant growth compared both to its own standard and to the standard set by the wider sectors it operates within,” added Chernofsky. “The likeliest explanation here is that visits per visitor did decline, but Costco is still benefiting from the long-term boost driven by new members joining up throughout the pandemic. The takeaway is that while Costco’s current results have already been impressive, we may only be seeing the beginning of an extended wave of success.”
Dollar General, along with pet stores across the board, also saw increased traffic in Q1 of 2022. The full report can be found here.