Target Cuts Prices on Nearly 2,000 Items Ahead of the Holidays: How to Shop the Fall Sales Smart

Lower prices on clothes and home goods are welcome, but the best deal is still the one that fits your budget.

Target announced on Tuesday, September 29, that it is lowering prices on nearly 2,000 items. The cuts cover apparel for women, men, infants and toddlers, along with shoes and home products. According to Yahoo Finance, Target said select apparel items are now priced 20% or more below last year's levels.

Target's announcement listed some examples. A women's long-sleeve tee dropped to $12 from $15, and a Threshold queen comforter dropped to $69 from $89.

A Target spokesperson described the cuts as "long term reductions," according to Inc. The company said the new cuts add to more than 10,000 price reductions it has made over the past year. Inc. also reported that the cuts do not apply to stores in Hawaii and Alaska.

Why stores are cutting prices now

Big retailers are competing hard for shoppers heading into the holiday season. Target's announcement comes just before several major sales events:

• Amazon Prime Big Deal Days: October 6 and 7, according to Amazon
• Target Circle Deal Days: October 6 and 7, according to Yahoo Finance
• Walmart's fall deals event: October 5 through 11, according to TODAY

Shoppers are also feeling stretched. On the same day as Target's announcement, The Conference Board said its Consumer Confidence Index fell to 81.9 in September, the lowest level since 2014.

Inc. noted that Walmart and Aldi have also announced price cuts in recent months. Wharton marketing professor Z. John Zhang told Inc. that "affordability is really a big issue" for shoppers and that "competition has to be the main mechanism" keeping prices in check.

The tariff refund question

Earlier this year, the Supreme Court struck down many of the tariffs, or taxes on imported goods, that President Trump had put in place. According to Inc., Target reported receiving $994 million in tariff refunds, and Walmart received nearly $2.9 billion. Target has not said whether those refunds are helping pay for the new price cuts.

What this means for your wallet

Price cuts can help, especially on things you already planned to buy, like kids' clothes that no longer fit or basics for your home. But sales events are also designed to get you to spend more than you planned. A few simple habits may help you save for real:

• Make a list before you shop. Write down what you actually need and a rough budget for each item. Stick to the list when the "deal" banners appear.
• Compare across stores. With Target, Amazon and Walmart all running sales around the same time, a quick price check on the same item could save you money.
• Know the regular price. A discount is only a deal if the price is truly lower than usual. Saving screenshots of prices now can help you compare later.
• Watch out for impulse buys. Try waiting 24 hours before buying anything that was not on your list.
• Think about holiday gifts early. If you already know what you want to give, buying during a sale could spread out holiday costs instead of piling them into December.
• Use credit carefully. If you use a credit card, paying the full balance by the due date may help you avoid interest that could wipe out your savings.