As backlash against Target for caving on its DEI program in late January continues, including a 40-day boycott organized by Black faith leaders that began March 5, the company saw foot traffic fall for the fifth consecutive week, according to Placer.ai data.

Foot traffic was down 4.7% YoY at Target for the week that began February 24, a week when foot traffic was down less than 1% at Walmart, Starbucks, and McDonald’s; and was up 1% at Best Buy. At Costco, which defied calls to end its DEI program—and where many commenters on Target’s social media feeds have said they’re shopping instead of Target because of its DEI backsliding—foot traffic rose 6.7% YoY for the week of February 24, and had been up for the previous four weeks as well.

Retail Brew asked Target to comment on the traffic data, and whether it believed the DEI backlash has had an impact. Target did not respond to our questions directly, referring us instead to a press release about its Q4 earnings that makes no mention of DEI. The press release did claim that both online and foot traffic were up 1.4% for Q4, but the quarter ended on February 3, mostly outside of the scope of the full month of February and early March we’d asked about.

We’ll say it again, not just because it’s alliterative but because it’s true: Correlation is not causation.

Still, we’re not seeing numbers that suggest Target is exactly benefiting from its DEI capitulation, either.

Keep reading here.—AAN

Iconic Italian luxury retailer Roberto Cavalli is set to make a mark with a sprawling new location in Los Angeles. Located at the Beverly Center on the border of West Hollywood, the new boutique is already open for business where shoppers can explore both women’s and men’s collections alongside accessories, fragrances, and home offerings.

Taking up a chunk of its seventh floor, the brand hopes to give customers an immersive experience with bright displays, geometric patterns, and a standout leopard-print wallpaper in true Cavalli fashion. Tiger-print rugs from the retailer’s home collection will further add to the store’s eclectic display.

The retailer will likely be in good company with other international luxury brands such as Burberry, Louis Vuitton, Kenzo, and Salvatore Ferragamo, which are also situated at the mall. For Cavalli, this marks another step into its North American expansion plans after opening up shop in Miami in 2022, and Las Vegas in 2023. Los Angeles seemingly was the next natural step, according to Sergio Azzolari, CEO of Roberto Cavalli.

“Los Angeles is a key market for luxury fashion, blending global influence with a strong presence of high-net-worth individuals, tastemakers, and celebrities and we believe this store can be our hub in the US,” he told Retail Brew via email.

Keep reading here.—JS

Costco’s new employee agreement took effect this week, increasing its minimum wage to $20 per hour and its average wage to more than $31 an hour in the US and Canada.

CEO Ron Vachris told investors the agreement “reflects our continued commitment to provide industry-leading pay and benefits for our employees.”

But the company also acknowledged that its labor investments will come at a cost. Costco estimates the new agreement will create a headwind in the mid-single digits to selling, general, and administrative expenses (SG&A), per CFO Gary Millerchip.

Keep reading here.—AV

Success in retail starts with a seamless customer journey. But how can brands integrate content, retail media, and commerce to make that happen? Join Retail Brew and Bazaarvoice on March 20 as we unpack the power of omnichannel integration—and how you can apply it to your strategy. Register now.