The criticized costume, featuring a Black child in promotional images, drew parallels to Jim Crow-era minstrel shows. These performances helped reinforce harmful stereotypes and were used to justify racial discrimination and violence.
Target Statement: As a company, we recognize our error and express our deepest apologies. The costume was offensive and should not have been included in our offerings. We have removed it from sale, acknowledging the hurt it caused our Black guests, team members, and partners. We are examining the situation closely to prevent such incidents in the future.
Target’s decision comes as the retailer’s sales showed signs of recovery, rebounding from previous moves that alienated customers and contributed to perceptions of declining quality. This latest controversy follows actions by companies like Meta, Walmart, and McDonald’s who scaled back diversity efforts post-2024 election.
The costume, described as a ‘Kids’ Glows Under Blacklight Circus Clown Halloween costume’, was an orange-and-black clown outfit with gloves, a top hat, and a mask. The costume listing has since been removed from Target’s website.
Not Simply a Mistake:
Rev. Jamal Bryant, a Georgia pastor, commented on the issue, emphasizing that such costumes are deeply rooted in racist symbolism. Bryant, who led a boycott against Target last year, criticized the lack of diversity in corporate decision-making. He stressed the need for internal reforms within the company.
In early 2025, Target halted its diversity, equity, and inclusion program after three years. This included discontinuing reports to external bodies such as the Human Rights Campaign, ending efforts to carry products from Black or minority-owned businesses, and introducing a ‘Belonging’ strategy. Target had previously credited the murder of George Floyd as an impetus for its DEI initiatives.
Activists subsequently organized a national boycott, causing Target to lose approximately $12.4 billion in market value by the end of February. A separate boycott by Minnesota civil rights advocates led to a significant drop in stock prices and further loss in market value.
Target’s Financial Recovery:
Recently, Target has shown signs of financial recovery. The stock reached a 52-week high, closing at $165.44 on August 21 and at $169.89 on August 24. This represents a 63% increase in stock value this year, recovering from the boycott-induced downturn.
Michael Fiddelke, who assumed CEO duties after Brian Cornell’s departure, spearheaded Target’s turnaround strategy. It includes store updates, increased staffing, and competitive pricing. Target plans a $2 billion investment in 2026, including opening more than 30 stores this year, with ambitions for 300 new stores by 2035. Additionally, over 130 full-store remodels are planned.
Retail analyst Bruce Winder commented on inventory mistakes, pointing out that such errors occur in the retail industry. Winder praised Target’s prompt response in acknowledging and rectifying its mistake.
Continued Boycott Efforts:
Target boycott organizers, including Nekima Levy Armstrong and community leaders Monique Cullars-Doty and Jaylani Hussein, continue their calls for divestment. They urge Target to reinstate DEI programs and commitments to Black communities. According to Armstrong, Target’s PR maneuvers are overshadowing an ongoing boycott. She argues that Target’s decision to scale back inclusion efforts exists in stark contrast to its previous commitments.
Hussein remarked on the pattern of behavior he observed from Target, suggesting the costume incident was anticipated. He believes the controversy will heighten boycott momentum, encouraging shoppers to reassess where they spend their money.
On August 25, Target’s stock closed at $163.47, reflecting a 3.78% decline from the previous day.