Target is trying to regain its footing after several difficult years by sharpening its product lineup, refreshing stores and investing heavily in its operations, CNN reports.

New CEO Michael Fiddelke, who took over the top job last month, said the retailer plans to focus on improving merchandise and bringing new brands into stores to reconnect with customers and return the company to growth.

The company hopes to revive the formula that once made Target stand out from competitors — offering stylish yet affordable clothing, home goods and other products that helped give the retailer its long-standing reputation as “Tar-jay.”

Unlike rivals such as Walmart, which is known for low prices, or Amazon, which dominates online convenience, Target aims to draw shoppers into stores by offering a sense of discovery.

The company wants stores to feel like a place where customers can browse and find something new.

“Target is not an everything store,” Fiddelke said, adding that the retailer plans to focus especially on serving busy families, its core customer group.

To support the turnaround effort, Target plans to increase capital spending by about 25% this year to roughly $5 billion to improve store operations, upgrade technology, and diversify products.

Executives said the retailer will expand offerings in key categories including food, beauty, apparel and home goods — areas that both generate strong sales and help distinguish Target from competitors.

The company also plans to introduce goods from emerging brands through new partnerships with specialty vendors.

In the beauty aisle, for example, Target plans to carry the popular Supergoop sunscreen brand for the first time. The retailer also intends to broaden selections of sports equipment and games aimed at children.

Retail analysts say product improvements alone won’t be enough. Target will also need to address operational issues inside stores.

Some shoppers have complained about messy shelves, items being out of stock, and long checkout lines — problems analysts say stem in part from understaffing.

“They’re trying to do basic things like stay on trend,” said Spencer Hanus, an analyst at Wolfe Research. “It’s not complicated, but executing it across roughly 2,000 stores is a challenge.”

Fiddelke takes over at a time when Target’s sales have been largely flat in recent years, and its stock has fallen nearly 30% since 2023.

The retailer has faced intense competition from Walmart and Amazon, while also navigating internal strategy shifts — including embracing diversity, equity, inclusion and catering to the LGBTQ+ community — which have drawn criticism from different sides of the political spectrum.

Target also reported a disappointing holiday season, with same-store sales falling 2.5% in its latest quarter.

Still, company leaders say there are signs of improvement. Target said sales increased in February and expects overall revenue to grow by around 2% this year.

Some investors had hoped the board might bring in an outsider to lead the turnaround. Instead, Target chose a longtime company executive.

Fiddelke began his career at Target as an intern in 2003 and has spent more than two decades rising through the ranks.

Bill George, a former Target board member and a fellow at Harvard Business School, said Fiddelke’s long history with the retailer could be an advantage.

“He knows the company inside and out,” George said. “He understands where the problems are and what needs to change. I think he’s the right person to help rebuild Target for the long term.”