Target pivots to AI-driven retail as Q2 profits climb

Under CEO Michael Fiddelke, the company is moving aggressively to resolve long-standing supply chain inefficiencies that previously frustrated shoppers. Prat Vemana, Target’s EVP and Chief Information Officer, noted that digital traffic derived from AI-supported platforms has grown by over 3.5 times compared to the previous year. The retailer is now deploying digital twin technology to better anticipate market disruptions and improve reliability across its distribution network.

To cement this transition, Target has appointed Chandhu Nair as its first Chief AI Officer. Nair, who joins from Lowe’s, plans to move beyond theoretical models to focus on frontline applications. He emphasizes that the true value of AI lies in its ability to simplify work for staff and enhance the physical shopping experience. As the company integrates these tools, it remains focused on scaling technology that empowers employees while maintaining a human-centric approach to its retail footprint.