Parents are using Target’s unusually generous return policy to exchange outgrown or worn Cat & Jack kids’ clothes for cash

By | March 29, 2024

Target launched the Cat & Jack line in 2016 and quickly reached $2 billion in annual sales. That currently translates into sales of over $3 billion a year.Dominick Reuters / Insider

  • Target is offering a one-year return on own-brand items, including Cat & Jack children’s clothing.

  • Some parents use this policy to get refunds or new clothes when their children are older.

  • While some retailers are limiting returns, Target is trying to make the process easier.

Children can grow quickly, and the cost of keeping them well-dressed can add up quickly.

Some parents have taken advantage of Target’s apparent version of the infinite money problem to save money.

“Attention all moms,” Target shopper and TikTok user Jazmine Valdivia said in a video posted on TikTok in 2022. “If you buy Cat & Jack for your kids, there’s a one-year warranty that Cat & Jack offers. If your child outgrows the dress, whether it’s stained, torn, whatever, they’ll give you your money back.”

In the video, which has garnered 1.2 million views, almost 85,000 likes and 26,000 shares, Valdivia shows receipts totaling $537.80 from the return of a large bag of clothes used by her three children.

Screenshot of a TikTok video about Cat & Jack's comebackScreenshot of a TikTok video about Cat & Jack's comeback

tiktok

“I haven’t spent a single dollar on back-to-school clothes,” she added in a recap.

Valdivia declined an interview request.

Other TikTok users have uploaded similar (albeit smaller) refund journeys in which they tested the company’s policy for themselves.

“#16293836286 reason why we love Target!” User JMS_Steph captioned a video showing return receipts for $164.21.

Screenshot of the Cat & Jack page on Target.comScreenshot of the Cat & Jack page on Target.com

Aim

Target’s return policy for Cat & Jack products remains the same as for its more than 45 private-label brands, although some videos and reviews suggest the company strictly enforces this practice. Workers told Business Insider they are continuing to process returns of large quantities of used children’s clothing.

The employees asked to remain anonymous because they were not authorized to speak to the media.

A hugely popular brand with an unusually generous policy

Target says its Cat & Jack label is the largest children’s clothing brand in the United States.

“We sell 300 million units of Cat & Jack a year, which translates to approximately eight Cat & Jack products for every child under 12 in America,” Jill Sando, Target’s clothing sales manager, said at the company’s launch event. Annual meeting in March.

Like all of Target’s private-label products, the brand is backed by an unusually generous annual return policy.

“If you are unhappy with any Target Owned Brand product, return it within one year with the receipt for an exchange or refund,” the policy states.

A Target spokeswoman said the return policy reflects the company’s confidence in the value of its private-label offerings.

Chief Growth Officer Christina Hennington highlighted the brand on last year’s earnings call, emphasizing its policy of “a year of free returns if anything doesn’t meet our guests’ expectations.”

Some returns are unwashed or in ‘terrible condition’.

A worker in Illinois said the largest bill he processed was about $300. “It’s definitely used and in terrible shape.”

He added that most of the clothes were returned unwashed and these items were thrown straight into the trash.

One worker in California said he saw the trend pick up this year as parents returned for another year, and his friends decided to try it for the first time.

The largest receipt he processed was approximately $417; This was higher than normal because there were so many shoes in it. He said it wasn’t the monetary value that bothered him; It was a slow process where product codes were entered manually on the computer. Despite working quickly, the turnaround took approximately 20 minutes to complete.

Returns without proof of purchase are limited to $100 per customer per year, but items purchased with a receipt or with a Target Circle membership are basically unlimited.

Some shoppers say on social media that in response to the TikTok trend, they’re starting to take a slightly tougher stance, including more specific documentation of purchases. Others focus more on the “satisfaction” aspect of the warranty; Heavy usage indicates that the customer is satisfied with the product.

Receipts showing Cat & Jack's value return at TargetReceipts showing Cat & Jack's value return at Target

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Still, the California worker said many people were disappointed by the value of the returns, which was lower than expected due to various discounts at the time of purchase.

Either way, the total value of Cat & Jack’s returns is almost certainly a small percentage of the total revenue the brand generates, with the brand currently generating more than $3 billion a year in revenue for Target.

Also, what do many customers do immediately after returning a batch of Cat & Jack? Buy more Cat & Jack.

If you are a Target employee who would like to share your perspective, please Contact Dominick via email or call/text/Signal at 646.768.4750. Responses will be kept confidential and Insider strongly recommends that you use your personal email address and a non-work device when contacting.

Read the original article on Business Insider

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