Thanks Brian.
our can topline on further This an of evidence over quarter second you the work investments realizing has team. that and our quarter This we our created assets, the we have several as bottomline, made the both payback our and saw results. capabilities on model are on last growth generate the to operational years transform provided the
moving our model second is where digital services, where it's impact to easy the the and place new is same-day pickup, In One fulfillment drive-up the see of services Shipt. our other than mix faster much words dramatically our of towards in our from about quarter, more for year. up these last sales. are our digital accounted XX% a growing sales, options digital three than In third in-store same-day
doubled than the second accounting for more Specifically, and last digital of in combined over comp pickup, for XX% sales have quarters in-store drive-up Shipt Target's nearly three year, the quarter.
they That services. means by the nearly driven same-day and growth remarkable of and rapidly how about new overall X.X These convenient our are are points company's guests these options. embracing statistics percentage demonstrate learning that comp was our
they fast. or guests, the are are convenient. the Guests they the becoming at on digital same shop the shopping day. the allow are They choose can store, their either at to receive for their choice where order, their go-to front They guests For they are order advantages. immediate. unique home. of many lot They because parking and in receive offer They
to Our is less in minutes standard guest average is and their comfortably standard. our for than order two than better receive the drive-up
of package have don't every with happen will of Guest week. opening at need to what certainty. deal to package wonder are the provide eliminates services arrive and if not a they at cardboard the and recycling when will course their And home. these it to finally, boxes stack house a And
these With scores the these our of to offerings net wonder again tried advantages, want of it's services them. anything and offer, no they highest guest which have after use receive again promoter some we same-day that the means
they better in if to the our ways. So the what's teams make guest-first a simply services assets same-day existing of across apply leverage you country. you even these new sense that for our store develop because our value quickly business and store But options see also our and investments mentality, out roll
As a are also digital result, our the most same-day profitable our offering. options within
efficiency the Over of the including few from store made we capabilities. our last years, to increase store our and fulfillment ship a all have both concerted same-day of options effort
processes store of by period. are we see beginning the picking more more drive-up efficiency and compounded than for improvements which similarly, natural massive also And since higher technology. scale through incorporating volume, XX% improved improved These realized over labor that and by our capability has increased result, order for XX%. a end-to-end from than efficiencies the which ship has same XXXX, As pickup efficiency are on we
orders efficiency, backroom to floor. creating experience, guest the on to picking goal tactics to the the optimizing and minimize balance larger for These and the picking speed path steps guest sales the include for based to batches
store into of order a During year. range than perform when store simply seasonal technology back-to-school time first, peaks, Applying and the batches applying new rather work to which packing algorithms are for orders new size subsections the further sequence this our system, segmented ambiguity box about due of for team first-in, first-out like picking optimal criteria of of to prioritize the a work to implementing on based eliminate is the members orders.
on fulfillment. both constantly unit real-time. efforts performance enhancing step And track returns. the throughout reporting to of we teams' their guest of But This day leaders have ability shopping data every focused provides store to on focused been efficiency and of the drivers of the journey, for and the course, in teams including understand updates been supporting store have pick pack. the These
We in-store The of have digital always orders. us. sometimes to ship offered returns prefer guest back returns their free to
To receive a and guest at we or return a of for credit worked with have shipping debit pickup refund our and This in refunds a their noticed. compared a the new they it return return received days our as home guests level guest the seamless, the that have after means improvement partners than to make return Under in home, as partners account expedite for off And order. prints process our the label party year. process for third process, soon schedule the survey seen before have the scans guest with shipping label. digital credit at either last of our drops earlier scores satisfaction a or meaningful that card are timeliness,
to sales for but support done lot store volume. shouldn't digital forget than which growth we total to clearly, continue So we XX% our a have about account more our of
many we believe shopping been will to of As for continue vast have years, to the be come. years saying majority account we important and for that sales in-store for retail
in provides. in However, heavily assets more inferior will consumers than we in That's a store go choices and world the our both are brick-and-mortar ever, away. experience why team where have investing experiences our
year, than Regarding are accomplished. three-year the more the plan we have remodel rapid a ever in to period a stores which themselves, store assets pace we in middle XXX we each about
have expectations optimize lift entire first transform line them As we didn't fulfillment. And our the in continue Brian to second mentioned, we these remodels covered store for quarters, past in year digital experience anticipate. we as lifts year original and and that see traffic sales originally and with
As refine year's ways been, continue year. analyze the into plans, remodels as last and completed continually next process. we our our so look the same successful project program to look remodel completed to those apply of We has our remodels the we for won't ones as learnings results
which year. average a upgraded of is sales are disruption guests also team store, are change We in process, we them. when the mitigate last face is way also our And to of serves are new the enjoying leading while experienced feel guest ways than finding look they and our the to in construction their challenges experiencing smaller
tasks. That's because operating for years, have rather and new our simpler store guests few rolling focused completely than over last been out is the team. model we accomplishing our on new This a model
like more specialized apparel. bring beauty, created team to also and have which We their food, roles members expertise categories in electronics
results. happy model the The implemented be we and with the continue country first second across had quarter the was time we new the to fully
interactions the For sales survey on and floor questions example, both checkout. scores with are team, improved guest our their the on we seeing about
operating benefit are everyone experience, the of are financial Like our we in experiencing a model else, performance. Beyond market. seeing also inflation the in currently wage labor we meaningful very guest the tight
new because of wages. stores, our operating are is ongoing investments this improvements we in the seeing higher our in to However, our impact strong of team efficiency model, helping which and mitigate
over our to call term the vision for turn talk I I to want chain. Before the supply Mark, longer about
as on billion the our about to small. this digital digital feasible digital about if $X cover our based is term what's time for and accommodate of over be hubs. to I wonder of sales want store are to strategy to you, is sales I if much about strategy expect to reaction three we want prospects growth. ask the address well the One using stores questions we Specifically, of from volumes to to stick hear questions I sales Target's fulfillment many But of is our talk to will still important appropriate My to small. distinct fulfilled only the of continue have it's to and long first over question form capacity questions been when getting how most we deliver consider higher
first a foot. our sales levels that pertains of when shows do billion a way. by volume rise of every double ability if $XXX math, sales would question, sales fulfill capacity. in to our and The productivity we all average stores, sales store just of long our sales Think Last digital existing by fulfilled raise store over in the accounted productivity our of last additional foot digital foot. billion year's you to $X just of fulfilled other runway would that have we of the extra $X $XX productivity square average this and that year, higher In stores see per words, fulfilled for question about a $X square that On their of an within very stores it over our experience stores footage.
see yes. clearly, of And productivity at stores So space? accommodate is answer the in our stores easiest that is, chain. our the can of volume existing range looking to across is by way the that The question the their
delivered the than locations top than consisting than group per higher our average more foot for than more last year. $XXX quartile average the That's more chain. productivity a of stores, XXX $XXX Specifically,
on of that we stores, in sales we believe to productivity of through based So room large set digital lot a operating fulfillment. success grow our our have overall
pertaining a But there in existing of to stores. capacity our space second is the question mix
Specifically, we fulfilled stores term rapid constraints the question, space. will backroom going often need in near run to digital to that asked any our continue internal On ample sales. get we our as backrooms whether store our shows see not because modeling expand that growth are capacity store we we against already have up in to
our and maintained to wouldn't technology capacity rate rapid fulfilled until Specifically, the simply we need backroom in a apply and if processes into we growth existing store continue sales, additional of well next decade. store
And as an spike in aside, seasonal long the during week the only would occur fourth quarter. that constraint two
technology will we in as ever technology that However, higher to stores isn't are same constraint and up fulfill and conventional the only that our will we delivered productivity stay in plan, their run investing processes our continue are our our allow against and to their that grow productivity stores they processes sales, just to have today if consistently well. backroom ability as as
type digital or both are The outlined ahead. the adding CapEx on plans a than when years But surprise clearly of But words, anybody to been this and time, hear accounted additional in you over capacity In we years to surprise will and serve we we we meeting. of question, question sitting our are we already either our plans growth upstream is XX for answer in addition a more eventually capacity to in conventional distribution capacity you store of at have stores. that invest is additional grow accommodate investments day that yes. grow whether, based sales the we any And our our a sales the need sales, doesn't network volume. backrooms, Beyond upstream mean capacity future our growth. plan shouldn't capacity need that sale, for sales that throughout the third because stores this store the going to community expected to digital to on financial year's capital outlined in other capacity
we So have it's in something beyond capacity our isn't of already other the articulated. adding plan network part words, plan,
outstanding for No When before ever those profitable wage country generate to fulfillment. increases able think across the converted reality questioned people believers. we the our into a grow been When want move to didn't minimum But kinds to our close, people store accommodate started, few over deliver started, our digital results. and team's many turn central we their announced has to XXXX, team many a in because again. by their of store And doubters when Through transform we I people be efforts, work dedication, has financial traffic sales wage to thank $XX play should end many I we role goal would of years. didn't performance able the team and theory we have whether we this and growth. last delivered of the to into could vision the and energy, that business think
will quarter I performance beyond. Now plans second to turn third and the Mark who will the in the Mark? call merchandising our about for and talk quarter over our
