Target expands controversial offering, luring back shoppers

After a very challenging period, Target made a bold move in October 2025, winning back a number of customers. Earlier this year, the retail giant quietly expanded the successful program, and now it keeps building up on the controversial category that resonates with a number of shoppers. 

Following a hard period of customer boycotts over its Pride collection and the scale back of its DEI (diversity, equity, and inclusion) initiatives, Target made several moves in 2025 to rebuild brand credibility. 

After these controversies negatively affected Target’s net sales, which have declined 1.7% to $104.8 billion, reflecting a 2.6% decrease in comparable sales, as per the company’s official 8-K filing with the Securities and Exchange Commission, the retailer focused on completely reviving its reputation through a series of major changes and bold moves. 

One particularly risky but calculated move involves the retailer’s jump into the hemp-derived THC category eight months ago, and the following expansion.

Namely, in October 2025, Target became the first major national retailer to enter the cannabis-beverage market, as it began testing the sale of THC-infused drinks in some of its Minnesota liquor stores. 

In April 2026, after yielding positive results with the pilot program, Target expanded its reach into the market by securing 72 new licenses in Minnesota. Now, the retailer is quietly taking things to the next level. 

Target rolls out THC drinks across Florida, Texas, and Illinois 

Target is now expanding intoxicating hemp beverage offerings to its stores across Florida, Texas and Illinois, BevNet first reported.

The products will be available across more than 300 Target stores in these three states in municipalities and townships that allow the sale of these products. 

TheStreet reached out to Target and the retailer spokesperson confirmed the expansion. 

“At Target, we’re always exploring new ways to meet our guests’ evolving preferences, grounded in our merchandising authority and focus on thoughtfully curating a relevant assortment,” a Target spokesperson said in an emailed statement. 

Target also highlighted that it is expanding a test of a limited number of THC beverages to stores in Florida, Illinois, and Texas to better understand guest interest in this emerging category. The retailer noted that consumers must be 21 to buy the product. 

 This move focuses on low-potency drinks, which contain just 5 milligrams of THC per serving and are sold specifically to customers aged 21 and older within Target’s liquor store sections. 

Target quietly rolls out THC drinks across Florida, Texas, and Illinois.

Dasha Petrenko/Shutterstock.com

Target’s initial THC beverage got customers’ attention

Initially, discussions on social media revealed a lack of enthusiasm for the new category, with some consumers maintaining their boycotts. However, a survey from the cannabis telehealth platform NuggMD revealed something quite different. 

Per the report, Target’s move into THC drinks has sparked significant interest, with roughly half (50.5%) of cannabis users saying they are now more likely to shop at the retailer. However, this boost in loyalty is largely conditional: 34.4% of those surveyed noted that they would only increase their visits if their specific neighborhood Target actually carries the new products.

Then again, another 16.1% said yes because they “want to support the retailer more now regardless of which locations sell the product,” previously reported Marijuana Moment. 

Target’s expansion of hemp-derived THC beverages faces a major regulatory hurdle 

Target’s scaling up of the THC beverage category across the second, third and sixth most populous US states comes at a risky time for the industry. 

 In November 2025, Congress passed and President Donald Trump signed into law the government funding package ending the longest government shutdown in US history, “and, in doing so, enacted the most consequential federal change to hemp policy since the 2018 Farm Bill, poised to upend a $28 billion dollar industry,” reported Akerman. 

New definition of federally legal hemp: No more than 0.4 milligrams of total THC per container
(a shift from the prior 0.3% delta-9 THC dry weight standard)No cannabinoids, regardless of concentration, that are synthesized or manufactured outside the cannabis plantNo cannabinoids with “similar effects (or marketed as having similar effects)” to THC
(as determined by HHS)
Source: Akerman 

Legal analysts at Clark Hill, a top-tier firm for hemp regulatory law, warned:

“Industry executives estimate that the threshold will wipe out 95% of the $28 billion hemp retail market. More than 300,000 jobs are at risk, with economic impacts expected in states with large hemp sectors, including Kentucky, Texas, and Utah. In an already teetering economy, this reduction in GDP is an unwelcome change for many.”

“Sources report that Target is believed to be hedging against this potential ban by planning to mark down its intoxicating hemp inventory in October if there is no regulatory solution in place at that point,” BevNET said.

Bipartisan lawmakers in the U.S. Senate and House of Representatives have pushed for a delay in the scheduled ban, which is set to take effect in November. However, despite a joint effort from both parties to postpone the looming November ban, the success of these legislative maneuvers remains up in the air. 

THC/Hemp brands initially found at Target liquor stores in Minnesota: CannHi SeltzerWyldWynkFind Wunder GigliIndeedSeñoritaStigma Surly Trail Magic
Source: BevNet 

While the retailer’s pilot program was limited to 5 mg of THC, Target expanded into 10mg offerings over the winter. 

Americans believe cannabis represents a ‘healthier option’ than alcohol 

Target’s strategic pivot into a bold new category comes at a time when a number of Americans are trying to cut their alcohol intake. Moreover, a MRI-Simmons’ 2025 National Cannabis Study, revealed that 73% of US adults agree cannabis has many health benefits, while 68% specifically cite marijuana’s therapeutic potential. 

The September 2025 poll also revealed that 67% believe cannabis is good for both the mind and body and the same percentage see CBD as beneficial for health and beauty. 

According to the August 2025 Gallup Alcohol Survey, the percentage of U.S. adults who consume alcohol has plummeted to 54%. This is the lowest level recorded since Gallup began tracking the nation’s drinking habits in 1939.

A study published in the Journal of Psychoactive Drugs (January 2026) looked specifically at cannabis-infused beverages and found that adults who switched to THC-infused beverages reduced their weekly alcoholic drinks from 7 to 3.35. 

Additionally, 58.6% of cannabis beverage users reported they are specifically using these drinks to replace booze.

What this means for Target and its customers

Target’s move into THC drinks is part of a larger effort to get people back through their doors and boost lagging sales.

By making these products available across Minnesota, Florida, Texas and Illinois, they’re clearly trying to be the first stop for anyone curious about trying them.

Right now, Target is the only major player in this space as Walmart and Costco haven’t touched it yet.

Having something that its rivals don’t have could be exactly what Target needs to give people a new reason to visit. 

Other large retailers that sell THC products include: Total Wine & More Circle-KABC Fine Wine & Spirits

For the people who actually use these products, this kind of mainstream visibility is a big deal. Being able to pick up a THC drink during a regular Target run helps validate their choices and makes the whole experience feel like a normal part of life, rather than something that needs to be hidden or stigmatized.

“This is a move in the right direction, nice,” commented Reddit user Public_Revenue_4566 in a thread covering Target’s latest THC drinks expansion. 

While the long-term future of this category depends on what the government decides, for now, Target seems okay with the legal uncertainty if it means getting a head start in a massive new market.

Related: Target executive unveils bold new plan to win back customers

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