Target is doubling down on smarter, more intuitive shopping this holiday season — and Target AI holiday shopping features are officially front and center. The retailer announced a suite of new AI-powered tools designed to help customers discover gifts faster, navigate stores more easily, and check off every item on their seasonal list with less stress.

Cara Sylvester, Target’s chief guest experience officer, said the company’s goal is to make the entire experience feel more connected and effortless. “We know our guests love shopping with their phones in hand, and when they use the Target app in-store, their basket sizes increase nearly 50%,” she explained. “With these upgrades, we’re making Target AI holiday shopping even more personal, intuitive, and joyful.”

AI Gift Finder brings personalized gifting to the Target app

The biggest highlight of the Target AI holiday shopping push is the new AI-powered Target Gift Finder. This conversational tool lets shoppers type in details about a gift recipient — like their hobbies, age, or personality — and instantly get curated, AI-driven suggestions.

Instead of endless scrolling, shoppers receive tailored ideas for anyone on their list, whether it’s a tech-obsessed teen, a coworker, or a toddler who loves dinosaurs.

Scan handwritten lists directly into the app

Another standout addition is the new List Scanner, which brings some seasonal magic to organizing wish lists. Guests can now scan handwritten lists — or their kids’ holiday wish lists — directly into the Target app, instantly turning them into shoppable items.

This feature is part of Target’s broader push to simplify the Target AI holiday shopping flow and reduce the time customers spend tracking down individual items.

Improved navigation and in-store assistance

Target is also rolling out enhanced navigation tools for shoppers using the app in stores. The goal: combine AI assistance with on-location convenience.

These tools help customers find products faster, explore new deals, and make decisions more confidently — all supported by real-time inventory data.

Customers plan to spend less this holiday season

Target’s timing isn’t accidental. The latest Conference Board Holiday Spending Survey shows U.S. consumers plan to spend an average of $990 on holiday purchases — a 6.9% drop from last year.

Gift budgets are dipping, non-gift spending is down even more, and years of inflation have left shoppers more cautious than ever. Research shows that over 80% of consumers are buying less, choosing cheaper alternatives, or stretching payments.

By making Target AI holiday shopping faster, more personalized, and more convenient, the retailer is hoping to meet customers exactly where they are — with smarter tools that help them get more value from every trip.

A strategic bet on AI-powered convenience

For Target, this rollout represents more than a seasonal upgrade — it’s a long-term investment in AI-driven retail experiences. By combining personalized recommendations, smarter in-app features, and seamless navigation, Target is betting that convenience will win over cost-conscious shoppers.

And as holiday pressure ramps up, Target AI holiday shopping tools could become the retailer’s secret weapon for boosting engagement, cart size, and customer loyalty.