Target is a discount retail chain. They have carried exclusive Muppet merchandise over the years, as well as featuring Kermit in an advertising campaign. A number of Sesame Street videos were released first as Target exclusives before getting wide releases months later.
In November 2005, Kermit appeared in several advertisements for Target's wake-up calls designed to promote their two-day sale beginning on the morning of what has become known in the U.S. as "Black Friday," the biggest holiday shopping day of the year which follows Thanksgiving Day. Some of the commercials with Kermit also featured Brad Paisley and Carolyn Murphy.
A computer-animated Elmo toy (voiced by Ryan Dillon) makes a cameo in both the Holiday 2015 commercial "Chapter One: The Journey Begins" and the Holiday 2016 commercial "Getting Ready for the Holidays", which lead into an appearance in a mini-musical adaptation of The Nutcracker entitled "The Toycracker", that aired on December 11 on ABC, starring John Legend. Toys from other franchises appearing alongside Elmo include Legos, Wonder Woman, Superman, Teenage Mutant Ninja Turtles, Barbie, My Little Pony, Minions, Troll dolls, Frozen, and Star Wars.
- 1994: Muppets Zing Into Spring was a storewide promotion during the Spring. Promotional advertising was used throughout the store, and specific Muppet merchandise was also available, including a Kid's Meal, Kermit and Piggy plush dolls. A "Put Some Zing In Your Spring" cassette was produced, featuring a new song by Kermit and Miss Piggy.
- 2004: Begins carrying Palisades Toys action figures, including the exclusive Koozebane Kermit Action Figure.
- 2007: A Christmas shopping ad aired throughout the holiday season featuring Elmo popping out of an advent-like calendar with several other franchise characters such as R2-D2, promoting, among other prizes, the chance to win a trip to Sesame Street.
- 2008: The store offers exclusive Sesame Street puppets of Cookie Monster, Elmo and Grover. They became available at other stores the following year.
- 2009: An exclusive Big Bird puppet is added to Target's previously exclusive line of Fisher-Price Sesame Street puppets, though this one remains a Target exclusive.
- 2009: A Times Square billboard features the Honkers. Target stores hold three exclusive Sesame Street: 40th Anniversary merchandise items. A 123 Sesame Street playset, a Sesame Street School Bus, and a talking Oscar the Grouch plush.
- Koozebane Kermit Action Figure Nocturna repaint
- Fraggle Rock Kids' Double Play
- Elmo and Friends: Tales of Adventure
- Elmo's World: Happy Holidays! gift pack with plush
- Elmo and Friends: The Letter Quest and Other Magical Tales
- Iron Monster and Sesame Heroes
- Elmo's Rainbow and Other Springtime Stories exclusive bonus CD
- Talking Super Grover from Playskool, 2011
- Singing with the Stars
- The Muppets and The Muppet Show sampler
- Best of Friends
- Wocka Wocka Feature Fozzie
- Jim Henson Pop! Vinyl figures (Ernie variant)
- Kate and Laura Mulleavy have designed for the chain