I don't see why customers should be that upset over a sale not going ahead. It's not like they "need" the toys, or that there aren't other toy sales on anyway. It just sounds like a journalist trawling for the best quotes for the spin they need on their article.

It also sounds like it's just the Layby portion of the sale that loses them money... but instead of fixing the layby system (either by increasing the layby fee, or the cancellation fee, to cover the cost of storing the stock and discounting it when it returns to floor after the products are no longer available), they are axing the entire promotion it was attached to, as if the sale can't exist without it.
I say, have the toy sale, but scrap the cheap extended layby... or fix it by charging more for it to cover its own cost.
Target chose to have a layby scheme that didn't charge people enough in fees to cover it's cost, or to penalise those who were financially irresponsible to greedily pile up on a layby that they were never going to be able to pay for... all for the promotion of it to get people into the store. If a particular promotional doesn't benefit the business, then drop it, not the whole sale.

A sale brings in revenue and customers, otherwise they wouldn't have them... but to not have a sale just because the one-off element they chose to have attached to this particular sale (the cheap extended layby), is neutralising any benefit of the sale... that seems like a really bad business decision, and not a surprise that Target is struggling if they are making those sorts of decisions (scrapping money-making elements that are paired, but not bound, to loss-making elements).

I don't usually see too many people here noting that they went to the Target toy sale (or any of the major toy sales) to layby the Transformers toys that were on sale... most of the people who go for a sale item are posting about buying it. If there is something there that you can't afford to buy outright, then maybe it isn't something you "need" to buy. Even Christmas items for kids - if it costs too much to be able to afford, or buy later, maybe too much is spent on gifts, just because marketing has made it a requirement to spend billions on materialistic gifts, with many kids no longer valuing the items to really appreciate the sacrifices getting them, or even looking after them.... because they will just want more stuff later, or better stuff next Christmas.