To capitalize on their record 2020 sales growth, Target plans to make a big investment to scale capabilities across their brick-and-mortar retail stores.
The corporation plans to invest nearly $4 billion annually during the next several years to accelerate store openings, remodel stores, and enhance their fulfillment and supply chain efforts. Their goal is open 40 new stores each year, and to ultimately provide the most convenient and easy shopping experience for every consumer.
In 2020 Target announced their efforts to open small-format concept stores, which has now become a common theme across numerous big box retailers. The company plans to stick with this plan but accelerate the pace to open new stores in urban centers, college campuses and suburban cities across the US.
The company will begin its store remodel program this year and have nearly 150 locations ready in time for the holiday season. Target plans to remodel more than 200 stores a year starting in 2022.
Target will continue to enhance their fulfillment services to improve their overall store experience, such as increasing food assortment, technology advancements, and brand ventures. The company has recently announced their partnership with Ulta to integrate shop-in-shops to offer a more extensive beauty collection and feature Ulta’s established brands in Target stores. The chain will continue to focus on this partnership, while also expanding their relationship with Apple to open mini stores across locations.
In addition to new store, remodels and an enhanced physical experience, Target will invest in four new distribution centers. These sites will help to collect online orders from local stores and sort them into efficient routes for delivery.
None of these advancements and growth plans would be possible without Target’s success throughout 2020 – an unprecedented year with undeniable demand.
“2020 was a record-breaking year thanks to the work of our team and their commitment to serving our guests amidst unprecedented demand. As we head into 2021, we are building on the aspects of our differentiated model that make Target the preferred one-stop-shop for millions of guests,” said Michael Fiddelke, Chief Financial Officer at Target.
Minneapolis-based Target Corporation (NYSE: TGT) serves guests at more than 1,800 stores and at Target.com. Since 1946, Target has given 5% of its profit to communities, which today equals millions of dollars a week. For the latest store count or for more information, visit Target.com/Pressroom. For a behind-the-scenes look at Target, visit Target.com/abullseyeview or follow @TargetNews on Twitter.