Target has fended off industry-wide retail battles in recent years, announcing a new $5 billion plan that’s sure to wow some loyal shoppers.
The popular retailer shared the news that it will be making five big changes, including adding more $15 deals and opening new stores across the country.
The investment builds on the brand’s commitment to affordable fashion and general merchandise.
“This year we will continue to invest in our long-term strategic initiatives that drive our market share and earnings growth over time,” said Chief Financial Officer Michael Fiddelke.
In a recent press release, Target identified five key changes customers can expect with the new investment plan.
The retailer said, “The company plans to invest $4 billion to $5 billion this year to expand its guest-centric services, operational network of stores and supply chain facilities, digital experiences and other capabilities.”
In a section titled “Bring Affordable Joy,” the company explained how it will appeal to cost-conscious shoppers by adding more items for $3, $5, $10, and $15.
Along with the lower prices, Target has also committed to “providing clear, compelling promotions.”
The retailer plans to put some of its funds into a new advertising campaign to celebrate how Target brings affordable joy.
Target already allows returns on most new, unopened items for up to 90 days of purchase.
The best part about the retailer’s Drive Up Returns offering is that shoppers don’t have to leave their car.
The company plans to expand the service, allowing guests to initiate their return via an app and have a team member come out to retrieve their unwanted items.
“Drive Up Returns brings more efficiency to the retailer’s returns process and reduces the cost of return postage,” the retailer said.
Target plans to open about 20 new locations to withstand the string of department store closures across the country.
“Many of the new stores will feature new design elements that reflect the local community, experiences that highlight new brands, ranges and services, and sustainable features,” the retailer explained.
The new locations will come in various sizes and aim to expand the customer base in previously underserved areas.
INVEST WITH ULTA AND APPLE
In addition to adding more stores, Target also wants to remodel some of its existing locations.
“Target brings guests new partnerships and the latest innovations in fulfillment services while investing in operational improvements for its team,” the company noted.
The retailer said it would invest in around 175 existing stores, from complete remodels to additional shop-in-shop experiences.
Pretty soon, other locations could include Ulta Beauty in the Target areas, as well as Apple in the Target divisions.
SUPPLY CHAIN AND FASTER DELIVERIES
After all, the company is expanding its ability to deliver the next day.
By expanding its sorting center network from nine to over 15 locations by 2026, Target hopes to deliver faster digital orders at a lower cost.
By evolving delivery services, Target can take some of the pressure off of its busy staff and give them more time to serve guests.
Also, the added sorting centers should bring many jobs to new communities.
“This latest investment in sorting centers will create hundreds of additional jobs in major metropolitan areas that offer the retailer’s market-leading wages,” the retailer said.
https://www.the-sun.com/money/7564713/target-store-changes-investments-ulta-apple/ Target makes five store changes – because customers can expect low cost and convenience