STORE SPACES

Target doubles down on store remodels; rolling out next-day delivery

BY Deena M. Amato-McCoy

Target Corp. is increasing its store remodel activity and expanding its next-day delivery service of online orders.

Target on Thursday announced that it will increase the number of store remodels to more than 1,000 by the end of 2020. (The company originally said it would remodel 600 stores by 2019.) In addition to the 110 stores it remodeled in 2017, Target plans to fully renovate more than 325 locations in 2018, 350 in 2019 and 325 in 2020.

The revamped stores will feature Target’s most ambitious store redesign to date, and will feature its next-gen design elements, including digital and technology upgrades, elevated merchandise presentations and convenient fulfillment services. The remodels will be customized, with guest feedback being applied to each new remodel, the retailer said.

On the new store front, Target is opening 11 small-format stores this week, with locations in New York City (for photos, click here) , Chicago, Los Angeles, Philadelphia and Minneapolis, bringing its small-format store portfolio to 55. Target also is opening a traditional store in Honolulu this week.

Looking ahead to next year, Target will open 35 new stores in 2018 (up from a total of 32 locations this year.) The retailer’s first Vermont location is due to open in South Burlington in fall 2018, bringing Target to every state in America.

“We’re elevating every aspect of how we serve our guests, including reimagining hundreds of stores, opening new small-format stores, introducing new and exclusive brands, pursuing an aggressive digital strategy and transforming the way we replenish our stores and get products to our guests,” said chairman and CEO Brian Cornell. “As we open more small-format stores in new neighborhoods across the country, we’ll be even closer to our guests, and our reimagined stores will provide elevated inspiration and ease, along with serving as hyperlocal distribution centers to fulfill digital orders faster.”

Target said it also is expanding its Target Restock program nationwide next year. The program provides next-day delivery of essentials ordered online. This includes an assortment of more than 15,000 items, such household essentials, dry grocery items, school supplies and baby food.

The new format stores and Restock program coincide with Target’s goal of delivering an easier and more convenient shopping experience, as well as offering the capacity needed to support digital growth. Specifically, these efforts will help Target leverage its store network to fulfill online orders faster. Target is also increasing store team member staffing and training to deliver elevated service and expertise, the retailer said.

Another initiative in the works is the expansion of its new curbside pickup service.  Earlier this month, Target debuted a new service that enables guests to have their digital orders brought out to their cars by a store team member. The program is being rolled out to customers throughout Minnesota’s Twin Cities area this month.

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S.Haas says:
Oct-20-2017 11:54 am

Would be interesting to know how much these remodels are going to cost. And compare it to what they claim they we're loosing in Canada, before the pulled the plug and screwed over 1000's of creditors

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STORE SPACES

First Look: Apple opens next-gen flagship in Chicago

BY Marianne Wilson

Apple has opened its newest and most transparent store to date, a 20,000-sq.-ft. glass showcase on North Michigan Avenue in Chicago.

At Pioneer Court Plaza on North Michigan Avenue in Chicago, Apple Michigan Avenue is designed to be a gathering place for the local community, and will host year-round events. The program kicks off with “The Chicago Series,” a set of five individual programs co-created with local non-profits and creative organizations. Each program focuses on a theme or project designed to make a positive impact in the community.

“When Apple opened on North Michigan Avenue in 2003, it was our first flagship store, and now we are back in Chicago opening the first in a new generation of Apple’s most significant worldwide retail locations,” said Angela Ahrendts, Apple’s senior VP of retail. “Apple Michigan Avenue exemplifies our new vision where everyone is welcome to experience all of our incredible products, services and inspiring educational programs in the heart of their city.”

Apple Michigan Avenue adds new access to the Chicago River riverfront from the outdoor Pioneer Court plaza. The two are now linked by granite staircases on both sides of the transparent store, opening up views from the plaza to the river and beyond. Apple worked closely with the City of Chicago and referenced historical records to develop a store design specifically for the site.

“Apple Michigan Avenue is about removing boundaries between inside and outside, reviving important urban connections within the city,” said Jony Ive, Apple’s chief design officer. “It unites a historic city plaza that had been cut off from the water, giving Chicago a dynamic new arena that flows effortlessly down to the river.”

Every design feature of the store serves to minimize the boundary between the city and the Chicago River. One of the building’s most unique features — an 111-by-98 ft. carbon-fiber roof — was designed to be as thin as possible. (The roofline is curved in such a way as to suggest the lid of Apple’s Macbook laptop.) The entire structure is supported by four interior pillars that allow the 32-ft. glass facades to remain unobscured.  The light-filled, clean-lined interior provides unobstructed views of the water. An expansive outdoor courtyard is open to the public at all times.

Apple Michigan Avenue, is the latest example of Apple’s “town square” retail concept, which blend retail, education and community involvement. It is Apple’s ninth store in the Chicagoland area.

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Report: Online giant to move into Macy’s turf — literally

BY Deena M. Amato-McCoy

Macy’s will soon be sharing a building with one of its chief rivals in the apparel category.

Amazon has leased the top six floors of office space above Macy’s Seattle store. The company expects to move into the building around late summer 2018, according to the Cincinnati Business Courier.

The department store retailer sold the top four floors of its downtown Seattle building to Starwood Capital Group in 2015, for $65 million. It sold two additional floors this year.

Amazon’s space in the Macy’s building, which is located on Seattle’s Pine Street, is 312,000 sq. ft., large enough to hold about 1,500 employees. Amazon’s operations will be positioned above the Macy’s store that operates on the ground level and basement, the report said.

The choice is a poignant one for the online giant considering the building’s long legacy in retail history. Bon Marché Department Store made the space its home in 1929. At one time, it was also the only whole-block development in the city. The building was named a historic city landmark in 1988.

Amazon’s new lease comes on the heels of the company’s recent announcement that it will also lease the entire office-space portion of the planned Rainier Square downtown skyscraper. This lease will encompass a massive 722,000-sq. ft. space, according to The Seattle Times.

Commercial real estate brokerage firm Broderick Group told the Seattle Times that including these projects, Amazon has leased 1.65 million sq. ft. in Seattle across five buildings so far this year.

Amazon also remains on the hunt for a second headquarters in North America — a building it is calling “HQ2.” Amazon expects to invest over $5 billion in HQ2’s construction, and the office will include as many as 50,000 high-paying jobs.

Amazon will accept proposals through Oct. 19, and announce its decision next year, according to the company’s request for proposal (RFP).

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