Originally Posted in January 2010
Interesting reports were swirling around late last week about Target finally making its move into the Canadian market. Read below:
Have you heard this one before?
What has to be the most frequent and hyped rumour in the Canadian retail scene is back – this time spurred by Target execs saying that they are finally starting to look for growth outside the US.
Ranked #10 in Deloitte’s Global Powers of Retailing (a must read – see my earlier post), Target is one of only two retailers to make the Global Top 10 while only operating in one market (the other is Kroger).
The fact that Target has not expanded outside the US is not a bog surprise. It wasn’t until 2009 that they had a store in each of the US states.
The last significant rumour mill on this topic stated that Target wanted to buy HBC and turn it around. Instead that task was taken on by the late Jerry Zucker and the company is now in the hands of a US investment firm.
An investment firm is not a retailer. They are a buy cheap, make improvements, sell high(er) type of company.
Target has apparently stated that stores in Canada are on a three year horizon. If HBCs current owners continue their cleanup for three more years – the HBC/Target rumours might just make sense.
Let the rumours swirl once again!