Over the years, DHC created Target stores and acquired Merv

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• Catherine Davis
• Anna Goetz
• Corinne Gundersen
• Lauren Werner

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History

• 1903-Dayton Dept. Store opened in Minneapolis
• 1954-J.L. Hudson opened Northland center
• Two Companies merged in 1971 to become Dayton
  Hudson Corp. (DHC)
• Over the years, DHC created Target stores and
  acquired Mervyns and Marshall Fields
• 2000-DHC changed its name to Target Corporation
  and crafted this logo
• Target Corporation is Americas second largest
  general merchandise retailer

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Corporate Identity System

• Logo Red Bull's-eye with Target Corporation
  written above it
• Slogans
• Target- Expect morePay less
• Mervyns- Big brandssmall prices

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Target Corporation

• Nationwide Stores
• Target-1,167
• Mervyns-265
• Marshall Fields-64
• Target Corporation has 280,000 employees in 47
  states

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Target Corporation Cont.

• Upscale and Moderate price stores to Full-Scale
  department stores
• 2001 Revenues
• Target-82
• Mervyns-10
• Marshall Fields-7

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Principle Products and Services

• Clothes for men, women and children
• Featuring Mossimo, Swell by Cynthia Rowley and
  Ilene Rosenzweig, Liz Lange, Michael Graves and
  Cherokee
• Toiletries, Electronics, Toys, Sporting Goods,
  Housewares

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Finance

• Market Capital-23,871,500,000
• Last Year Revenue-27,757,000,000
• 14,000 Shareholders
• 908.7 million outstanding shares

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Finance Cont

• Five-Year summary
• Year Sales Net Income
• 2001 39,888,000,000 1,368,000,000
• 2000 36,903,000,000 1,264,000,000
• 1999 33,702,000,000 1,144,000,000
• 1998 30,662,000,000 935,000,000
• 1997 27,487,000,000 751,000,000

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Strengths

• Brand Image
• -Target-Expect MorePay Less
• -Mervyns-Big Brands at Small Prices
• New Wave of Advertising
• High level of quality and satisfaction
• Fairly new company and stores
• Stores have access to more than 100,000 different
  items from more than 10,000 different vendors

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Strengths Cont.

• Customer Service
• Create friendly, helpful minded employees to make
  shopping at Target Corp. stores a pleasant
  experience
• The Customer Service Center is open 7a.m.-8p.m.
  CST seven days a week
• 80 of all calls are answered within 20 seconds
• 100 of emails are responded to within 8 hours

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Strengths Cont.

• Community Service
• In 2001 Target Corp. gave over 2.5 (86 million)
  of their income to charities
• Ranked 1 on Forbes Magazine list of Americas
  Top Philanthropic Companies
• 1946-Tradition of giving back to the community
  began-400 million has been given back
• No Child Left Behind program

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Weaknesses

• Behind Wal-Mart in quarterly earnings
• No greeter to welcome patrons
• Misconception that low price is evident of low
  quality
• Lack of recognition of Mervyns and Marshall
  Fields

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Competitors

• Bed BathBeyond
• Best Buy
• CVS
• Costco Wholesale
• Dillards
• Dollar General
• Federated
• Foot Locker
• J.C. Penney
• Kmart

• Linens n Things
• Nordstrom
• Saks Inc.
• Sears
• Spiegel
• The Gap
• Kroger
• Neiman Marcus
• Toys R Us
• Wal-Mart

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Threats

• Perception of product
• quality
• Key competitors
• Federated
• Kmart
• Wal-Mart

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Improving Reputation

• Building guest loyalty and enhancing
  profitability
• Use of the Internet
• Community involvement
• Continuous growth and expansion through
  construction of new stores

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Recommendation Plan

• Publics
• Middle-class families and 18-34 year olds
• Objectives
• Increase awareness of quality of goods
• Increase corporation unity among three stores
• Increase nationwide awareness of Marshall Fields
  and Mervyns stores

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Recommendation Plan Cont.

• Strategy-Increase unity among stores
• Tactics
• Expect MorePay Less
• Place Target Corporation logo on all ads for
  Target, Marshall Fields and Mervyns
• Strategy-Promote quality of goods
• Tactics
• Continue to bring in emerging designers
• Highlight designers and first-hand accounts in
  advertisements

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Recommendation Plan Cont.

• Strategy-Increase awareness of all Target
  Corporation stores
• Tactics
• A Store, A State