Introduction: rd Listed as the 3 top discount retailer, Target is amongst one of the most famous retailers not only here in the United States, but also worldwide. It is known as big-box retailer that is able to provide customers with a variety of products while still achieving a good, competitive price. Target stores around the country are known for its large space stores and the experience it gives to customers providing food place, a grocery section, electronic, apparel, toiletry, home, and more. Although our country is used to these suburban large markets, Target has decided to step into a new smaller format and focus its stores in the eye of major cities. Known as
CityTarget, this new smaller retail format for Target will bring a new demographic of customers that are not targeted which are city /urban citizens who live a speedy and hectic lifestyle. CityTarget is now established in cities such as Seattle, Los
Angeles, San Francisco, and Portland however, it is now being brought to the East coast as a new CityTarget will be built in the heart of the city of Boston. Although the total size of the CityTarget store will be 160,000 sq. ft., much larger than normal
Target store, the actual shopping space will be only 135,000 sq ft do to all the st th elevators, escalators, 1 floor lobby and the 4 floor stock room. This new opening of a smaller and different retail format is exciting for target as it will bring a new range of customers and traffic as it is in the middle of such a busy city. Target is hoping to bring convenience to these urban citizens by bringing their stores to them rather than customers having to travel outside of the city. CityTarget is hoping to bring a total new experience to customers and serve the needs of their new demographic. This new change in retail format for Target will bring change to not only customers in the Boston city area but also affect Target’s products, competitors, vendors and manufacturers, expenses and profit. In this paper we will discuss from each point, from customer to supplier, how this new smaller format will affect and bring new change.

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As a “big- box” retailer, Target is able to provide many products as well as services that has caused the retailer to have a good list of competitors. Now introducing the new “smaller” retail format of CityTarget, competitors in city areas will begin to face a new challenge of keeping up with Target. As an intra-type competitor, as well as Target’s number one competitor, Wal-Mart has always been head to head with Target by providing the same every day low price strategy in a great variety and assortment of products. Although CityTarget may provide more convenience to city citizens, Wal-Mart can still be able to take customers away from
CityTarget because Wal-Mart will still contain the same format as well as products it has always had. Although CityTarget’s location may become convenient, there is said to be a down size in the amount of products as well as assortment because of the retailer’s smaller format. Wal-Mart will now provide the products and quantity customers cannot find in their CityTarget. Customers would much rather travel a few more miles to be assured that the product they want, in the quantity they want will be available at their closest Wal-Mart.

CityTarget can also create new competition to popular city stores that would typically not occur. As an intertype retailer, convenient stores such as 7-11 or WaWa can become a great competitor to the new smaller retail format of Target. Although both stores may not be exactly the same, these convenient stores and CityTarget will market to a consumer that is on the go and lives the city lifestyle and provide basic products and essentials to consumers. CityTarget’s main goal is to bring new convenience to their city customer base, however convenient stores such as 7-11 and WaWa will always be preferred due to its all time convenience it has over any retailer. Customers are able