When Target first opened its CityTarget stores in July 2012, it was billed as the company's first foray into smaller box concepts that have become the rage among big box operators in recent years. But with footprints starting at 80,000 square feet, these stores could hardly be considered small boxes. Well, that is about to change as the retailer gets set to build and test its smallest store to date, a 20,000 square foot TargetExpress in Minneapolis.
According to the New York Times, the first TargetExpress will be located on the ground floor of an apartment building being built near the University of Minnesota campus in Minneapolis. It is set to open in July and will include a mix of groceries, health and beauty items, apparel basics, home décor and consumer electronics.
Going really small has proven successful for Target's chief rival Walmart so far. The retailer continues to roll out its own Express concept, with unit footprints topping out at 15,000 square feet, and Walmart U.S. CEO Bill Simon has said in the past that the stores have achieved profitability "inside of 12 months."
How likely is it that the TargetExpress concept will succeed?