Target Stock

Target Corporation operates as a general merchandise retailer selling products to its guests through its stores and digital channels.

The company operates as a single segment that includes all of its operations, which are designed to enable guests to purchase products seamlessly in stores or through its digital channels. Nearly all of its revenues are generated in the United States (U.S.). The vast majority of its long-lived assets are located within the U.S.

Strategy

The six pillars of the company’s strategy include differentiating from its competition with its assortment of unique owned brands and curated leading national brands; investing to create an engaging, convenient, safe, and differentiated shopping experience for its guests; leveraging its stores as fulfillment hubs to efficiently meet its guests' needs, whether they purchase online or in-store; engaging with its guests through programs like Target Circle and RedCard to maintain and enhance the company’s relevancy; delivering affordability to the company’s guests; and leveraging the company’s size and scale to benefit people, the planet, and the company’s business, primarily through Target Forward, the company’s enterprise sustainability strategy.

Merchandise

The majority of the company’s stores offer a wide assortment of general merchandise and food. Nearly all of its stores larger than 170,000 square feet offer a variety of general merchandise and a full line of food items comparable to traditional supermarkets. The company’s digital channels include a wide merchandise and food assortment, including many items found in the company’s stores, along with a complementary assortment sold by Target and third parties.

A significant portion of the company’s sales is from national brand merchandise. Approximately one-third of its sales come from its owned and exclusive brands, including, but not limited to, the brands listed below.

Owned Brands: A New Day, All in Motion, Art Class, Auden, Ava & Viv, Boots & Barkley, Brightroom, Bullseye's Playground, Casaluna, Cat & Jack, Cloud Island, Colsie, Embark, Everspring, Favorite Day, Future Collective, Good & Gather, Goodfellow & Co, Hearth & Hand with Magnolia, Heyday, Hyde & EEK! Boutique, JoyLab, Kindfull, Knox Rose, Kona Sol, Made By Design, Market Pantry, Mondo Llama, More Than Magic, Opalhouse, Open Story, Original Use, Pillowfort, Project 62, Room Essentials, Shade & Shore, Smartly, Smith & Hawken, Sonia Kashuk, Spritz, Stars Above, Sun Squad, Threshold, Universal Thread, up & up, Wild Fable, Wondershop, and Xhilaration.

Exclusive Adult Beverage Brands: California Roots, Jingle & Mingle, SunPop, Casa Cantina, Photograph, The Collection, Headliner, Rosé Bae, and Wine Cube.

The company also sells merchandise through periodic exclusive design and creative partnerships, and shop-in-shop experiences, with partners, such as Apple, Disney, Levi's, and Ulta Beauty; and generates revenue from in-store amenities, such as Starbucks, Target Cafe, and Target Optical. CVS Pharmacy, Inc. (CVS) operates pharmacies and clinics in the company’s stores under a perpetual operating agreement from which the company generate annual occupancy income.

Customer Loyalty Programs

The company’s guests receive a 5 percent discount on nearly all purchases and receive free shipping at Target.com when they use their Target Debit Card, RedCard Reloadable Account, Target Credit Card, or Target MasterCard (collectively, RedCards). The company also seeks to drive customer loyalty and trip frequency through the company’s Target Circle program, where members earn 1 percent rewards on nearly all non-RedCard purchases, among other benefits.

Distribution

The vast majority of merchandise is distributed to the company’s stores through its network of distribution centers. Common carriers ship merchandise to and from the company’s distribution centers. Vendors or third-party distributors ship certain food items and other merchandise directly to the company’s stores. Merchandise sold through the company’s digital channels is distributed to its guests through guest pick-up at the company’s stores, via common carriers (from stores, distribution centers, vendors, and third-party distributors), and delivery via the company’s wholly owned subsidiary, Shipt, Inc. (Shipt). The company’s stores fulfill the majority of the digitally originated sales, which allows improved product availability, faster fulfillment times, reduced shipping costs, and allows the company to offer guests a suite of same-day fulfillment options, such as Order Pickup, Drive Up, and Shipt.

Intellectual Property

The company’s principal trademarks, including Target, the company’s ‘Expect More. Pay Less.’ brand promise, and the company’s ‘Bullseye Design’, have been registered with the U.S. Patent and Trademark Office.

Geographic Information

Nearly all of the company’s revenues are generated within the U.S. The vast majority of the company’s property and equipment is located within the U.S.

History

Target Corporation was founded in 1902. The company was incorporated in Minnesota in 1902.