retail news in context, analysis with attitude

The Minneapolis / St. Paul Business Journal reports that Target will open its first store in Manhattan later this month, in east Harlem, and will include an expanded grocery selection in the format.

According to the story, Target “already about a half-dozen stores in New York - in Brooklyn, the Bronx and Queens. It’s also occasionally opened temporary ‘pop-up’ stores in Manhattan. But Manhattan real estate is more dense, finding space more expensive and fitting a store into existing infrastructure trickier.”
KC's View:
Target seems to be able to open in places where Walmart has thus far been denied access, an ability that will certainly help its ability to compete with the Bentonville Behemoth. On the other hand, it seems likely that as Walmart develops and rolls out its urban strategy, it will be with small format stores that may be more targeted - pun intended - at the urban customer. Personally, I think the latter strategy may be more sensible...it may take longer for Walmart to get there, but the rewards may be greater in the long run.