Target Debuts New Larger-Format Store Featuring Modern Design and Expanded Space to Fuel Popular Same-Day Fulfillment Services

• The retailer's larger footprint stores optimize additional space and new design elements to better serve its guests and team members and drive continued growth.
• The new store design features more modern elements that will inspire guests, advance Target's sustainability goals and reflect each store's local community.

MINNEAPOLIS, Nov. 10, 2022 /PRNewswire/ -- Target Corporation (NYSE: TGT) today revealed the next evolution of its new store strategy and store design created to better serve its guests and team members and drive continued growth. Target's new larger-format stores optimize additional space and new design elements and at nearly 150,000 square feet, the locations are more than 20,000 square feet larger than the chain average. While the retailer will continue to open stores of all sizes, it will focus on this larger footprint in the next few years. Target also will bring its reimagined store design — which features a more open layout and localized elements to inspire and serve its guests — to future remodels as well as new stores across its chain.

"Target's stores are at the heart of how we deliver for our guests, whether they browse the aisles, shop online or stop by for same-day services like Order Pickup and Drive Up," said John Mulligan, executive vice president and chief operating officer, Target. "Guests and team members tell us they come to Target because they feel inspired, connected and welcomed. With our reimagined store design and larger store footprint that better supports our same-day services, we can give guests more of what they love while incorporating features that build on our commitment to sustainability, community and helping all families discover the joy of everyday life."

The retailer leveraged years of research and learnings to create both the updated store design and evolve its store strategy to debut a new expanded footprint. These larger stores will offer guests Target's wide assortment of merchandise offerings, support the retailer's popular same-day fulfillment services and deliver on its stores-as-hubs strategy for digital fulfillment. The retailer recently debuted the new store design and larger store format in a new location outside Houston.

While focused on the new larger footprint in the coming years, the retailer will continue opening stores of all sizes to serve guests in communities nationwide, as it has for years through its small-format store strategy.

Target's new stores with a larger footprint will feature:

• More space: The new store layout delivers a backroom fulfillment space that's five times larger than previous stores of similar size. This additional space will help support the ongoing growth Target has experienced, with its stores fulfilling more than 95% of the retailer's digital orders and same-day services accounting for more than 10% of its overall sales.
• Full range of merchandise: These larger Target stores will offer guests the retailer's full assortment of merchandise, including expanded food and beverage, exclusive brand partnerships and a curated mix of owned brands and national brands that continues to differentiate the retailer and build guest loyalty.

Target's evolved store experience includes features such as:

• Increased light and natural elements: Larger windows and a more open layout will bring in more natural light. The design infuses elements such as plants and regionally sourced reclaimed wood to create a welcoming and inspiring space for guests and team members.
• Localized design features: Target will pull in community-focused elements to each store's design, from native landscaping outside the store to localized product offerings within the store to foster an even more relevant experience for guests.
• Built-in sustainability: The retailer's stores and operations play a pivotal role in its goal to achieve net zero emissions by 2040. Its future new stores and remodels will include updates such as natural (CO2) refrigerants to help lower the retailer's emissions and EV charging ports for its guests, with many locations including rooftop solar.
• Enhanced team spaces: Target considers its team members to be at the core of its success and the company has invested to better serve its team when off the sales floor. The modernized offices and team member spaces provide flexible rooms that can be rearranged to serve the team's varying needs, offer comfortable furniture options such as booth seating and more.

Starting in 2023, more than half of Target's approximately 200 full store remodels and almost all the retailer's approximately 30 new stores will include elements of the new design. Beginning in 2024, all of Target's remodels and new stores will feature the majority of the reimagined store design elements.

Statements in this release regarding Target's future financial performance, expectations regarding its new store strategy and store design, and expectations regarding its sustainability strategy and commitments are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to risks and uncertainties which could cause Target's actions to differ materially. The most important risks and uncertainties are described in Item 1A of Target's Form 10-K for the fiscal year ended January 29, 2022. Forward-looking statements speak only as of the date they are made, and Target does not undertake any obligation to update any forward-looking statement.

Minneapolis-based Target Corporation (NYSE: TGT) serves guests at nearly 2,000 stores and at Target.com, with the purpose of helping all families discover the joy of everyday life. Since 1946, Target has given 5% of its profit to communities, which today equals millions of dollars a week. Additional company information can be found by visiting the corporate website and press center and by following @TargetNews.

Spanish Translation

Target Corporation (NYSE: TGT), una empresa con sede central en Mineápolis, atiende a su clientela a través de casi 2,000 tiendas y de Target.com, con el propósito de ayudar a todas las familias a descubrir la alegría de la vida diaria. Desde 1946, Target destina el 5 % de sus ganancias a comunidades, lo que actualmente equivale a millones de dólares por semana. Para obtener más información sobre la compañía, visite su sitio web corporativo y centro de prensa y siga @TargetNews.

SOURCE Target Corporation