Target plan to launch a pop-up store inside Selfridge's in London is all about "building buzz," Stan Pohmer, a retail consultant, told the Minneapolis Star Tribune. The question some are considering is if the buzz Target is building is a precursor to the company finally expanding overseas, perhaps with stores planned for the U.K.
Although Target officials have talked about possible expansion outside the U.S. in the past, mentioning Canada, China and India (Target has an IT organization in place there), the U.K. angle is new.
Back in April, Target CEO Bob Ulrich told financial analysts at a presentation in Minneapolis that the company was in no rush to enter India or China. He reasoned that Target could expand to those markets in five to 10 years when consumers there would "be more affluent and better educated" and "be more in synch with our strategy."
Canada has also been prominently mentioned in the past although, it has been thought Target would look to buy its way into the country should a large block of stores become available.
For his part, Mr. Pohmer thinks Target is looking to build buzz for buzz's sake.
According to a MarketingWeek report, Target is planning its pop-up store launch to coincide with London Fashion Week next month. The retailer is said to be working with "a big name fashion designer" who has developed an "exclusive line" to celebrate Target's first foray selling overseas. Target will also sell items from other "exclusive" lines it carries.
Discussion Questions: First, what do you think of Target's overall pop-up store strategy and its choice of London for the next execution of that strategy? Secondly, is Target ready to finally move into markets overseas and do you see the U.K. as a place the company might start?