MINNEAPOLIS -- Dayton Hudson Corp. gave a vote of confidence last week to its new SuperTarget format and confirmed reports it will open an additional 10 to 20 units over the next two years. Speaking at Dayton Hudson's annual meeting here, Bob Ulrich, chairman and chief executive officer, said the concept is meeting with success so far.
"Although it is too soon to assess the longer-term potential of this strategy, we are very pleased with the early results," Ulrich said.
The first SuperTarget opened in Omaha, Neb., in March and another is slated to open in October in Lawrence, Kan.
Currently, plans for SuperTarget expansions are centered on a Midwestern cluster of locations. In addition to the Nebraska location and the plans for the Kansas site, the company is exploring sites in Iowa and Salt Lake City, the chairman said.
The new store at Lawrence will have 165,000 square feet, compared with 195,000 square feet in the Omaha unit. Supermarket
sections in both stores are 40,000 to 45,000 square feet.
The recently released Dayton Hudson annual report played up the food quality aspect of the supercenter. It said the "high quality grocery offering" in the stores is "consistent with the Target image -- and priced with the best competitor in the market."
The report further said that cross-over categories, such as health and beauty aids, chemicals and paper products, link the grocery and general merchandise areas -- and "facilitate cross-over shopping."
Ulrich said that the company's later supercenter expansion plans would hinge on the success of the units built over the next two years.
