Target store restructure

Horsham will keep its Target store, with Ararat’s Target Country set to become a Kmart by mid-2021 under a major shake-up of Wesfarmersowned assets.

Wesfarmers last week announced a restructure of its Kmart Group – which includes Kmart, Target and catch.com.au networks – following the first phase of a Target review.

Wesfarmers managing director Rob Scott said the review identified several actions to ‘accelerate the growth of Kmart and address the unsustainable financial performance of Target’.

These actions include converting suitable Target and Target Country stores to Kmart stores, and closing 10 to 25 large-format Target stores and the remaining 50 small-format Targets.

Target Australia managing director Marina Joanou, in a business update on target.com.au, said the majority of changes would happen next year.

The website confirms the closure of 10 Victorian Target stores along with 13 to be converted to Kmart, including Target Country Ararat, which business leaders expect to happen in early to mid 2021. There are no changes listed for Horsham Target, which opened in Horsham Gateway Centre in 2013, replacing a Target Country in Firebrace Street. The rural city also features a Kmart in adjacent Horsham Plaza.

Mr Scott said a reduced Target store network would complement increased investment in Kmart Group’s digital capabilities, following continued strong growth in online sales.

He said an expansion of the group’s digital offer would ‘provide customers with access to the Kmart and Target products they love, together with more than two million products from the Catch marketplace, via home delivery or click and collect’.