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1. What benefits does Target receive from its store brands?
2. Is Target's store brand strategy working? Explain.
3. What could Target do in the future to further develop strengths in store brands?
4. What potential problems does Target face in continuing its focus on store brands?
Target is the #2 mass discount merchandiser, second only to Walmart. And while Target is only about one-sixth the size of Walmart in terms of revenue, it has plenty of strengths. This case focuses on Target's store brand strategy. While Target carries all the popular national brands, it also has expanded its store brands into most of the product categories that it carries. Not only does it have a strong presence of store brands, its store brands have an image of quality and caché that is on par with many national brands.
Teaching Objectives
The teaching objectives for this case are to:
1. Understand the basics of brand image.
2. Understand the importance of creating customer-brand relationships.
3. Analyze a store brand strategy.
4. To consider the advantages small brands can have over market leaders.
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