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Target Australia

From Alfawiki
Target Australia Pty Ltd
Company typeSubsidiary
IndustryRetail
Founded1926
FounderGeorge Lindsay, Alex McKenzie
Headquarters
Williams Landing, Melbourne
,
Australia
Area served
Australia
Key people
Guy Russo (Kmart Group MD, overseeing Target)
ProductsApparel, beauty products, home goods, electronics, literature, toys
OwnerWesfarmers
Number of employees
Approximately 1,300 (affected by 2020 restructuring)
ParentWesfarmers
Websitewww.target.com.au

Target Australia Pty Ltd (previously known as Lindsay's and Lindsay's Target, branded as Target. and operating under the name Target Australia) is a department store network owned by the Australian retail giant Wesfarmers. The retailer provides a wide range of products including apparel, beauty items, home goods, electronics, literature, and toys through both brick-and-mortar locations and online platforms. In 2018, the corporate headquarters were relocated to the Melbourne suburb of Williams Landing. Although sharing its name and logo, Target Australia has no connections to the U.S.-based Target Corporation.

Origins as Lindsay's

The enterprise began in 1926 when George Lindsay and Alex McKenzie launched their inaugural outlet in Geelong, offering dress fabrics, bedding, and home furnishings. Lindsay had started his retail journey five years prior in Ouyen, Victoria, before moving to Geelong to capitalize on expansion prospects. The business grew throughout Victoria, operating under a strategy of selling quality merchandise at half the typical profit margin.

In 1968, the 16-store chain was purchased by Myer Emporium, which rebranded it as Lindsay's Target. The first Target store outside Victoria debuted in Newton, South Australia, in October 1970 as part of a growth plan. Within three years, Target had established outlets across Victoria, South Australia, Queensland, and New South Wales. By March 1973, the "Lindsay's" prefix was dropped, unifying the brand as Target Australia. The Victorian Lindsay's stores transitioned into the Target discount department store format while maintaining their base in Geelong.

By 1982, Myer operated 27 Target locations but divested 22 stores, with 14 acquired by GJ Coles & Coy Ltd.

Coles-Myer period

In August 1985, Myer Emporium Ltd merged with GJ Coles & Coy Ltd to form Coles Myer Limited. In 1996, Coles Myer combined the Target and Fosseys brands and introduced its first specialty outlet under the Baby Target name. Two years later, in 1998, Target Home was launched as a second specialty format. Subsequently, Fosseys stores were rebranded as Target Country, becoming the third specialty division within the Target portfolio.

In 2001, Target recorded its initial loss amounting to $43 million. A new executive team then repositioned the brand away from direct rivalry with Kmart and Big W, aiming instead at a more fashionable yet value-conscious customer base. Store layouts were redesigned to remove departments such as self-service confectionery and home decorator paint sections. Launa Inman was appointed managing director in 2006; she had previously turned around a $32 million loss into a $68 million profit within eighteen months as an apparel retail buyer and earned recognition as Telstra Businesswoman of the Year in 2003.

Wesfarmers ownership

Prior to acquiring Coles Group in November 2007, Wesfarmers announced intentions to convert select Kmart outlets into Target stores.

In May 2009, Target discontinued free plastic bags but reinstated them in 2013. Leadership changes saw Dene Rogers, former Sears Canada CEO, become managing director in November 2011; he was succeeded by Stuart Machin from Coles in April 2013.

In February 2016, Wesfarmers consolidated Target and Kmart into the Kmart Group under Kmart MD Guy Russo’s leadership. That April revealed an accounting fraud involving $21 million in fictitious profits; although CEO Stuart Machin was cleared of involvement, he resigned.

By June 2016, Wesfarmers announced that Target would withdraw from toy sales, pet care products, and luggage after posting a $195 million loss. The strategy included closing one-fifth of its 305 stores over five years and repositioning Target as a "mid-tier" boutique retailer competing with fast fashion brands such as H&M, Uniqlo, and Zara.

Target shifted its Geelong headquarters to Melbourne in 2016 and completed relocation to Williams Landing by late 2018. In June 2017 Wesfarmers revealed plans for back-office integration between Target and Kmart; several Target stores were either converted to Kmart or shuttered. By 2020, Target operated a total of 284 outlets: comprising 191 Target stores and 93 Target Country locations.

In May 2020 further restructuring was announced involving up to 75 store closures or conversions to Kmart formats affecting roughly 1,300 employees. This adjustment responded to evolving consumer trends favoring affordable basics alongside selective premium purchases. Specifically:

  • Conversion of between 10 and 40 Target stores into Kmart.
  • Closure of approximately 10 to 25 additional Target stores.
  • Transformation of 52 Target Country outlets into small-format Kmart "K Hubs," while closing the remaining 50.

Overall this resulted in up to 92 store conversions and a total of 167 closures or conversions.

Despite strong brand recognition, Target’s large-format approach cannibalized sales from Kmart and lacked clear differentiation from competitors like Myer and David Jones. The company described these measures as essential for enhancing profitability by streamlining operations and boosting digital customer engagement.

In early 2022, Target unveiled a rebranding initiative called "That's Target," featuring advertisements highlighting quality products integrated into everyday life.

In July 2023 Wesfarmers declared an internal restructure merging Target and Kmart into one unified business unit.

Target

Australia currently hosts 124 Target department store locations, each providing the complete assortment of Target merchandise. After significant store closures, the brand has enhanced its digital retail platform. Every state and territory features a minimum of two stores:

Baby Target

Launched in 1996, Baby Target operated as a dedicated format specializing in infant products. It experienced modest success before being discontinued by 2008, with its inventory absorbed into larger Target stores. Initial sites included Werribee, Narre Warren, Northland, Victoria, Newcastle, Campbelltown, and Golden Grove.

Target Country

Fosseys was founded in Sydney in 1926 by Alfred Bristow Fossey and expanded to 148 locations, generating an annual revenue of $300 million. After Coles Myer acquired Grace Bros—which owned Fosseys—the brand consolidated several smaller variety stores, including Coles Variety.

In 1996, Coles Myer integrated Fosseys operations with Target, repositioning Fosseys stores to focus on family clothing in rural regions and emphasizing value-oriented products. Starting in 1999, Fosseys outlets were either rebranded as Target Country or shuttered if located near larger Target stores. By 2001, all Fosseys stores situated close to Target locations were closed; the remaining stores continued as Target Country, serving smaller communities without full-sized Targets. The first store to adopt the new branding was Target Country in Wonthaggi, which was eventually replaced by Kmart.

On 1 July 2007, employees from Fosseys were transferred to Target Australia Pty Ltd, leading to the dissolution of the original legal entity. By June 2008, the nationwide count of Target Country stores reached 118.

From the mid-1990s onward, some regional Grace Bros stores transitioned to Target and subsequently to Target Country in towns such as Bathurst, Cowra, West Wyalong, Forbes, and Young; all these locations had closed by 2021.

Target Country gained traction in regional and remote areas by offering affordable fashion and homewares. Stores were refurbished to mirror larger Target layouts and equipped with touchscreen point-of-sale systems. As part of the restructuring undertaken by Target in 2020, these stores were either closed or converted; the final outlet at Salamander Bay (NSW) ceased operations in May 2021.

Target Home

The Target Home concept, which concentrated on homewares, was introduced in 1998 but phased out during the 2000s. These specialized outlets were either closed or integrated into larger Target stores that still provide a wide selection of homewares. Such offerings remain available at locations including Lakeside Joondalup, Westfield Carousel (Western Australia), Castle Plaza (South Australia), Westfield Southland, Highpoint Shopping Centre (now operated by Kmart), Greensborough Plaza (Victoria), and Westfield Warringah Mall (now Kmart) in New South Wales.

Target Outlet

In 2013, Target piloted the Target Outlet store format at its Dandenong branch within Dandenong Plaza, Victoria. This initiative was short-lived and discontinued by 2014.

Urban by Target

Launched in 2010, Urban by Target featured a compact store layout emphasizing apparel and homewares. The inaugural store opened at The Jam Factory in South Yarra, Victoria, followed by additional sites at Flemington Village and Pasadena Shopping Centre in 2011. The Flemington location closed prematurely, while the Pasadena store reverted to a conventional Target before transforming into South Australia's first TK Maxx outlet. The South Yarra venue, distinguished by a black logo variant, eventually ceased operations permanently.

Designers for Target

To enhance brand prestige and product desirability, Target has collaborated with renowned designers. In March 2007, it unveiled a 42-piece winter collection crafted by Stella McCartney and Britney Spears, which quickly sold out across urban stores. A subsequent Stella McCartney collection was released in October 2010 but achieved more modest success.

May 2007 introduced a designer line from Goot, which received varied feedback, followed by an April 2008 collaboration with American designer Zac Posen. That same month, Australian designer Collette Dinnigan launched the 'Wild Hearts' lingerie range.

In February 2012, Target debuted lingerie designed by American burlesque artist Dita Von Teese. Throughout that year, collaborations extended to children's apparel with Collette Dinnigan and Ksubi, alongside women's fashion with Roberto Cavalli. The partnership with Dannii Minogue in 2014 resulted in the popular Dannii Minogue Petites clothing collection.

March 2016 saw the release of an extensive collection encompassing women's, men's, children's clothing, and homewares created by French designer Jean-Paul Gaultier, further solidifying Target's role in accessible designer fashion.

See also

External links