KubasPrimedia

May 03, 2011 09:21 ET

61% of Canadians Interested in Shopping at Target Results Significantly Higher Than for Walmart in 1994

TORONTO, ONTARIO--(Marketwire - May 3, 2011) - Early results from KubasPrimedia's Major Market Retail Report 2011 (MMRR) indicate that 61% of shoppers in Canada's six largest markets are "very" or "somewhat" interested in shopping at Target stores when they begin opening here in 2013.

Target Corp has announced it will open over 200 stores in Canada after having acquired leases on Zellers stores from Hudson's Bay Company. Target says it expects to generate at least C$ 6 billion in sales in as little as six years.

MMRR 2011 revealed stronger interest among Canadian consumers in shopping at Target than was the case for Walmart in 1994. "60.8% of respondents said they were 'very' or 'somewhat' interested in shopping at Target, while the comparable MMRR result for Walmart in 1994 was 49.8%," said Ed Strapagiel, executive vice-president, KubasPrimedia. "Considering Canadian consumers' strong interest in Target and Target's Canadian expansion plans, their arrival could have a tremendous impact on the Canadian retail landscape."

Consumer interest in Target varied across the country. Respondents who were "very" or "somewhat" interested in shopping at Target are at the highest level in Toronto and the lowest in Montreal:

  • 71% in Toronto
  • 70% in Vancouver
  • 66% in Calgary
  • 61% in Edmonton
  • 57% in Ottawa-Gatineau
  • 40% in Montreal

"The results suggest Target's biggest Canadian challenge will be in Quebec," said Strapagiel. "According to the MMRR 2011 research, more than one in four Montrealers (26%) said that they had 'never heard of Target.' That's a dramatic contrast with the rest of Canada's major markets, where an average of just 3.7% have 'never heard of Target.'"

The full MMRR study will be available to subscribers and for purchase in late May. Further information is available at http://kubas.com/mmrr/. MMRR provides critical intelligence on Canadian retail markets, consumer shopping habits, media usage, retailer performance, competitive activity, and more. It is based on 1,520 consumer interviews in Vancouver, Edmonton, Calgary, Toronto, Ottawa and Montreal. These "VECTOM" markets account for nearly half of all retail sales in Canada.

Who Uses MMRR:

MMRR is used by chain store operations and by a variety of other companies with interests in the retail sector. Past purchasers include:

  • Retailers who need to track consumer preferences and their competitive position in the market;
  • Product manufacturers who need to monitor retail channels and trends;
  • Shopping centre owners and managers who need to assess retailer performance;
  • Equity firms and financial institutions with a stake in the retail industry;
  • Advertising media, ad agencies, and other service providers with retail accounts; and
  • U.S. and other foreign retailers who need an expert overview of the Canadian market.

Scope of MMRR 2011

The 2011 program has been designed to closely follow previous MMRR studies.

  • 147 individual retail banners are being measured in the 2011 study;
  • 33 retail categories are covered, including HBA, apparel, soft goods, hard goods, and other product lines;
  • MMRR 2011 is based on 1,520 consumer surveys. A normal probability sample of this size has a maximum statistical error of ±2.5% at the 95% confidence level or 19 times in 20; and
  • The research was conducted online in March-April 2011. Final reports will be available to subscribers or for purchase in late May 2011.

KubasPrimedia is wholly owned by Canadian Primedia Sales & Marketing. Established in 2006, Primedia is the largest independent print and online rep house in Canada. It represents more than 130 newspapers, magazines and websites in seven provinces in Canada.

Note: two graphs, Interest in Shopping at Target and Interest in Shopping at Target by Market follow.

Visit http://kubas.com/mmrr/

To view the two graphs included with this release, please visit the following link:

http://media3.marketwire.com/docs/kubra.pdf

Contact Information