Target aims for $6B in annual sales in Canada

Target is gunning for at least $6 billion in annual sales in as little as six years when it opens the first of 200 stores in Canada starting in 2013.

Canada represents a vibrant retail market, where we think we can highly likely succeed, said Chief financial officer Douglas Scovanner.

Target plans to invest up to $10 million per store and some $500 million alone on supply chain and information technology.

The retailer’s Canadian operations is estimated to represent six per cent of annual revenue forecasts.

The No. 2 U.S. retailer announced in January in a $1.83-billion deal that it would acquire the leases on some 220 Zellers stores from Hudson’s Bay Co.

Target will offer food and pharmacy items in its Canadian stores, pitting it against Loblaw, Empire Co. and Metro Inc. on price and selection. Its main rival, Wal-Mart, is in the midst of an expansion drive.