In 1990, the former Dayton Hudson (now Target) bought Marshall Field's, the Chicago-based department store. A year ago, Dayton and Hudson were dropped when the corporate name was changed from the Dayton Hudson to Target Corp., a reflection that the Target discount stores now accounted for about 80% of sales.

"We're doing it to strengthen our brand and competitive position as a national department store," says Melissa Stark, a Target spokeswoman. Target says it wanted to develop a strong, national brand for its department store division, and of the three names, Marshall Field's clearly has the most national recognition, Stark said.

While Target has no intentions of expanding the department store chain to other markets--it's primary focus is on expanding its Target chain--one national brand will greatly enhance its e-commerce efforts, she said. Right now, Dayton's, Hudson's and Marshall Field's each has its own Internet site; by combining them into one, they will have a stronger identity and presence on the Internet, Stark says.

Some observers see the name change as auguring the sale of the department store division so Target can concentrate its attention and resources on growing its SuperTarget chain, which lags far behind Wal-Mart Supercenters in the discount store-supermarketcategory.

"Once they feel they have the SuperTarget concept figured out, I think it likely they will sell the department stores," says George Rosenbaum, chief executive of Chicago-based Leo J. Shapiro and Associates, retail marketing consultant. However, Stark said that there are no plans to sell off the department stores.

For customers in Minnesota, the change will bring some resistance. Dayton's history goes back to 1902 when George D. Dayton built a six-story, multi-use building on the corner of Nicollet and Seventh Street in Downtown Minneapolis. In 1910, he changed the store'sname to Dayton's Dry Goods. During the corporate takeover craze of the '80s, the Dayton's name was enough to convince the governor of Minnesota to call a special legislative session to pass a bill to help the Minneapolis retailer fight off a hostile takeover attempt.

"We realize it will take some getting used to," Stark says. In a series of ads to run in the Sunday editions of newspapers in St. Paul, Minneapolis, Detroit and other cities where Dayton's or Hudson's is a big brand name, Target announces that `"Dayton's is becoming Marshall Field's."The move, which will take effect at an unspecified date later this year, will essentially eradicate the Dayton family name from the company that it started nearly a century ago.

Instant Insights /

Target Corp. Drops Dayton's and Hudson's Brands in Favor of Marshall Field's

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