Target Higher as Retailer to Create Apple Shop-in-Shops

Target advanced after the department-store retailer said it would add dedicated Apple shops in more than 17 stores by the end of fall.
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Target  (TGT) - Get Report shares were rising Thursday after the retailer said it would double tech giant Apple's  (AAPL) - Get Report footprint in select stores, with dedicated Apple shops at more than 17 locations.

Shares of the Minneapolis retailer at last check rose 1.35% to $189.60. Shares of Apple, Cupertino, Calif., slipped 0.57% to $124.60.

The department store giant added that starting this month it would expand Apple offerings both in stores and online, with additional rollouts by the end of fall.

Terms of the deal weren't disclosed.

“Apple products are popular with Target’s guests, and this new, dedicated shopping experience offers enhanced service and expanded offerings, building on our strength as a go-to destination for electronics,” Christina Hennington, executive vice president and chief growth officer at Target, said in a statement.

“[We’ll] continue to learn and enhance the experience through future rollouts later this year," Hennington added.

Shop-in-shop concepts are a way for retailers to offer customers new experiences and a wider selection of brands.

Target has had similar tieups with companies like media and entertainment giant Disney  (DIS) - Get Report, beauty brand Ulta Beauty  (ULTA) - Get Report and jeans retailer Levi Strauss.  (LEVI) - Get Report

Target customers will also get a 5% discount on Apple purchases if they're members of its loyalty program, Target RedCard, the company said.

Last month, Target said it would lay out $200 million for a fifth round of employee bonuses and extend its coronavirus-related benefits.

Target said it would give $500 bonuses to all hourly workers and $1,000 to $2,000 for store directors and other leadership positions.

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