Discovering + Defining WE WILL WALK YOU THROUGH ... Objectives: connectivity Leverage Target’s expect more. Pay less® brand promise Guest experience Communicate Target’s ‘Design for all’ mantra localization Engage The behaviours + expectations of millennials sustainability 3. STRATEGY + IMPLEMENTATION 2. COMPETITORS { GUEST Experience Sustainability 4. SUMMARY 1. TARGET MARKET 1. Target’s target market “If evolution really works, how come mothers only have two hands?” - Milton Berle 1. Target’s target market “I want it fast and I want it now” “I’m a social creature – both online and offline” “I can make this world a better place” “I trust my friends more than the ‘corporate mouthpieces’” “My way, right away, why pay?” “I want more choices in products and services” 1. Target’s target market Millennial Mom 22% Gadget guru 13% Hip-ennial 29% Clean+green millennial 10% Anti-millennial 16% Old-school millennial 10% Q: WHAT DO MILLENNIALS THINK ABOUT THE TARGET BRAND? What would you draw? Q: WHAT DO MILLENNIALS THINK ABOUT THE TARGET BRAND? “Slick” 2. Competitors in the space grocery apparel Health + beauty Household needs Guest Experience Taking design innovation to a new level to continuously improve the TARGET guest shopping experience (video) Designing the shopping cart a cart with a cup holder A cart that’s Easy + ready To use a cart that will show me where to shop so I can easily locate my items A cart that helps me get the best bang for my buck DESIRABILITY TABLET INTERACTIVITY light-weight. But strong material MOBIL E FEASIBILITY Integration starbucks PERSONALIZED MAPING QUICK, EASY-TOACCESS PRICING SOCIAL NETWORKS HOM E [Guest experience] ReNEWed SHOPPING CART DESIGN New design features implementation Clothing oriented Pilot project Connectivity focused Add-on to Bemis design [Guest experience] ReNEWed SHOPPING CART DESIGN + accessibility of target to all Tablet dock Cup holder POS System check-out efficiency Smartphone dock + partnership with starbucks Connectivity, use of target app, in-store wi-fi [Guest experience] renewed change room DESIGN customization experience connectivity [Guest experience] Tablet integration 124 Canadian stores x 10 change rooms x $400 tablet = $4000/store ROI = more happy guests, more dollars [Guest experience] Tablet integration Interactive Store map, scan + search Check prices Check availability of size and colours Sync with personal target app Share great finds Browse store items, get Recommendations for complimentary items Instant savings [Guest experience] Tablet/PHONE scan integration Line ups = Scan own items Check prices + promotions Review running totals Instantly upload order to POS at checkout Save valuable time Pay right on your mobile device [Guest experience] Guests + target’s designers (audio) Story-driven designer profiles in motion On digital screens • Giada cooking for her family • Sonia kashuk on beauty & self-image • Kate young’s design inspiration [Guest experience] Guests + target’s designers #TargetTweets Seasonal, in-store, live Q+A tweet-ups with partner designers/associates [Guest experience] Guests + target’s designers TARGET Partner designers Up-and-coming local designers [Guest experience] Sustainability Reducing the TARGET footprint to increase the TARGET impact on the world around us Case study: One of Canada’s greenest employers 2012 recycle Why? 90+% diversion rate HOW? 1. Waste audits 2. Dumpster diving 3. Green bin collaboration program [sustainability] Green Bin Collaboration Food waste Coffee grinds reduce Napkins, etc garbage Biodegradable waste Up to 5000 tonnes/day 3-4 toters 1-2 pick-ups/wk $300+/tonne to landfill 1.3B tonnes food waste in landfills/year $225-300/mo OR $3600/year Up to $1.5 m/year [sustainability] TARGET + STARBUCKS = GREEN EARTH reduce LET’s reduce coffee cup waste Join the give. sip. Shop. movement Save $$$ + give 1/2 back Target will match! [sustainability] summary How can Target be recognized as a leading Company? Leverage Target’s expect more. Pay less® brand promise connectivity Communicate Target’s ‘Design for all’ mantra Engage The behaviours + expectations of millennials Guest experience sustainability technology localization programs Identified objective for Target: to offer unparalleled guest experience for all + to engage our new generation in responsible sustainability efforts. partnerships THANK YOU references Barton, C., Fromm, J., & Egar, C. (2012). The millennial consumer: Debunking stereotypes. BrandChannel. Retrieved from http://www.brandchannel.com/images/papers/ 536_BCG_The_Millennial_Consumer_Apr_2012%20(3)_tcm80-103894.pdf Consider the humble shopping cart. (2013). Fauxsuper Blogs. Retrieved from http://fauxsuperblogs.com/ Ewoldt, J. (2013). Cheap chic, luxury didn't blend well. StarTribute. Retrieved from http://www.startribune.com/ business/185696602.html?refer=y Ferguson, R. (2012). Canadian millennial loyalty survey. Aimia. Retrieved from http://www.aimia.com/files/ doc_downloads/Aimia_GenY_WhitepaperCanada_Final.pdf Freeman, S. (2012). Target Canada to take sales from other retailers: Barclays. Huffington Post. Retrieved from http://www.huffingtonpost.ca/2012/10/01/target-canada-competitionretailers_n_1929547.html references Generations in Canada. (2013). Statistics Canada. Retrieved from http://www12.statcan.gc.ca/census- recensement/2011/as-sa/98-311-x/98-311x2011003_2-eng.cfm Generation Y: Marketing to the young ones. (2007). Euromonitor International. Retrieved from http:// www.portal.euromonitor.com.ezproxy.library.ubc.ca/Portal/Pages/Search/SearchR esultsList.aspx Giada de Laurentiis for Target: Making kitchen tasks more stylish.(2011). Baby Savers. Retrieved from http:// www.babysavers.com/giada-de-laurentiis-for-target-makingkitchen-tasks-more-stylish-spiced-coffee- with-cinnamon-whipped-cream-recipe Gysberg, N., Lee, K., & Cline, R. (2010). The Target Corporation: Strategic analysis. [PowerPoint slides]. Retrieved from http://www.slideshare.net/Jack78/targetcorporation-report Impacts on Canadian retailers of the impending Target Canada launch. (2012). SINS Canadian Retail Index. Retrieved from http://sinsblog.com/2012/07/21/impacts-oncanadian-retailers-of-the-impending-target- canada-launch/ references Olivarez-Giles, N. (2013). Sony Xperia tablet Z is the world’s thinnest Android slate. Wired. Retrieved from http://www.wired.com/gadgetlab/2013/02/sony-xperiatablet-z/ Ratner, J. (2011). Target faces decisions with entry into Canada. Financial Post. Retrieved from http:// business.financialpost.com/2011/01/14/target-facesdecisions-with-entry-into-canada/ Recycling & reducing waste. (2013). Starbucks. Retrieved from http://www.starbucks.com/responsibility/ environment/recycling/ Retalix 10 Staff and shopper mobility. (2012). Retalix. Retrieved from http://www.retalix.com/data/ product_pdf/RET_Staff&Shopper1.pdf Sturgeon, J. (2013). Target takes aim at Canadians, but are we too tapped out? Global Edmonton. Retrieved from http://www.globaltvedmonton.com/target+takes+aim+at+canadians+but+ar e+we+too+tapped +out/6442816264/story.html references Target for iPad. (2013). iTunes Preview. Retrieved from https://itunes.apple.com/us/app/target-for-ipad/ id402742793?mt=8 Waste management. (2013). WM Waste Management. Retrieved from https://www.wm.com/business/ commercial-waste-and-recycling-collection.jsp Waste reduction at MEC. (n.d.). Mountain Equipment CO-OP. Retrieved from http://www.mec.ca/AST/ ContentPrimary/Sustainability/GreeningOperations/WasteReduction.jsp Weider, K. (2012). Target: Electronics department renovation. Behance. Retrieved from http:// www.behance.net/gallery/T-A-R-G-E-T-Electronics-DepartmentRenovation/6075741 Wilson, J. (2012). BV exclusive: Jason Wu for target giveaway inspiration style boards. Huffington Post. Retrieved from http://www.huffingtonpost.com/2012/02/09/jason-wu-for-targetgiveaway_n_1266684.html appendices RISKS + Mitigation Risk: security and durability (breakage, tampering, inappropriate conduct) of tablet and scanner system Mitigation: Have guests pick up tablets at designated desk, which is monitored by store associate(s), monitoring + check out system http://www.youtube.com/watch?v=AHtnqB1tHkQ&feature=player_embedded Risk: dumpster diving - diversion rates not as high as Target would like to advertise publicly, therefore social media component might not work Mitigation: Launch internal campaign to raise awareness for recycling and waste program and set incremental goals. Maybe in year 2 of the program do a live streaming. Risk: composting - contaminating the process with improper disposal Mitigation: Staff training and overview of composting process to stress importance of proper disposal - cost effect also needs to be considered Monitors RISKS + Mitigation Risk: Shopping Cart - Spillage from coffee cups/drinks Mitigation: All cups from Starbucks/reusable cup program will have to provide securely fastened lids. Risk: Fitting Room Monitors - Lack of understanding of how to use screens in the fitting rooms. Mitigation: Have customer associates educate guests on the services offered by the scanners and screens in fitting room areas Q: WHAT DO MILLENNIALS THINK ABOUT THE TARGET BRAND? What would you draw?