Social Media and On-Line RetailingWhat is the future?

Target & Missoni Launch

Mrs. Mia Walsh – September 13, 2011www.target.com

• Target launches Missoni line on 9/13/11.

• This special limited edition line at Target – 400 pieces of clothing & household items – are fashionable and low-priced.

www.target.com

• Missoni - a high-end Italian fashion-house – has been owned and run by the Missoni family since 1953.

• Target Launch - advertising campaign in many media outlets including:• On-Line, Video, Print,

Television, Social Media, Special Events

• http://www.missoni.com/ing.html

• Missoni uses YOUTUBE for advertising with an “Official Channel”

http://www.youtube.com/missoniofficial

• FACEBOOK

• TWITTER

• Corporate Websitehttp://www.missoni.com/ing.html

http://www.missoni.com/ing.html

• However, Missoni does not post anything about Target line on Facebook for fear of “bringing down” their exclusivity with their regular clientele.

https://www.facebook.com/pages/Missoni/

• Target spent the last two years redesigning their on-line retailing site.

• Was run by Amazon.com, but redesigned with SapientNitro.

• This “new and improved” site was launched just 2 months before the Missoni launch.

SapientNitro is an interactive marketing, creative design & technology services agency that helps companies solve business challenges.

http://www.target.com

Lines formed hours before the stores open at 8:00 a.m.

Fights inside of the store over merchandise all across the country

Sold out of mostly every product within the first two hours.

What happened at the stores?

Target – Towson, MD

What happened on-line? CRASHED!!!! FOR FOUR STRAIGHT HOURS Then posted the following screen:

Tweeted apologies to its followers for the sites inaccessibility

We’re sorry?

Target uses FB to announce launch

But doesn’t use FB to apologize

CNN, Fox and major news channels publish the following on all of their sites:

Furious customers Tweeting, Facebooking etc. their dismay about the products being gone so quickly and not being able to order on-line.

USE SOCIAL MEDIA TO BASH TARGET

Not having enough merchandise

TARGET GETS BASHED FOR:

TARGET GETS BASHED FOR:

Not being able to process on-line orders on-time

And then on-line?

Products sold on ebay for triple or more – uploaded with the first hour

HOMEWORK: Use Blackboard to respond to one or more of these discussion questions (5pts)

Discussion Questions Homework

Do you think social media options (Facebook, Twitter) benefited Target during this crisis? Why or why not?

Which different internet-based tools were used to communicate before, during and after this launch? Were some more successful than others?

Discussion Questions Homework

How has the Internet and social media changed the way retailers have to do business?

What could Target have done differently to make this go more smoothly?

What do you think the future of retailing will look like in 5 years? 10 years? 20 years?

Discussion Questions Homework How did the launch differ between Target and

Missoni in their on-line media advertising? Which products were used vs. not used?

How might Missoni have suffered during this launch? How does this compare to Target?

Items were being offered on ebay within hours of the launch. Why is this positive or negative for Missoni and Target?

Post your own question, thought or comment.