TARGET PRESENTATIONDione Jones Jr.Leul HaimanotImani Mincey

The problem

Target has always been known as everything but a food supplier store. How can they use technology to increase awareness and sales in that field?

TechnologyAdvancement of mobile technology: Accessible coupons to be used in/out store Information about weekly specials & new additions

In store promotion

Other promotions Commercials Outside of store promotion to remind customers

The online business

Marketing strategy needs to change!(sell following items in bulk and the need to go to grocery store frequently disappears) According to recent studies, people are more

inclined to buying 3 main items online Focus on putting ads in most searched fields

Strengths

30+ distribution centers. 1,778 Target stores

(2013) Increased yearly sells Convenience. Sponsorship of major

events. Second largest retailer. Slowly trying to expand

food section. Brand name (U.S.

known).

Strong mobile revenues.

Ranked #4 in 2013 for grocery sales.

Grocery sales have increased over the past 2 years.

Establishing a presence in organic food options for customers.

“Market Pantry”, “simply balanced” are doing well in sales

Weaknesses

International recognition. High prices No recognition as a food supplier. Amount of shelf space for

groceries. Lack of food promotion (in and

out of the store) Recalls on certain food products. Not as many stores as Walmart. No deli or bakery Not many deals on food. Store’s atmosphere (its too quiet) Product positioning in store is not

appealing Use of shelves

Known as a “add-on-sale store”. To many processed foods. Small grocery section. Grocery section is located in the

corner of the store. Food arrangement could be

better. Narrow product line. Lack of fresh food (fruits,

vegetables and poultry) Very disorganized Understaffed ( no shelf

maintenance) No self checkout in regular stores Sensor lights

Opportunities

Growing popularity of online shopping.

Advertise food with the most popular area of online shopping for Target shoppers.

Expand there distribution centers. Develop more super targets. Position more Target stores in

urban areas. Have full target grocery stores. Build stronger relations overseas. Make target a destination for

affordable groceries Increase Organic food supply. Remodel grocery section for

current Target stores.

Strengthen relations with American fresh food distributors.

Remodel Targets image around Groceries.

Sell in bulk instead of individually.

Allow shoppers to purchase food online.

Allow shoppers the option to have cash back on Target cards when purchasing grocery foods.

Build food inventory using shopping data

Expand own brands to local convenience stores

Music in store

Threats

Wal-Mart Costco Current state of the

economy. Amazons expansion

into groceries. Discount

dollar/convenience stores

Legal sanctions? Unions?

Rise of minimum wage Problems with

customers to this day (credit card double charge and safety of information is compromised in store and online)-”cash only”, ”I will never use my credit card there” FB

Bad image

Creating shopper profiles

What is the shopping trend when it comes to groceries? (in-store and online)

TESLON

Product positioning

Place target product with brand name product to show price difference since price determines decision

Efficient use of space and stocking

In store ad placement and lighting

Put ad instead of 2 big freezer bags

Ad on top instead of plain red paint

Sensor lights are ruining the image of the store

Fresh produceLack of fresh fruit variety

Lack of baked goods

Create social networking pages that promote their food.

Creating social networks that strictly promote the groceries that Target has to offer.

Come up of a better way to save money (guarantee lowest price)

Yes, customers are giving feedback about what they want to see inside the store. Has target actually been successful in meeting demands?

Digital-In-Store Promotions

Creates awareness on new products More appealing store Use eye catching ads on TV screens in the

electronic departments to promote all their products (and other similar areas that allows it)

Have central ad screen and appealing visual monitors in specific areas of the grocery section

Strategy

All in store lighting in general is very important. Fridges should always be bright so that customers can see it

Keep up with stocking items so customers have what they need, when they need it (Telson)

Set up bakery since baked goods are very popular and under stocked

More fresh fruits and vegetables

Digital in store promotion

Advertisement Guarantee lowest price Expand own brand into

making as many food products as possible

Target grocery store Fresh deli section