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B ULLS EYE S OLUTIONS P RESENTS :
C ITY TARGET
Katie Geiger│ Rachel Weiss │Samantha Tranfa │ Evelyn
Ramirez │ Michael Abney
C ITY TARGET I SSUES



Urban Trends





Congestion of urban store
Urban consumer mentality

Availability of Space


Shelf Space



Floor Size
S USTAINABLE C OMPETITIVE
A DVANTAGE


Shopping Atmosphere



Trendiness


Clothes



Other Products
S TRATEGY │C ITY TARGET
D EPARTMENTS
Implement:
Department/Product
Category
Clothing
Food

Pet Supplies
Home Goods
Small electronics
Toy Department
Arts & Crafts
Skin Care/Makeup

Implementation
Details
Maintain trendy clothing lines
Scale down; focus on items
that can be used for quick
meals/snacks
Limited selection
Eliminate storage items &
shelving units
Including electronic
accessories
Limited to small scale items
Limited Selection with a focus
on office supplies
Maintain current selection
S TRATEGY │C ITY TARGET
D EPARTMENTS
Eliminate:
Elimination
Department/Product
Reasoning
Category
Amenities such as:
Not directly
correlated to the root
The Pharmacy
of Target’s brand
Optical Center
Starbucks Store
Large electronics
Not cohesive with
target customers
Gardening
lifestyle
Furniture: Home
Furniture, Patio
Furniture, Shelving Units
Storage Units
S TRATEGY │TARGET TO -G O
What is the Program
Online Service/Phone App to
order groceries off site

$9.99 a month
Gather Groceries from In-Store
Pick-Up Window
S TRATEGY │TARGET TO GO


How Does it Work


Reserved Scheduling from 4:00pm8:00pm



Target Personal Shoppers



$15.00 Minimum Order



Strategic Placement
O PERATING I NCOME
F INANCIAL B REAKDOWN
TARGET-TO - GO P ROGRAM
F INANCIAL B ENEFITS
TARGET-TO - GO P ROGRAM
Effect on Operating
Income
$4,500,000
$4,350,000
$4,200,000
$4,050,000
$3,900,000
$3,750,000
$3,600,000
2012

2013

Operating Income

2014

2015

Income from Target-to-go

2016
VALUATION
$400,000.00

$355,055.9
7

$305,055.9
7

$300,000.00
$200,000.00
$100,000.00
$0.00
PV of cash flows

($100,000.00)

Less costs

$(50,000)

NPV
PAYBACK P ERIOD

0

1

(50,00 60,47
0)
1

2

3

4

5

86,81
5

96,96
7

138,0
61

183,0
55
R ETURN ON I NVESTMENT
OVER THE Y EARS
300%
266%
250%

ROI

200%

176%

150%
94%

100%
50%

74%
21%

0%
2012

2013

2014

2015

2016
PHASES

Phase 1

Phase 2

Phase 3

Phase 4

• Preliminary Marketing Tactics (Ex. Email blasts to build anticipation)
• Tech Design
• Layout Design

• Marketing Development :Release of External Advertising & Promotional Material
• Interior Development
• Employee Training

• Utilize Marketing Strategies: Release Internal Promotional Material (In-Store
Signs, Brochures)
• Implementation of Target To-Go program

• Evaluation
• Amendment (if needed)
FALL- OUT


Low guest response



Higher than expected turnout



Poor customer service


Allergies



Application failure and technological
glitches



Poor inventory tracking
C ONCLUSION


Reduce In-Store Foot Traffic



Reduce Stocking Time



Pertains to Target's SCA



Utilizes urban shopping trends

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City Target Presentation

  • 1. B ULLS EYE S OLUTIONS P RESENTS : C ITY TARGET Katie Geiger│ Rachel Weiss │Samantha Tranfa │ Evelyn Ramirez │ Michael Abney
  • 2. C ITY TARGET I SSUES  Urban Trends    Congestion of urban store Urban consumer mentality Availability of Space  Shelf Space  Floor Size
  • 3. S USTAINABLE C OMPETITIVE A DVANTAGE  Shopping Atmosphere  Trendiness  Clothes  Other Products
  • 4. S TRATEGY │C ITY TARGET D EPARTMENTS Implement: Department/Product Category Clothing Food Pet Supplies Home Goods Small electronics Toy Department Arts & Crafts Skin Care/Makeup Implementation Details Maintain trendy clothing lines Scale down; focus on items that can be used for quick meals/snacks Limited selection Eliminate storage items & shelving units Including electronic accessories Limited to small scale items Limited Selection with a focus on office supplies Maintain current selection
  • 5. S TRATEGY │C ITY TARGET D EPARTMENTS Eliminate: Elimination Department/Product Reasoning Category Amenities such as: Not directly correlated to the root The Pharmacy of Target’s brand Optical Center Starbucks Store Large electronics Not cohesive with target customers Gardening lifestyle Furniture: Home Furniture, Patio Furniture, Shelving Units Storage Units
  • 6. S TRATEGY │TARGET TO -G O What is the Program Online Service/Phone App to order groceries off site $9.99 a month Gather Groceries from In-Store Pick-Up Window
  • 7. S TRATEGY │TARGET TO GO  How Does it Work  Reserved Scheduling from 4:00pm8:00pm  Target Personal Shoppers  $15.00 Minimum Order  Strategic Placement
  • 8. O PERATING I NCOME
  • 9. F INANCIAL B REAKDOWN TARGET-TO - GO P ROGRAM
  • 10. F INANCIAL B ENEFITS TARGET-TO - GO P ROGRAM Effect on Operating Income $4,500,000 $4,350,000 $4,200,000 $4,050,000 $3,900,000 $3,750,000 $3,600,000 2012 2013 Operating Income 2014 2015 Income from Target-to-go 2016
  • 12. PAYBACK P ERIOD 0 1 (50,00 60,47 0) 1 2 3 4 5 86,81 5 96,96 7 138,0 61 183,0 55
  • 13. R ETURN ON I NVESTMENT OVER THE Y EARS 300% 266% 250% ROI 200% 176% 150% 94% 100% 50% 74% 21% 0% 2012 2013 2014 2015 2016
  • 14. PHASES Phase 1 Phase 2 Phase 3 Phase 4 • Preliminary Marketing Tactics (Ex. Email blasts to build anticipation) • Tech Design • Layout Design • Marketing Development :Release of External Advertising & Promotional Material • Interior Development • Employee Training • Utilize Marketing Strategies: Release Internal Promotional Material (In-Store Signs, Brochures) • Implementation of Target To-Go program • Evaluation • Amendment (if needed)
  • 15. FALL- OUT  Low guest response  Higher than expected turnout  Poor customer service  Allergies  Application failure and technological glitches  Poor inventory tracking
  • 16. C ONCLUSION  Reduce In-Store Foot Traffic  Reduce Stocking Time  Pertains to Target's SCA  Utilizes urban shopping trends

Notas do Editor

  1. Rework slide to transition into program.
  2. Evelyn. Talk about opportunity of food and wanting to keep the target feel. SWOTSize and Strong Brand ImageDecreased Customer Discretionary SpendingFood
  3. essentially taking part in a form of “curbside” grocery service
  4. Reserved Scheduling: set to handle 10 customers every 30 mins—with all orders in by 1:00 pm on the day they will be picked up Target Personal Shoppers: Gather items from Backroom Inventory-reduce shocking time Hours: meet the needs of customers coming home from work
  5. Changing
  6. katie
  7. Evelyn
  8. Michael