Omni-Channel Evolution: A Case Study of Target Corporation's Strategy

This report examines the evolution and impact of omni-channel strategies in retail, focusing on Target Corporation as a case study. It highlights Target's seamless integration of physical and digital shopping experiences, including initiatives like Drive-Up and the acquisition of Shipt for same-day delivery. The analysis contrasts Target's approach with competitors like Walmart and suggests strategies for future sustainability, such as simplifying marketing channels, enhancing the customer buying experience, and mobilizing offers through technologies like beacons. The report concludes that Target's consistent performance in omni-channel retail and revenue growth indicate a positive trajectory for leveraging these strategies to serve customers effectively. Desklib is your go-to platform to access a wide array of solved assignments.

Running head: IMPACT OF OMNI-CHANNEL IN RETAIL
IMPACT OF OMNI-CHANNEL IN RETAIL
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Author Note

1IMPACT OF OMNI-CHANNEL IN RETAIL
The study is particularly aimed in stating about the evolution of the Omni-channel
strategy for the retail companies. Target Corporate is considered for this particular study.
This is a retail organization that is dealing with several products creating a seamless
experience for the customers and have been a part of American retail since 1962
(www.target.com, 2019). Omni-channel is the way to that various options like physical
shopping, teleshopping as well as online shopping are integrated in such a way that it can
create a seamless experience for the customer (Frazer & Stiehler, 2014). The following
paragraphs are evaluating the evolution of Omni-channel discussing the factors that have
been a part of it and states the ways to improve existing Omni-channel strategy of the
providing seamless and integrated experience to the custormer.
Omni-channel is one of the key factors that involves providing seamless experience to
the customer being integrating various methods of shopping. Target a well-known player in
providing the integrated as well as seamless experience have set an example by having
diversity in the delivery options by providing Drive-Up for those who wants to pick up their
order, where the employees load the orders of their online customers, in their cars along with
this option the availability of next-day as well as same-day delivery by the acquired company
Shipt (www.target.com, 2019). The company not only have focused on the online experience
but also have emphasize on remodeling of the existing stores to enhancing the experience of
the customer.
Target is a rising company with the positive financial report in 2017 which stated
9.7% of growth in the net earnings of the company (www.target.com, 2019). The primary
completion of Target in the Omni-channel retailing is Walmart. While offline retail
experience of Walmart is better than Target the Omni-channel strategy has been taken wisely
by Target Corporate with their investment in Shipt to ensure the next-day and same-day
Fig: Drive Up Process
Source: Target Corporate

2IMPACT OF OMNI-CHANNEL IN RETAIL
completion of Target in the Omni-channel retailing is Walmart. While offline retail
experience of Walmart is better than Target the Omni-channel strategy has been taken wisely
by Target Corporate with their investment in Shipt to ensure the next-day and same-day
delivery. Their strategy to restructure the store have given them a strong point along with
enhancing the customer support by introducing chat-bots (www.target.com, 2019).
The key factor that enables any organization to ensure sustainability is to strategize
for the future. While competing in the fierce retail market of United States, Target must
employ some strategies to ensure the sustainability of the organization. First strategy that can
be adopted is to simplification and synchronization of all the different marketing channels
(Cummins, Peltier & Dixon, 2016). Target is using different channels to reach their customer
and synchronizing and simplifying them can be good step for example simplifying web
interface and mobile interface. Second strategy that can considered is to enhance the buying
experience of the customer (Verhoef, Kannan & Inman, 2015). For example, better point of
view and better customer support can enhance the buying experience of the customer. Third
strategy that can be adopted by the adopted is mobilization of the offers (Thamm et al., 2016).
Beacons can send several offers to a customer’s mobile regarding the particular section where
the customer is visiting to buy any product. This enables continuous communication
throughout the action of buying.
To conclude this study, it has been observed that the Target is a consistent performer
in the Omni-channel retail and have taken measures to ensure about the sustainability in the
market. Growth in the company’s revenues does gives a positive indicator for Target to
utilize their Omni-channel marketing in best of the possible ways to ensure the ultimate goal
of serving customer.

3IMPACT OF OMNI-CHANNEL IN RETAIL
References
Cummins, S., Peltier, J. W., & Dixon, A. (2016). Omni-channel research framework in the
context of personal selling and sales management: a review and research
extensions. Journal of Research in Interactive Marketing, 10(1), 2-16.
Frazer, M., & Stiehler, B. E. (2014, January). Omnichannel retailing: The merging of the
online and off-line environment. In Global Conference on Business & Finance
Proceedings (Vol. 9, No. 1, p. 655). Institute for Business & Finance Research.
Target Corporate. (2019). Retrieved from
https://corporate.target.com/press/releases/2017/12/target-to-acquire-same-day-
delivery-platform-shipt
Thamm, A., Anke, J., Haugk, S., & Radic, D. (2016, July). Towards the omni-channel:
Beacon-based services in retail. In International Conference on Business Information
Systems (pp. 181-192). Springer, Cham.
Verhoef, P. C., Kannan, P. K., & Inman, J. J. (2015). From multi-channel retailing to omni-
channel retailing: introduction to the special issue on multi-channel retailing. Journal
of retailing, 91(2), 174-181.