Target Case Analysis
1. What benefits does Target receive from its store brands?
• Target is known for their approach to the public as a retailer that offers “design and innovation” and “value as more for less”. Since more consumers are stretching their dollar by purchasing store brands these days, Target has use an excellent marketing strategy by being one of the pioneer in its field developing, launching and integrating more than a dozen store brands. One of its most well-known store brand is “Up & Up” which replaced the general “Target” brand couple of years back. The company’s massive success in recent years has been attributed to their diverse store brands, expanding from three ...view middle of the document...
This could be seen in the huge number of new customers Target has attracted in the recent years. Ultimately being reflected in its more than $72 billion in annual sales although is one-seventh of Wal-Mart’s size, Target’s number one rival.
3. What could Target do in the future to further develop strengths in store brands?
• In my personal opinion, Target should continue to develop a specific portfolio that is specifically targeted to its customer’s needs and likes, while focusing on maintaining the same product quality and variety for each store brand. Through its marketing strategy, the retailer has to assure the consumer they are purchasing the same quality product as if they were buying a national brand at a more affordable price; which at the end is more convenient for the consumer and does not have to sacrifice quality. Target should also expand to the South and Northeast where there are still plenty of attractive locations with no Target presence. This will attract more customers and consequently strengthen its store brands.
4. What potential...