Target, the renowned American retail corporation, realized that the millennial audience was the future of its business. So, Target’s CEO Brian Cornell led his team in a complete marketing makeover. The strategy involved two prongs:
Appeal to millennials who shopped at Target, and;
Bring in new customers that fit the millennial demographic.
The first step in the makeover was revamping Target’s brand image. The company’s overall appearance was made more modern and fresh through use of simple and bright colors. They also revamped their advertising campaigns to focus on lifestyle images and everyday products. All of these changes communicated Target’s message: the store is affordable and trendy.
Target transformed its stores to become more than just a shopping location but a destination. With the use of trendy designer collaborations, Target’s product line made it more alluring for the socially connected and fashion-driven millennials. The stores began to incorporate digital experiences with interactive displays, shoppable Instagram feeds, and mobile payment systems. Target began embracing millennial ways of shopping, making it a more accessible store for its target audience.
Target’s marketing strategy also incorporated a loyalty program to ensure customers keep returning. Here’s what the store offered:
Target Circle, their free rewards program.
Free shipping on orders above a specific price point.
Eco-friendly and socially responsible products to cater to millennial beliefs and values.
The marketing makeover worked wonders for Target. After a rocky period, their sales began to increase, and their stock prices closed on an all-time high. Target’s overhaul approach to its marketing strategy successfully instilled focus on millennial customers.
The case study of Target proves that marketing is a key aspect to grow a business. An effective strategy can help businesses capture the right customer audience, increase sales, and enhance customer loyalty. Today, with the increasing dominance of millennials in almost every industry, it is vital that brands refocus their efforts to appeal to this youthful and socially conscious target group.