CASECOMPETITIO
NMARINA BALTAEVA MINHYE (ANNA) KIM MARYIA NIKITSINANIRVANI HARRIRAM JASMINE MINGO CHRISTINE URBAN
GROUP
4
What’s the BIG ISSUE?
I think that Target offers fresh produce
I think that Target offers fresh dairy products
I think that Target offers fresh meat
S
AGENDA
• The Grocery Industry• Where Does Target Corp. Stand?• Our Objective• Key Insights• Implementation• Additional Recommendations• Recommendation in action
GROCERY industry
McKitterick, Will. Supermarkets & Grocery Stores in the US. Rep. no. 44511. N.p.: IBISWorld Industry Report, January 2015. IBISWorld. Web.
Key External Driver
Healthy eating index
TARGET’S competition
CostcoWhole Foods
Same day delivery Instacart
Scan IT!ShopWell
FoodEssentials
Apps
UberEssentials
Amazon Fresh
Online stores
TARGET’S desires• Differentiate from Wal-Mart
• Attract young shoppers
• Attract “urban dwellers, younger families, and Hispanics”
*http://www.wsj.com/articles/target-to-focus-on-seven-food-categories-in-grocery-revamp-1425327752
• Add more organic/natural foods
• Less packaged foods
•Desire for “localized assortment” of foods
OBJECTIVE
How can we enhance Target’s product
display and increase consumer engagement
using technology?
SURVEY: Who Responded?
35% 18-2436% 25-347% 35-44
11% 45-547% 55-644% > 65
Age
31%
< $25K
24%$25K-35K
15%$35K-50K
13%$50K-75K
18% > $75K
Income
SURVEY: Change in Course
of the respondents do not use any of Target’s mobile applications
of the respondents do not follow Target on any social media channels
SURVEY: Change in Course
65%
More than half of the respondents
would not like to see their photos
and recipes displayed in Target stores
SURVEY: Shopping at Target
Only 30% of respondents buy Grocery items at Target
Only 32% of respondents buy Health & Wellness products at
Target
SURVEY: Consumers’ Values
Freshness 56%Low Prices 20%
Quality Products 18%
Location 11%
Healthy Options 9%
Wide Variety of Products
7%
In-Store Convenience 1%
Home Delivery, Customer Service, In-
Store Pick Up0%
STEP 2: What do you need?
http://www.ravepubs.com/wp-content/uploads/2013/10/Metrics-and-Analytics-for-ROI-in-Digital-Signage-10-3-13.pptx
BUSINESS
Objectives
CONTENTMarketing Activity
DESIGNPurpose
SOFTWARE
Scheduling
OPERATIONS-Installation
-Maintenance
CONNECTIVITY-Wired
-Wireless-Internet
HARDWARE
Displays
STEP 4: Measure ROI
http://www.ravepubs.com/wp-content/uploads/2013/10/Metrics-and-Analytics-for-ROI-in-Digital-Signage-10-3-13.pptx
• Did you meet objectives?• Call to action
•Divide screen:• Time spent on parts of screen• Types of people who noticed screen
• Interactive survey responses• Prompt results w/coupon
STEP 5: Future TrackingIntel’s Anonymous Video
Analytics• Sensor• Audience impression metric software• Intel Core Processor
STEP 5: Future Tracking cont’d.
Can Detect:• Age bracket• Gender• Distance• Attentive (Yes/No)
Adapts ad content on screen to above info• Ads become relevant
EVALUATION for Ads
http://www.ravepubs.com/wp-content/uploads/2013/10/Metrics-and-Analytics-for-ROI-in-Digital-Signage-10-3-13.pptx
• 1 in 3 consumers bought product after seeing on digital signage
• Dynamic digital signs receive 10 times more eye contact
USE #1:Dynamic Advertising
Make quick and easy changes to
the digital display to show
updates and new
information.
Engage customers
“Enter for a chance to win a $100 grocery
gift card!”
USE #2: Contests
Instant winner!
USE #3: Recipe SearchThere is a
gap between searching
for a recipe at home
and visiting Target to purchase groceries.
Rid the gap with digital
signage.
Walnut Banana Bread PuddingGROCERY LIST
RECOMMENDATION in action
Install one 42” touch screen
monitor in Target stores to increase
awareness of Target’s fresh
produce through increased
engagement
RECOMMENDATION in action
How much would it cost?
One 42” display = about $1650
Annual energy costs = $288 per display
• Startup costs/energy consumption – low
• Maintenance and repair costs – high
RECOMMENDATION in action
How can this increase sales? • Buy from
screen
• CityTarget• Target Express
• Non-perishables
• Decrease space for packaged goods
• Increase space for fresh produce
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