Katie Geiger│ Rachel Weiss │Samantha Tranfa │ Evelyn Ramirez │ Michael Abney

BULLS EYE SOLUTIONS PRESENTS: CITY TARGET

CITY TARGET ISSUES

Urban Trends

Congestion of urban store

Urban consumer mentality

Availability of Space

Shelf Space

Floor Size

SUSTAINABLE COMPETITIVE

ADVANTAGE

Shopping Atmosphere

Trendiness

Clothes

Other Products

STRATEGY│CITY TARGET

DEPARTMENTS

Implement: Department/Product

Category

Implementation Details

Clothing Maintain trendy clothing lines

Food Scale down; focus on items that can be used for quick

meals/snacks Pet Supplies Limited selection

Home Goods Eliminate storage items & shelving units

Small electronics Including electronic accessories

Toy Department Limited to small scale items

Arts & Crafts Limited Selection with a focus on office supplies

Skin Care/Makeup Maintain current selection while eliminating least

profitable product lines.

STRATEGY│CITY TARGET

DEPARTMENTS

Eliminate: Department/Product

Category

Elimination Reasoning

Amenities such as: Not directly correlated to the root

of Target’s brandThe Pharmacy

Optical Center

Starbucks Store

Large electronics Not cohesive with target customers

lifestyle Gardening

Furniture: Home Furniture, Patio

Furniture, Shelving Units

Storage Units

STRATEGY│TARGET TO-GO

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

STRATEGY│TARGET TO-GO

How Does it Work

Reserved Scheduling from 4:00pm-8:00pm

Target Personal Shoppers

$15.00 Minimum Order

Strategic Placement

OPERATING INCOME

FINANCIAL BREAKDOWN

TARGET-TO-GO PROGRAM

FINANCIAL BENEFITS

TARGET-TO-GO PROGRAM

$3,600,000

$3,750,000

$3,900,000

$4,050,000

$4,200,000

$4,350,000

$4,500,000

2012 2013 2014 2015 2016

Effect on Operating Income

Operating Income Income from Target-to-go

VALUATION

$355,055.97

$(50,000)

$305,055.97

($100,000.00)

$0.00

$100,000.00

$200,000.00

$300,000.00

$400,000.00

PV of cash flows Less costs NPV

PAYBACK PERIOD

(50,000)

60,471

183,055

138,061

86,815

96,967

0 1 2 3 4 5

RETURN ON INVESTMENT

OVER THE YEARS

21%

74%94%

176%

266%

0%

50%

100%

150%

200%

250%

300%

2012 2013 2014 2015 2016

RO

I

PHASES

Phase 1

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

• Tech Design

• Layout Design

Phase 2

• Marketing Development :Release of External Advertising & Promotional Material

• Interior Development

• Employee Training

Phase 3

• Utilize Marketing Strategies: Release Internal Promotional Material (In-Store Signs, Brochures)

• Implementation of Target To-Go program

Phase 4

• 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

CONCLUSION

Reduce In-Store Foot Traffic

Reduce Stocking Time

Pertains to Target's SCA

Utilizes urban shopping trends