Paper Example. Target Corporation Strategic Analysis

The following is a strategic analysis of the Target Corporation, which is in the discount store industry but is in the service sector (Target Corporate, 2015). The store makes an offering of the products common in the market but considers a price reduction. Some of the products offered include cosmetics, electronics, jewelry, domestic furnishing products, and apparel. There is an examination of Target's value proposition, marketing strategies, current status, and how they can improve in offering customer value.

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Value Proposition

The concept of a value proposition is based on saving and providing benefits to the customers who are attractive, hence ensuring they are retained. Target Corporation ensures that the consumers can access both financial and social equity, which is crucial in ensuring the sustainable success and growth of their corporation. Moreover, Target Corporation has invested greatly in the design of their products. Great designs of their products have made shopping fun, surprising, smart, and energetic, which ensures the customers look forward to their next shopping in their stores. Not only are the designs visually appealing for their customers, but they are made affordable for almost everyone shopping with Target Corporation. Generally, the customers are satisfied with the simplicity and experiences they obtain when shopping with Target Corporation.

Strategies for Customer Value

Target Corporation has done well to optimize, communicate, and deliver customer value through investing in its employees. Additionally, there are plans for opening new stores, increasing revenue, and developing the approach of channel-agnostic. The increased revenue in the operations of Target Corporation would enable the business organization to increase its customer value as there is improved equity and profits accrued. Whereas the development of the channel-agnostic approach works to influence the demands by shoppers. Therefore, the shopping demands by the customers tend to be made easier as they can now shop at their convenience. For instance, customers can now shop anywhere and anytime. Investment in the employees leads to the presence of happy employees, subsequently happy customers. The appreciated employees would then give the utmost effort for the company to make Target Corporation a productive working environment. Whereas, the new stores would ensure the customers have a variety of stops to do their shopping, hence increased convenience. The convenience and satisfaction of the customers are essential success factors for micro-marketing and micro-merchandising.

Current Status

Target Corporation's current customer service status is satisfying for consumers based on convenience. That includes the implementation of the shopping on-demand approach, whereby customers' shopping experiences are simplified (Target Corporate, 2015). The physical stores are made more local, whereas online shopping portals have the capability of meeting the latest customer demands. Target's latest marketing strategy is based on an urban format, whereby the focus is on fast-growing, and densely populated locations. That has been profitable, as evidenced by improved gross margin performance from the city stores. Target Corporation is facing stiff competition from key competitors with regards to shopping locations, for instance, Wal-Mart. However, the organizational responsiveness by Target Corporation is positive as they have plans of opening new locations, and increasing their revenue to boost their operations in new locations.

Creating Superior Customer Value

Target Corporation can create superior customer value through advertising and focusing on price competitiveness. Some of key Target's competitor has a competitive price which places them in a better position. However, Target should uphold employee appreciation to continue delivering high-quality products that sustain the consumer base.

Reference

Target Corporate. (2015). Corporate Responsibility: Here for Good | https://corporate.target.com/corporate-responsibility