Target learned a lot from its mistakes during last year’s winter holiday season. The retailer kept to the traditional marketing strategies. Clients were bombarded with ads and specials without a moment of peace. However, the sales remained weak during the most fruitful period of time for retailers of the year. Under these conditions, the company took time to reflect on what happened. The lesson they learned was to stop the frenzy and be more mindful in their marketing efforts. This year, the Christmas spirit will be enjoyed no earlier than after Thanksgiving.
Last Year’s Decline Started with Black Friday 10-Day Promotional Campaign
Last Christmas season, Target recorded a 1.3% decline. Giving that this is the most important quarter of the year, the fiscal report appeared inexplicable. Therefore, executives planned to extract valuable lessons from this mishap and apply them this year. As a result, their 2017 winter campaigns will be easier to understand and in fewer numbers.
Based on last year’s performance, Target understood that the beginning of sales decline started on Black Friday. The retailer offered a 10-day promotion. However, consumers got hard to impress after this massive campaign. Therefore, this year’s plan is to act milder with customers’ radar for discounts. In the end, less will be more.
The Christmas Spirit Will Appear in Target Stores Only After Thanksgiving
On the other hand, the company has to strike a balance between moderation and rivals’ competitive prices. Walmart and Amazon.com have some of the most appealing price cuts, and Target has to keep up with them.
Therefore, the company plans to emphasize special promotions on weekends only. Target’s chief merchandising officer, Mark Tritton, told media of his company’s focus on the dangers of deal fatigue.
“We will have meaningful promotions. But priced right daily will be our regular drumbeat.”
Target will also resist the trend of promoting the winter season early. Instead, it will focus more on home décor and meal preparations that Thanksgiving entails. Only after Americans finish celebrating this national holiday will Target teams start recreating the Christmas spirit for retailer’s customers.
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