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Target's Marketing

In: Business and Management

Submitted By Kierston
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During the past few years Target has focused on its microenvironmental factors. They have claimed to have focused on 4 primary causes to the overall factor of the company. First off when you talk about Target you also have to mention their greatest competitor which is Walmart. So, the first stage of these factors is Competitors. The main and well known strategy that they use is very low prices that are resonated with the consumer. This all started when the economy took a plunge into recession and consumers were trying to savor every penny they had in pocket. This led to a decline in market share for target because Walmart then has the largest microenvironment as a competitor with a low costing store. Next on the list of factors is the customers that buy from these stores. As mentioned in the beginning as the recession started customers started relying more on coupons and other ways to save a dollar. This was so wide spread over the U.S. because unemployment rates rose to their all-time highs. Target is very well-known for their style and having slightly higher prices than Walmart for the “better quality” that a customer didn’t have a problem paying before the recession. Overall this idea of being fashionable and spending a few extra dollars on merchandise led to a decrease in customers for Target because they were not being cost savvy for the average customer. If they had done a better job in fulfilling customer satisfaction than Walmart did then they could have had the higher numbers of customers coming through their doors to buy things. If values were reasonable and value worthy they could have kept their customers loyal. Politics and publicity is the next step in what Target’s downfall when talking about microenvironment. Since they have had a fall in consumers in the past not continuing to remain loyal due to the hard time and the falls in the economy Target gains a reputation on the media end of thing. They have set back many people who have invested in their company and been let down due to the complications. Along with this in 2103 we all saw the credit card fraud that they went through which cause many of their customers to flee completely because now they can’t be trusted with their money so why would they try and buy things from there. Lastly, Target’s operations that they uphold in their stores has changed in the past few years and has built the store into more convenience for their customers that they do have and are trying to gain back. In many stores they have added mini-like grocery stores that can give a customer easy access to food selections that weren’t there before. They may not have a very large selection of items but it was more than they had before now. So, now instead of just going for clothing or maybe some sort of appliance it makes the trip there a little more time saving since they can also buy food there. Target’s macroenvironmental factor is mainly gauged by the economy and how it is running in that day in time. Target faced many problems when it came to the economy and hold it stood at the time in which they were competing against Walmart. Over the last ten years the economy as a whole has been rough and at times hit or miss if something is going to survive or die out in the process. With unemployment at its all-time high and inflation skyrocketing people started to have a sense of prudence and monetary sensibility. This has led Target to formulate their “Pay less” strategy and be aggressive when trying to promote this campaign. Target has built their stores into something that is very well-known across the world. Not only have they fault hard against Walmart, but they have fought strong. I believe that they have been doing things right for the entire time they have put their company together and as they began to re-modify it as well. From starting off with good standings, losing so many customers, and modifying their tactics and now coming back into the game is pretty incredible. They are beginning to set themselves apart with the “Pay less” slogan and they also continue to stay aggressive so that they can only go up from where they are now. Granted at the time of which they were trying to start fully engaging this idea they came off a little too harsh in the time period. People were just trying to get by and they didn’t want to overdo anything so that they would regret buying something when they couldn’t afford the simple necessities for life. So, they have chosen the right strategy by all means, they just chose the wrong timeframe to employ it.…...

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