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THE RETAIL WAR HAS JUST BEGUNA RING SIDE VIEW.

3/19/12

Referees :

Satish Shetty MMM -09-30 Chikhlikar MMM-09-01 Vanjara MMM-09-26 Jadhav MMM-09-08 Patel MMM-09-13

Sangeet Digesh Rupesh

Bhavesh

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Shuruvaat

Wal-Mart Facts

Type of Organization:PublicCompany

Foundation:Rogers,Arkansas,UnitedStates ofAmerica Founder:SamWalton.StartedWalmartin 1962 Current Headquarters:Bentonville,Arkansas, UnitedStatesofAmerica 3/19/12

TargetopeneditsfirststoreinRoseville,Minnesota, in1962. Isanupscalediscounterwithafocusonthehighquality,on-trendmerchandiseguestswant,plusthe everydaybasicsallfamiliesneed,allataffordable prices.Itscombinedemphasisonstyle,quality, affordabilityandclean,attractivestoresmakesita one-of-a-kind. Targetoperates1,683storesin48states,including 239SuperTargetstores,1,519pharmacies,325 opticalcentre,186portraitstudios,916Starbucks, 1,165one-hourphotoprocessinglabsand28health clinics. Targetstotalstoresquarefootageis222,420,000 squarefeet. 3/19/12

WALMART Position Employment Presence Revenue Equality Ranked No. 1 2.1 million employees 8,986 retail units in 15 countries

TARGET Ranked No. 2 351,000 employees 1,684 stores in 48 states

$405.6 billion annual revenue $64.9 billion annual revenue Score of 40 on the Human Rights Campaign equality index The average US Wal-Mart customer's income is below the national average, and analysts recently estimated that more than one-fifth of them lack a bank account, twice the national rate Score of 100 on the Human Rights Campaign equality index Target stores tend to attract younger and more educated and affluent customers than its competitors

Customer Type

Health

47.4% of Walmart associates Target offers full benefits to get health-care coverage from eligible managers and scaled Walmart; Customer benefits for hourly workers; satisfaction: 68% to 70% customer satisfaction: 77% depending on store category

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Marketing Wallmart

Every Day Low Pricing:

Fromthestart,Wal-Mart'sfocuswasallabout EveryDayLowPricing,anditremainstrueeven today."Whatwewereobsessedwithwaskeepingour pricesbeloweverybodyelse's,"saidSamWalton.

Simplicity:

ThebeautyofWal-Mart'smarketingprogramisit's simplicity.Ithasengenderedatrustwithcustomers thattheywillalwaysfindthatlowprice,andchances aregoodthataproductwillalwaysbeinstock.

Reputation:

Wal-Mart'severydaylowpriceprogram,abettedby lowoperationalcostsandtightcontrolonexpenses, hasresultedinWalmartearninganationwide reputation.

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Advertising Wallmart

Walmart Success Mantra

Customersshouldbeprovidedwhattheywant, whentheywantit,allatavalue&Treatingeach otheraswewouldhopetobetreatedacknowledging ourtotaldependencyonouremployeestosustainour success

Advertising Cost

Wal-Martspendamereonethirdofonepercentin advertisements--wellbelowtheindustryaverageof approximately2%ofsales

Change Management

Walmartisalwayswillingtotrynewthings.Even employeesarecontinuallychallengedtolookforways toimprovestoreformats,merchandisedisplays, servicesandtechnology

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SWOT Analysis (Target)

Strengths -Brand -MarketPresence -Design InnovativeMarketing Techniques Weaknesses -GeographicLocations -LackofVisionStatement -Litigations

Opportunities Threats -GlobalExpansion Competition EnteringuntappedUS Economy Markets Continuedgrowthinprivate labelproducts

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Target Ka Marketing

Pay Less + Expect More:

Pay Less + Expect More-ishowTargetsetsits selfapartfromitscompetitors

Logo:

Targethasafamousredbulls-eyesymbolthat mostconsumersknow;andresearchshowsthat96% ofpeoplerecognizetheTargetbulls-eyeoverApple andNike.

Positioning:

Targetdecidedtorepositionitselfasamass merchandiserofaffordablechicgoods,insteadof 3/19/12

Continued

Customer Profile:

Targetcustomersfallintothecategoryofesteem basedonMaslowsNeedHierarchy,lookingforstatus, superiority,self-respectandprestige.

Product Display:

Targetdevelopedanimageanddisplayed productsthatmatcheditscustomerslifestylesand createdenhancedmerchandisedisplays.Itoffereda mixofprivatelabelsandnationalbrandsincreative andinnovativelayoutsanddisplays.

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AD- Baazi

wallmart advt.htm

watch (1).htm

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What Target is already doing.

Novelty

TheideaofprovidingTargetSmartVisacardstoits customers,RunningtheStoresinaBoat&opening SpecialSummersStores(BullseyeInn)surprised& delighted&helpedinstrengtheningtheBrand& deepenrelationshipwithCustomers.

Advertisement

AnadCirculareverySunday,wasabletoproject animageofStyle&sophisticationtothecustomers. Targetpositioneditselfasbeingstylish,affordable& trendy.

Promotions

InitiativeswithAOl,Amazon.com& Collegestudent.comofferingcustomerfriendlyonline shoppingwithpersonalized&uniqueshopping experiencewasamajorhitamongTargetcustomers.

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Target for target

Expansion

Targethasan excellent reputationwith theirbrandsat

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Target for target

New Territory

Expandintothethreeremainingstateswherethereare currentlynoTargetstores.

Private Labels

Targetshouldalsocontinueexpandingtheirprivatelabel brands.OneinFiveproductspurchasedinretail establishmentsareprivatelabelproducts.

Sell off Non profitable divisions

Targetshouldconsidersellingofftheirfinancialservices division.Theyarecurrentlyholding$7billionincreditcard receivables.Withthecurrentcreditcrunchoccurringinthe USitmaybeprudenttoavoidsufferingdefaultsonthese creditcards 3/19/12

Target markets for target

Gender Bender

Beingthat93%ofTargetsregularshoppersarewomen, itwouldmakesensetomarkettheirstorestothemale population.

Age

ThemedianageoftheTargetshopperis41yearsofage. SinceTargetisatrendy,hipplacetoshoptheyneedto marketthemselvestotheyoungergenerations.

Income

Targetalowerincomebracket.Theaverageincomefor Targetshoppersis$63K.Consideringincomelevelsare droppingandothereconomicwoes,Targetwouldbewiseto markettheirExpectMore-PayLessphilosophyevenfurther

New Born

Targetshouldtargetthenewparents.Itcurrentlyhasa babyregistryforexpectingparents.Theyshouldconsider runningpromotionsforthenewparentsoncethebabyis 3/19/12

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