Target case study for Threshold brand.

1. BY
Amanda Allen, Kelsey Buehler, Pierce Ford &

2. AGENDA.
1. Meet the Team
2. Target Facts
3. Project Analysis
4. Support
5. Competitive Analysis
6. SWOT Analysis (Before)
7. Target Market
8. Proposed Implementations
● Think Thresh Augmented Reality
● Celebrity Spokesperson & Product Placement
● Threshold In-Store Displays
1. SWOT Analysis (After)
2. To Do
3. Works Cited

3. MEET OUR TEAM.

4. MEET AMANDA
ALLEN.
HOMETOWN: St. Louis,
Missouri
MAJOR: Business Marketing
YEAR: Senior
WHAT I NEED FROM
TARGET:
Discounted Easter Candy

5. MEET KELSEY
BUEHLER.
HOMETOWN: Liberty,
Missouri
MAJOR: Business Marketing
YEAR: Senior
WHAT I NEED FROM
TARGET:
Everything!

6. MEET PIERCE
FORD.
HOMETOWN: Lamar,
Missouri
MAJOR: Business Marketing
YEAR: Senior
WHAT I NEED FROM
TARGET: Cleaning Supplies

7. MEET CHANDLER
ROBERTSON.
HOMETOWN: Ozark,
Missouri
MAJOR: Biology
YEAR: Senior
WHAT I NEED FROM
TARGET: Groceries

8. Project Analysis
TARGET FACTS.

9. 1960s
● Opened in Roseville, MN, in 1962
● Expands outside of Minnesota
1970s
● Reaches $1 billion in annual sales
TARGET FACTS.

10. 1980s
● Opened stores in Southern California,
the Pacific Northwest, and the
Southeast U.S.
1990s
● Introduced “Expect More. Pay Less.”
brand promise
● Opened first “SuperTarget” store
● Introduced Archer Farms brand
● Implemented website
TARGET FACTS.

11. 2000s
● Opened locations in Alaska and Hawaii
2010s
● Celebrated 50th anniversary in 2012
● Target pledges $1 billion by end of 2015
TARGET FACTS.

12. TODAY
● More than 1800 stores in 49 states
● Employ more than 300,000 team
members
● Seeks to provide enjoyable
shopping experience
● Wants to lead in diversity and
inclusion
● Donates $4 million every week to
charitable causes
TARGET FACTS.

13. TARGET’S PURPOSE
● “Fulfilling the needs and fuel the
potential of our guests”
TARGET’S GUESTS
● Digitally engaged
● Younger families
● Enjoy shopping
● Want quality merchandise at low
price
TARGET FACTS.

14. Project Analysis
PROJECT ANALYSIS.

15. ● In 2012, Target launched the Threshold
brand
● Home product brand featuring
products in:
○ Home decor
○ Kitchen accessories
○ Bedding
○ Furniture
PROJECT ANALYSIS.

16. ● Target strives to have Threshold be of good quality
and good design at value pricing
● Home products brands becoming more popular
● Tend to have high Gross Margin Return on
Investment
PROJECT ANALYSIS.

17. ● Build a dynamic business strategy for the
Threshold Brand that would super-charge its profit
and growth while building long-term brand equity
OUR TASK.

18. Project Analysis
SUPPORT.

19. SUPPORT.
● “89% of consumers began doing business with a competitor following a poor
customer experience.“
● “Two thirds of in-store shoppers will check prices on their phone before making a
purchase.”
● “47% of Millennials say their purchase decisions are influenced by social media.”
● “31.2% of consumers who view product placements show interest in purchasing
the product.”
● “...announcement from a brand signing a celebrity or athlete can cause the stock
prices of the company to rise … sales will likely increase 4% (on average) after
signing a celebrity.”

20. Project Analysis
COMPETITIVE
ANALYSIS.

21. Retail Format Big Box Specialty Department
Quality Low High Medium to Low
Versatility High Medium High
Affordability High Low High
Product
Assortment
Large assortment
of home
furnishings
Upscale traditional
home furnishings
High quality basic
home decor
COMPETITIVE ANALYSIS

22. Retail Format Specialty Specialty Discount Specialty
Quality High Medium Medium to High
Versatility Medium Low to Medium Medium
Affordability Medium High Low to Medium
Product
Assortment
Modern
housewares
Unique, cultural
home furnishings
Upscale
contemporary
home decor
COMPETITIVE ANALYSIS

23. Project Analysis
SWOT ANALYSIS
(BEFORE).

24. Strengths:
1. Quality product
2. Competitive pricing
3. Target Market is ‘Target’ market
4. High GMROI in home goods
5. Private label brand
6. Multichannel marketing
SWOT ANALYSIS (BEFORE).

25. SWOT ANALYSIS (BEFORE).
Weaknesses:
1. Dispersed Product Placement
2. Limited Space
3. Highly Competitive Category
4. Low Threshold Brand Awareness
5. Non-Interactive Store Experience

26. SWOT ANALYSIS
(BEFORE).Opportunities:
1. Enriched Store Experience
2. Open Concept Displays
3. Increased Brand Loyalty
4. Increased Popularity
5. Less Inventory: Higher ROA

27. SWOT ANALYSIS (BEFORE).
Threats:
1. High Competition
2. Lack of Market Share
3. Fast Fashion
4. Price Sensitive Brand

28. Project Analysis
TARGET MARKET.

29. 1. New homeowners
2. Young to middle aged women
3. DIY interior decorators
4. Trendy young professionals
5. Fashion conscious mothers
TARGET MARKET.

30. Project Analysis
PROPOSED
IMPLEMENTATIONS.

31. 1. THINK THRESH™ AUGMENTED
REALITY
2. CELEBRITY SPOKESPERSONS &
PRODUCT PLACEMENT
3. THRESHOLD IN-STORE DISPLAYS
PROPOSED
IMPLEMENTATIONS.

32. Think Thresh™ Augmented Reality
PROPOSAL #1.

33. AUGMENTED REALITY.

34. 1. Choose in-store Think Thresh™ kiosk or downloadable Think Thresh™ app
2. Upload a photo of your room or use a Threshold pre-set room
3. Select Threshold items you wish to appear
4. Place Threshold items
5. Check out room variations and pick your favorite Thresh look!
6. Confirm
7. Choose in-store pick up or home delivery
THINK THRESH™
AUGMENTED REALITY.

35. Uploaded Room: Chosen Threshold Items:
EXAMPLE.

37. Increases brand awareness
Allows for customization
Reduces returns
Increases in-store time
Easy pricing
Increases omnichannel presence
Convenience
THINK THRESH™: Advantages

38. Celebrity Spokespersons & Product
Placement
PROPOSAL #2.

39. 1. Forge relationships with well-known individuals
● HGTV and Food Network
2. Use those celebrities in advertisements
3. Celebrity spokespersons not foreign to Target
CELEBRITY
SPOKESPERSONS.

40. CELEBRITY
SPOKESPERSONS EXAMPLE.

41. CELEBRITY SPOKESPERSONS:
Advantages
● Enhances brand equity
● Transfer bonds from celebrities to products
● Many avenues to promote through
○ Television
○ Social Media
○ Blogs
○ Websites

42. 1. Place Threshold Brand in celebrity spokespersons’
television shows
2. Encourage celebrity spokespersons to use their
products on their shows
3. Provide decor on cooking shows
PRODUCT PLACEMENT.

43. PRODUCT PLACEMENT.

44. PRODUCT PLACEMENT
EXAMPLE.

45. ● Do not feature a direct call to action
● Increase consumer awareness toward brand
● Generate positive feelings toward the brand
● Reaffirm purchase decisions
PRODUCT PLACEMENT: Advantages

46. Coordinated End Cap Displays
PROPOSAL #3.

47. 1. Coordinated End Cap Displays
2. Threshold Shelf Strip Labels
3. Semi-Permanent Flex Panel Point of Sale Displays
THRESHOLD DISPLAY.

48. COLUMBIA THRESHOLD
DISPLAY.

49. THRESHOLD DOLLHOUSE.

50. END CAP DISPLAY
EXAMPLE.

51. THRESHOLD END CAP DISPLAY:
Advantages
● Increase Brand Recognition
● Increase Brand Equity
● Enhance Guest In-Store Experience
● Encourage Impulse Buys
● Cost-effective
● Easy Installation

52. Furniture Collection:
Gilford
Category:
Patio

53. Increase brand
recognition
Guide the guest
Highlight the shelf
talkers
THRESHOLD SHELF STRIP
LABELS.

54. FLEX PANEL POINT OF
SALE EXAMPLE.

55. Project Analysis
SWOT ANALYSIS
(AFTER).

56. Strengths:
SWOT ANALYSIS (AFTER).
Additions:
1. Public Recognition
2. Low Threshold Inventory
3. Extended Guest Visits
4. Interactive Shopping Experience
5. Social Media Presence
6. Omni-Channel Maximization
7. Increased Inventory Turnover

57. SWOT ANALYSIS
(AFTER).Opportunities:
1. Increased Profits
2. Market Share Expansion
3. Satisfied Loyal Guests
4. Threshold Link with REDcards
5. Threshold Popup Stores
6. Reaffirmed Quality and Value

58. Project Analysis
TO DO.

59. 1. Employ augmented reality kiosk & app
2. Develop relationships with celebrities and
television programs
3. Create company wide planograms for new and
improved Threshold displays
TO DO.

60. QUESTIONS?

61. WORKS CITED.
$4 Million Every Week: A Brief History of Target's Community Giving. (2012, October 30). Retrieved April 11, 2017, from
https://corporate.target.com/article/2012/10/4-million-every-week-a-brief-history-of-Target-s-c
Carly Rae Jepsen And Target Team Up For Celebrity Endorsement Ad Debuted At Grammy's. (2017, February 17). Retrieved April 11, 2017, from
http://blog.hollywoodbranded.com/carly-rae-jepsen-and-target-team-up-for-celebrity-endorsement-ad-debuted-at-grammys
Clow, K. E., & Baack, D. (2016). Product Placements and Branded Entertainment. In Integrated Advertising, Promotion, and Marketing
Communications (Seventh ed., pp. 287-290). Pearson.
Clow, K. E., & Baack, D. (2016). Sources and Spokespersons . In Integrated Advertising, Promotion, and Marketing Communications (Seventh ed.,
pp. 173-174). Pearson.
Houk, E. (2017, February 14)."Target Case Study": Moving from Owned Brands to Amazing Brands! Lecture.
Influencer Marketing Statistics. (2017). Retrieved April 17, 2017, from https://www.tapinfluence.com/influencer-marketing-statistics/
Lunka, R. (2016, May 10). Retail Data: 100 Stats About Retail, eCommerce & Digital Marketing. Retrieved April 17, 2017, from
https://www.nchannel.com/blog/retail-data-ecommerce-statistics/

62. WORKS CITED CONTINUED.
Purpose & Beliefs. (2017). Retrieved April 11, 2017, from https://corporate.target.com/about/purpose-beliefs
Spruce Up Your Bedroom With Emily Henderson and Threshold. (2017, January 12). Retrieved April 15, 2017, from
https://corporate.target.com/article/2017/01/emily-henderson-threshold-bedding
Target Global Locations: USA, Canada, India. (2017). Retrieved April 11, 2017, from https://corporate.target.com/careers/global-locations
Target Threshold. (n.d.). Retrieved April 17, 2017, from http://www.chudetat.com/dollhouse
Target Through the Years. (2017). Retrieved April 11, 2017, from https://corporate.target.com/about/history/Target-through-the-years
The Economics of Product Placements. (2013, December 4). Retrieved April 17, 2017, from https://priceonomics.com/the-economics-of-product-
placements/
(n.d.). Retrieved April 5, 2017, from http://www.target.com/c/threshold/-/N-56clv
Durham, C. (2015, January 05). Target’s NEW Threshold Debuts! Retrieved April 1, 2017, from http://mypbrand.com/2012/08/28/targets-new-threshold-
debuts/

63. WORKS CITED CONTINUED.
Kohl's | Shop Clothing, Shoes, Home, Kitchen, Bedding, Toys & More. (n.d.). Retrieved March 25, 2017, from https://www.kohls.com/
(n.d.). Retrieved March 25, 2017, from http://www.potterybarn.com/
IKEA.com - International homepage. (n.d.). Retrieved April 9, 2017, from
http://www.bing.com/cr?IG=8EDB5484FA654A049D2257CED98EAA92&CID=336D067D708B63CA00730C15711B626A&rd=1&h=lTxccPqen3DFnBX
SxdlYatFfzRrmD_vczzOEtAbt42o&v=1&r=http%3a%2f%2fwww.ikea.com%2f&p=DevEx,5063.1
Furniture, Home Decor and Wedding Registry | Crate and Barrel. (n.d.). Retrieved March 26, 2017, from https://www.crateandbarrel.com/
HomeGoods | Blog | Unique Home Decor and Affordable Home Furnishings. (n.d.). Retrieved March 28, 2017, from http://www.homegoods.com/
Threshold Dollhouse. (n.d.). Retrieved April 5, 2017, from https://corporate.target.com/article/tag/2863/Threshold-Dollhouse