Target - Return anytime Program - New strategy

Return Anytime Program Expect Even More

Limassol Zok, Parsons MS SDM candidate, December 2015

Return Anytime Program Expect Even More

Limassol Zok - Target Return Anytime Program

The Return Anytime Program: Why When Where Expect Even More: Living Up to the Motto

Expect to never worry about what to do with Target purchases that you do not need anymore regardless of why, when, and where.

Why

When

Where

Impulse purchase Undesired gift Not using item anymore Need the money Damaged and useless Moving out Redecorating

Anytime: Whenever you want, as long as you are registered for the program Tomorrow In a month In a year In five years

Online and offline in all Target stores

Limassol Zok - Target Return Anytime Program

Current Long shelf life of Target Purchases Beyond the first year, the problem is: Storage Space Occupancy, Waste, and Frustration Year 1

Year 2

Year 3

Amy put the toy in storage hoping he will ask for it again

Amy got this for her 3 year old son

He got bored of it and wants another toy to play with

The toy stayed in storage for another year

He uses it everyday

...

Finally Amy put it on Craigslist and it took 4 months to sell

Steve never asked for it again

A new model is out. He buys it and puts this one in the drawer

George bought a camera for his hobby

Year 4

The camera is still in the drawer

George puts it in the trash

He cleans out his room and wonders what to do with it She puts it in the basement and never uses it again

Samantha buys this for the living room

She redecorates and it doesn't match anymore.

Current Return Policy Time frame Limassol Zok - Target Return Anytime Program

Untapped opportunities for customer satisfaction and profit

How It Works: Valuable Long-Term Partnerships You let us know when you want to return your product. We leverage our already-existing infrastructure to strike new contracts and long-term relationships for optimal customer satisfaction Condition of Item Returned by Customer

Money Returned

Cost

Action Plan

Benefit

Excellent

100%

Resell to the Public

Shipping

0%

Very Good

50%

Sell to Charity Organizations for 75%

Shipping

25% from Contract

Usable

25%

Sell to Second Hand Shops for 50%

Shipping

25% from Contract

Unusable

0%

Sell to Recycling Companies for 5%

Shipping

5% from Contract

Cut Costs due to more traffic Banking, Paypal, Credit Cards

Limassol Zok - Target Return Anytime Program

If sold out and desirable, upsell for 5% extra

Example: Amazon (cost: $40 monthly)

Available to leverage Shipping Companies

Customer Service Quality Control

Warehouse Storage

Tapping into opportunities of partnerships Some Facts and Figures

$130 bn

23%

Amazon is valued at over $130bn

Amazon has 23% market share for online retail sales

Limassol Zok - Target Return Anytime Program

$14 bn Used goods in USA is a $14bn industry

$6 bn Recycling Facilities in USA is a $6bn industry

3.4 Tons In 2012, USA generated 3.4 tons of waste from electronics

Value for All Stakeholders Sustainable Ecosystem Target

Strong Partnerships

Full Customer Satisfaction

Acquire new customers

Long-term contract with Target

Relief from shopping guilt

Retain existing customers

Recurrent traffic

No worry about waste and shipping

Strong brand loyalty

Acquire new customers

Collect and sell data about shopping habits and preferences

Acquire data about shopping

Limassol Zok - Target Return Anytime Program

Extended Customer Relationship Target may play a key recurring role during the whole lifetime of its products.

Brand Perception: Flexible, Friendly, and Valuable

Increasing Customer Base

Customer Satisfaction

Starting and ending with Target is an effective strategy for increasing customer base Limassol Zok - Target Return Anytime Program

Thank You Limassol Zok limassol.zok@gmail.com linkedin.com/in/limassolzok

Limassol Zok - Target Return Anytime Program