How Target is making the change
I recently wrote about how critical operations is going to be for organizations as they manage the ever-increasing complexity of customer interactions, tailored content, and advanced analytics. I really believe that's going to be the make or break capability for companies who want to be relevant in our digital age.
In an interview with Jeff Jones, the CMO of Target, that we recently published, this transformation really comes through. It's fascinating to see how a company that's enjoyed such creative success is building on it but putting in place organizational and operational changes. He says: "Our organization has to be dynamic because the world is dynamic. We’re thinking about how to create the best holistic experience for our guests but we have to be very careful and go one step at a time. Target does many things extraordinarily well… at scale; you can’t just blow that up to be dynamic." It's a great point about the balancing act required to make necessary changes while keeping in place what's working well. His interview highlights the very deliberate approach needed to change an organization to maintain that balance while at the same time moving teams and business units in a new direction.
One great idea Jeff highlights is creating a more collaborative environment where teams representing owned, earned, paid, and shared media come together come together at the beginning of a marketing campaign. It's an important shift in how companies need to do business, and one companies will need to make soon. Wendy Clark, the CMO of Coke, made a similar point at our Chief Marketing & Sales Officer Forum recently when she said that it's a requirement for people in her organization and the agencies that work with her "play nice." Collaboration is growth, and it's inspiring to see how even well established brands are changing their operations - even in such as a simple way as institutionalizing collaboration.
How is your company "making the change"?
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I'd like to add hypercompetition to the list of challenges in the digital age. Target, and similar retail giants, have to compete with the ferocious online market (with some retailers having little overhead compared to chains like Target). So this new/refined dynamic approach should definitely keep digital competitors of all sizes in mind.
Associate Director Moody's Analytics
11 年David, thank you for being a leader posting relavant matters in marketing. That said, I found this article particularly focused for two reasons. One, I am involved in consumer transactions from an IT point of view, and sencondly, becuase I shop at target regularly when I am back home in New York. What was great about the article was how marketing is analyzing the data, and aware that some things that Target is doing, they do extremely well. "Our organization has to be dynamic because the world is dynamic. We’re thinking about how to create the best holistic experience for our guests but we have to be very careful and go one step at a time. Target does many things extraordinarily well" What that means simply is, if it's not broke, don't fix it. In certain areas, they are on top of the market, and drawing customer sales, because they have delivered certain products, that are in demand, at a price that is going to sell a great deal of units. While at the same time, other areas, they know they must improve on. Marketing seems to be driving the strategy, and making use of the analytics that their software an data provide. This is exactly the careful approach that all retailers need to pay attention to, so the lesson in this post, is really spot on. Sure, certain things need to be tweaked, but other areas that are perfoming well, need to be recognized, and repeated. Having shopped at their store frequently, my favorite bargain has been buying the generic store version of Listerine. Yes, I have noticed the price flucuations, but have repeatedly purchased the product, because it is about 75% cheaper than the name brand, yet is exactly the same product. I do not feel that I am alone from the consumer point of view, especially in the economy of the last 4.5 years, where money is tight, jobs are far and few between, and value is at a premium. Even if things do improve, the customer is king, and it pays for retailers to pay attention to details. No longer can they go by last year's sales numbers, but have to pay close attention to trends, and figure out, what they are doing right, and what they can improve on.
Senior Consultant-Business, Financial Operations and Human Resource Executive
11 年Yes, I believe collaboration is growth and this goes for healthcare organziations too. Great article!
Project Manager
11 年Targets will be estimated upon Strategies ,which need structure & systems to be reached( Three Hard S). To make sure of flexibility and to be dynamic , Just we need to take care of four points : Share values, skills,stuff & style (4 flexible S).
Founder & Director @ Appetals Solutions | Accelerate business transformation with pathbreaking products and bespoke solutions for the world driven by mobile, internet and AI!
11 年"Collaboration is growth. Collaboration makes world beautiful." So nicely said. However, majority of people unless impacted and drowned to the dusk, never realize this. I'd say awaken now to collaborate and grow for mutual success...that's the only way to make our world a beautiful place. Your message should go to everyone...