Target's Big Redesign

Coming off a lackluster earnings report and a corresponding drop in share price, Target is coming out swinging this week, pushing plans for its ambitious new store design.

The so-called "store of the future" will feature some major changes for those who live in the greater Los Angeles areas, where the new model is getting its public test drive. Later this month, about 25 LA area stores will see makeovers happen in 35 areas, including layouts, displays, lighting and signage, as well as the products they sell.

How consumers contact merchandise is key to the plan. Going forward, clothing and home displays will receive prominent front of store placement and will be rotated every eight weeks so as to keep current with the seasonal mood. Apart from the visual aesthetics, the updated experience also features more easily accessible personnel (coined "service advisors"), whose function is to travel the aisles and help customers find what they need.

To that end, shelves will also be re-organized so as to flow more intuitively in line with what items consumers usually buy together.

And Target is also attempting to make it easier to stay in the store longer with the time-honored approach of improving the good in both quality and in what is on offer. Freshii, Which Wich?, and Pizza Hut Artisan will be introduced into the stores. Starbucks will also come to Target stores that don't have them yet.

And, as has been the recent trend out of Target, all the in-store improvements are tied to an "out of store" digital experience or product offering. Consumers can compare with a scan what is on offer in-store as stacked up against more comprehensive online offerings.



The How We Shop Report, a PYMNTS collaboration with PayPal, aims to understand how consumers of all ages and incomes are shifting to shopping and paying online in the midst of the COVID-19 pandemic. Our research builds on a series of studies conducted since March, surveying more than 16,000 consumers on how their shopping habits and payments preferences are changing as the crisis continues. This report focuses on our latest survey of 2,163 respondents and examines how their increased appetite for online commerce and digital touchless methods, such as QR codes, contactless cards and digital wallets, is poised to shape the post-pandemic economy.

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