Target recently announced that customers would be able to utilize cashless payment technologies, including Apple Pay, Google Pay, and Samsung Pay in all of the 1,850 Target stores located across the U.S.
This technological initiative is designed to make consumer’s lives easier. “Offering guests more ways to conveniently and quickly pay is just another way we’re making it easier than ever to shop Target,” said Mike McNamara, Target’s chief information officer.
Rolling out cashless payments functionality is a way Target has used technology to improve customer experience within its stores. However, the company has also integrated technology within its supply chain behind the scenes, so enhancing consumer satisfaction and loyalty further.
Supply Chain Transformation Is Vital
According to a recent Forbes article, a few years ago Target focused on digitally transforming its supply chain and logistics. It cleverly combined digital and in-store inventories to allow the retailer to increase speed to market, and get customers what they wanted faster. Target has experienced impressive growth results since doing so and benefited from 29 percent growth in online sales in 2018, and an almost 6 percent growth in offline sales during the same period.
The same article argues that other big retailers who failed to innovate in such ways either went out of business in 2018 or were forced to closed a portion of their stores. Examples include iconic brands such as Toys R Us, Sears Holdings and Lowe’s.
Don’t Take The Risk
The main takeaway is to accept and acknowledge that in a world where retail is becoming increasingly competitive, retail companies must look at ways to digitally transform customer touchpoints, as well as supply chain processes, to remain relevant to their customers. The risks of not doing so are far too high.