Okay. It has been a while since I have written for this blog, but I would like to provide an outsiders view about why Targets recent policy change on how they merchandise is bad.
On August 7, Target announced that it would stop using gender-based signing. I can bring up numerous instances why this is bad. It removes a core component to market segmentation, gender-based demographics. This means that they will not be selling according to how the products were designed.
Understanding the design process is critical in the moving of a product. The first major question a company will ask when designing for consumers is who is this product primarily intending to reach (age, region, gender, etc.). Gender neutral products, in my observation tend to have a shorter life-span. Now let me make a distinct note on the difference between gender-neutral and general audience products. Gender-neutral is designed to not be offensive to the purchasing audience. BUT, pick up the coin. It has two sides. The same thing that may repulse a shopper from one product would attract them to another. This create a competitive sales force in the market.
By removing the pressure to buy, that utility of the customer can have the product if they got it THEN and THERE if they bought it NOW, in essence renders the purpose of the product as less purposeful. The purpose of marketing is to capture those discretionary dollars the consumer has. This will cause a wider revenue but also a shallower one that is easier to dry or become stagnant.
The problem is Target has sacrificed business for altruism. But Target needs to recognize that they are a business, not a political statement. While I have restrictions that dictate what business I handle, I have to remember that I am still operating a business and if you're not in business to make money, why are you there in the first place? Business's first policy is to add value, and Target is, instead, taking that away. Target should shift it's focus to what made it great in the first place, creating a higher-touch shopping experience. Target grew on affordable luxury, but now its priding itself by pandering to the pauper. These complaining customers are the screaming minority and make little impact on the sales.
I hope target will be able to salvage themselves from this.
