The RedCard is Target’s umbrella name for its branded card products, which offer users a 5% discount on all purchases at Target stores and on Target.com. The RedCard is such an important KPI for Target that they break it out in every single earnings summary. To wit: Target did more than $100 billion in revenue in 2022, 20% of which happened on its own cards: But what is extremely interesting to scan every Target 10Q for years, is specifically the Target RedCard debit card, on which more than 11% of Target’s revenue flows. After being connected, the card simply pulls money directly from your bank account, which allows Target to avoid paying the interchange, or swipe, fees that are the bane of all card-accepting merchants.
Foot Locker plans app, website revamp as it aims for $2.5B in digital sales
Dubbed “Lace Up,” the new strategy is aimed at resetting Foot Locker’s business by focusing on four priorities: Expanding sneaker culture, refreshing its portfolio, deepening relationships with customers and improving its omnichannel operations. To do so, the retailer will increase its average annual capital expenditure run rate by more than $50 million over the next few years, with an emphasis on investing more in technology. Changes include ditching legacy platforms in favor of more scalable architecture, switching to a more agile operating model to increase speed to market, and improving efficiency and flexibility in its supply chain network. The retailer moved from two centralized distribution centers to three regional distribution centers, so that now 95% of customers and Foot Locker stores are within two days of the company’s product.
Kohl’s expands its third-party marketplace to more sellers and new categories
Kohl’s is opening its third-party marketplace to sellers in all categories following a successful pilot of the platform. The Kohl’s Marketplace already features thousands of products in categories including apparel, fitness, wellness, toys and home. Now the retailer plans to scale the platform by opening up to third-party sellers in all areas. The user experience is seamless within Kohls.com, with marketplace products identified by a badge on the product listing, and items are shipped directly from Kohl’s Marketplace Certified Partners.
Birdseye analytics enables Shopify merchants to predict results of each potential marketing initiative
Birdseye, the all-in-one marketing analytics system for Shopify brands, has developed a marketing recommendation system designed to help small and growing ecommerce businesses. Birdseye helps brands automate their marketing efforts by identifying the most valuable products, ads, channels, and customer segments to focus on in real-time without the need for spreadsheets, manual analysis, or complicated reporting. Brands receive direct recommendations with implementation instructions. Using Birdseye, ecommerce businesses can predict the sales results of each potential marketing initiative, helping them to prioritize marketing and operational efforts and avoid costly mistakes. With Birdseye, businesses can reduce their dependence on agencies by empowering key stakeholders to understand the direction in which to take their business.
Panera lets loyalty members order via updated Alexa’s Food Skills API and stored payment method
Grocers boosted digital adoption by 27% in the last year
Research from the latest edition of PYMNTS’ ConnectedEconomy™ series, “ConnectedEconomy™ Monthly Report: The Evolving Digital Daily Edition,” which draws from a February survey of more than 4,000 U.S. consumers, finds that digital engagement with grocers has increased 27% in the last year. This growth was significantly higher than the 11% year-over-year rise seen in engagement with restaurants’ eCommerce channels.
Automated third party managed loyalty efforts to now percolate to smaller QSRs
To counter expanding costs, some restaurants are automating some aspects of their operations, and modernized loyalty programs top that list. This includes medium-sized and larger quick-service restaurant (QSR) players who tend to have implemented some kind of digital rewards program long ago. However, that isn’t necessarily true for single-location or smaller chains, which now may be weighing the benefits of rewards and loyalty programs to increase traffic, gain returning customers and boost revenue. Therefore, it stands to reason that many restaurants that have not yet implemented a modernized loyalty program may be smaller sector players. Creating and managing this offering may seem overwhelming for QSRs who have not yet launched loyalty or rewards programs. However, a third-party provider may assist with implementation and reduce any headaches from adopting a new system.
Dollar General reinvents its in-store beauty offerings offering a ‘treasure hunt’ experience.”
Dollar General is unveiling “Beauty Reinvention,” a series of new store layouts in 300 stores that give shoppers an easier way to navigate its beauty and personal care items. The first Beauty Reinvention stores launched last month, and include beauty bars designed “to give customers a ‘treasure hunt’ experience.” The retailer is also making changes such as increasing its skincare section by 50% and soap and shower offerings by 30%, while also expanding its hair care and hair coloring sections. To go with the expansion, Dollar General has also rolled out three new hair and beauty products, a move that comes as the company is beefing up its private-label offerings.
Amazon Pharmacy now automatically applies coupons on select brand name drugs
Amazon Pharmacy will now automatically apply manufacturer coupons on brand name drugs to an eligible patient’s order. “Now, eligible patients can seamlessly access savings on novel, brand-name therapies for the treatment of diabetes, asthma, emphysema, obesity, and other conditions,” Amazon Pharmacy will automatically apply these coupons at checkout when eligible, meaning patients no longer have the burden of finding and applying coupons, and can focus on managing their care. The company outlines that coupon savings are set by manufacturers, who establish which medications have coupons and how they can be used, and that coupons may change or expire at any time.