Target found the COVID-19 outbreak to be a two-edged sword in the first quarter, driving stratospheric ecommerce sales growth of 141%, while impacting profits due to about $500 million in associated costs, the company reported. It also saw over 5 million customers shop on Target.com for the first time in Q1.
For many ecommerce businesses, even absent COVID-19, a profitable Christmas season will make or break the year. During the shutdowns, many 3PLs have remained open, serving clients even amid the labor challenges. Should you continue internal fulfillment or move to a 3PL? Here are seven considerations as you weigh the choice.
An everyday low price strategy can be a winner, but this comes with an asterisk. Such a self-limiting strategy can only work for a specific type of company and it requires a certain approach. And with COVID-19 disrupting any normalcy in retail, we need to examine whether companies embracing EDLP are faring better or worse right now.
On the same day it was announced Deliv was winding down its operations this summer, it came out that Target is in talks to snap up some of Deliv’s technology assets to bolster its local ecommerce fulfillment and bring founding CEO Daphne Carmelli onboard, NBC reported. Others had reportedly been looking at Deliv, including grocers.
Amazon is continuing to dominate in apparel sales online, according to a new report from CoreSight, which reports 70% of apparel shoppers bought clothing or footwear on Amazon in the past 12 months, up from 60% a year ago. This compares to 51.2% who said they did so on Walmart, 44.6% at Target and 35.3% at Kohl’s.
What will the world of ecommerce operations and fulfillment look like after World Health Organization declares the COVID-19 pandemic ends? The answer, like predictions of that date, is uncertain. But industry experts firmly believe that the seismic shifts that began in February 2020 will create a new normal in ecommerce operations.
The world is a different place than it was just a month ago. As companies try to maintain their business and stay afloat, many are wondering about the long-term impact of coronavirus on the retail and ecommerce industry. Here are some ways the dynamics of retail and services may be impacted in near term and in the years to come.
The coronavirus outbreak is continuing to wreak havoc on retail, with the impact going beyond store shutdowns to online business being shuttered. Companies that closed their ecommerce operations in recent days include fashion brands Reformation, Marysia and The Frankie Shop, and retailers TJ Maxx, Marshalls and HomeGoods.
Target CEO Brian Cornell piled on superlatives when discussing Q4 and 2019 results, including six consecutive years of 25%+ growth in ecommerce sales. Same-day (order pickup, drive up and Shipt delivery) accounted for more than 80% of Target’s Q4 comparable digital sales growth of 20%, compared to 1.5% overall comp growth.