Jacobs’ 80 by 60 initiative to deliver strong digital sales at Target
Target’s strategy of delivering online orders to guests in a one-day window is paying off. During Q1, digital sales increased by 42%, half of which was driven by store fulfillments and Target expects to hit $6 billion in digital sales this year.
If we look under the hood of Target’s strong omnichannel performance over the last year, we see a strong focus on information on the product detail page that makes the shopping experience easier for the guest, and most importantly, drives sales. We are hearing loud and clear in our meetings with our Target partners about the crucial need to increase metrics on brands’ digital scorecards. That is why Jacobs started our 80 by 60 program for our vendors.
80 by 60 is a Jacobs Account Management initiative to get all Jacobs Target vendors to an 80% scorecard in 60 days. Our goal is to improve the measurable Target Digital scorecard metrics to achieve this 80% goal. We realize this is a huge undertaking for all our teams that requires time and resources, so starting with this goal of 80% through mid-August is realistic and gives us momentum to get to 90% in the following months and keep going up from there.
We believe our 80 by 60 program is an important project as we help guide our vendors to align to Target’s key digital initiatives in 2019. Our Target partners agree, content is king - and this is the first step we both can do together to increase online penetration growth goals, increase basket size, and help Target increase average sales price goals over the next three years.
We’ve learned so far that video content has been one of the biggest obstacles in scorecard improvement and that is why Jacobs has identified multiple resources and solutions that can help vendors achieve better results. Our process starts with the Jacobs merchandising specialist team, in partnership with Target, to create specialized action plans based on each vendor’s business. Our AE and MS teams work together to provide resources, guidance, help remove obstacles for our vendors, and executes the changes on Target.com.
During the first month of 80 by 60, Jacobs improved by +190bps on digital vendor scorecards. A special thanks to the Target Product Content team that has helped strengthen our partnership by providing our vendors, large and small, the information needed to continue to improve results. We know that our investment in improving digital scorecards will pay off immensely in increased online conversions, best-in-class online shopping experiences for Target guests, and most importantly driving sales.