When discussing that lack of planning can lead to a tragedy, I couldn’t stop thinking about the launch of Missoni for Target’s collection... has anyone heard about it?!
I can certainly call myself a “fashionista” but furthermore, I am passionate of how the fashion industry works. That’s why I couldn't help talking about this launch when I first read the press release. Not so much because I was interested by the items but mostly because, from a business point-of-view, these partnerships are part of amazing growth strategies for retailers.
How can H&M build on its brand image by successfully introducing more than 10 guest-designer collaborations featuring big names like Karl Lagerfeld, Viktor & Rolf, Madonna and Jimmy Choo? It is simple: Offering fashion and quality at the best price using high-end designers who create cheaper versions of their fashion for lower-end stores.
Since 2004, many retailers followed H&M’s strategy, including Target. Surprisingly, this is not the giant retailer's first partnership with a designer... but this time, what went wrong? The tactics used to create a buzz about the collection were unquestionably good. The promotion on traditional and social media platforms was a success, announcing the limited-time offerings to spur impulse buys by creating a sense of urgency for shoppers. Ahead of the launch, Target also opened a temporary store in Manhattan at the start of New York Fashion Week. But the colorful shop, which spanned six city blocks, was supposed to stay open for three days, but end up closing after six hours because items sold out.
From my point-of-view, Target experienced a big lack of planning. They have underestimated the popularity of the launch which would have been easy to prepare with a test-market or simply by looking at social platforms online. Customers were angry and it is not something a big name retailer like Target wants in digital ages. The bad execution including the poor replenishment, the lack of inventory in stores and online, and the website crashes could possibly have harmed the retailer. This is not even counting how the company reacted, from a PR perspective, about the thousands and thousands of items found on Ebay, only an hour after Missoni’s first item sold.
Were you one of these angry customers? How would you react to their next launch? Well, personally I would stay in-line only for H&M due to my high satisfaction with them and my lovely pair of Jimmy Choos! Oh, and talking about H&M, Versace’s collection will be in store this November!
Great post! My sister (also my roommate) and I love the Missoni home collection, so you could only imagine how excited we were for their collaboration with target. Luckily, we arrived at Target an hour late and missed the insane line to get in at 8am. While people were running around angrily, we strategically separated and conquered. Somehow, we both found two boxes in random aisles and got a hold of everything. While everyone else was angry, we lucked out and shared some of our findings. A lot of people were in the middle of online shopping when the site crashed - that would make me angry. Target should have planned better for the launch of the Missoni collection as many people were beyond angry. We lucked out, but many didn't.
ReplyDeleteJosi's post about Target's fiasco serves as a good lesson to all PRF&P students. We all need to follow a "no stone left unturned" philosophy on strategic communications planning. This means free-flowing communication of ideas between all PR work group members. Multiple heads are better than one when conceiving and weighing public relation strategies and tactics.
ReplyDeleteSuch diligent work underwrites an effective public relations campaign. It ensures that our clients, however hypothetical, get the best results. After all, who wants the follow the example of Target missing its target?
I also think that tArget wasn't prepared for the amount of people interested in the collaboration. Target has teamed up with many high end designers in the past and might have 'assumed' that their collaboration with Missoni would generate about the same amount of customers.
ReplyDeleteThe fashion night out event should have put them in "crisis communications" mode to make the online and in store launch go smoothly.
One of the (many) things I like about this PFRandP group is the strategic gut instinct that you all have.
ReplyDeleteThis is a crisis communications case study -- and we haven't reached that point yet. You'll enjoy our upcoming PRFandP Crisis Night, and our guest is leading a great discussion on the the impact of social media as it relates to crisis. You'll love it!
But since we're all about looking ahead, let me pose this question: You're the new Target Corp Comm person, fresh out of PRFandP. (Ha!) What do you do? Or what do you think Target should have done?
I feel that Target's management team have adopted a “well maybe it's better to let it go” philosophy. Maybe they were thinking that no one would make a big deal out of it and forget about that m*ss...
ReplyDeleteOut of many problems I have identified from the PR team, the lack of explanation and the slow responsiveness to the crisis were the worst. The only thing you could find on Target’s press room was a brief message, basically saying that they don’t understand what happened...The PR team have never apologized to the thousands of frustrated customers. (http://pressroom.target.com/pr/news/target-statement-regarding-missoni-Sept2011.aspx?ncid=38121)
Target should have responded and apologized to the affected customers, explained why this happened and ultimately should have been prepared to the “unprecedented demand” of Missoni's collection.
I agree Tom, Target totally missed it's Target!!! Thank you for your comments guys:)
ReplyDeleteVersace!!!!!?? November!!! Oh they better get into crisis mode cause I’m-a comin’ folks!! Pull out the rolodex of phone numbers and email addresses. This will be a test of their solid relationships with media representatives when I ransack every aisle, bump off every slow moving patron, and wrangle every store employee in my endeavor to swallow to best goodies.
ReplyDeleteDon’t get me wrong, I am usually mild mannered and polite in a store, but brand name items to garner a modern, hip entity by these stores is an opportunity for chaos. Do you see those commercials for Allstate?? I believe. “My name is mayhem…..” Consider me his little cousin.
Outrageous fervor over a name brand is a great but please prepare for a few glitches. I haven’t been in Macy’s since 1990. I always considered it my grandmother’s store. A name such as Versace implemented to refresh Macy’s as a brand name is timely. Quite frankly I think they need it. Provide a constant flow of information; set up a centralized media communication center for the big event. As for H&M, continue to build trust (especially after I blow into town like a monsoon). Ha ha ha!!! Crisis, Schmisis.