Managing Marketing: The Revitalization Of An Iconic Brand

Jamima White is the General Manager of Marketing at Target Australia. Target is an iconic brand, operating in a category that in the last 20 years has seen disruption like no other – from the rise of e-commerce through to COVID and beyond. Amongst other things, David and Jamima discuss Target’s brand, its reinvigorated positioning, the pivot from bricks and mortar to e-commerce, the importance of product, Jamima’s big marketing bets for the future, and the role advertising still plays in a world of data, technology and media firsts.

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Because that’s such an emotional connection, brand leadership within the business is really critical in actually delivering that.

Transcription:

 

David:

Welcome to Managing Marketing, a podcast where we discuss the issues and opportunities facing marketing, media and advertising, with industry thought leaders and practitioners. My name is David Angell, and today, I’m joined by Jamima White, General Manager of Marketing at Target.

Jamima, I think it’s fair to say you’re a seasoned and multi-talented marketer (I’m bigging you up already) with a career spanning loyalty, content, CRM, MarTech, and Brand Marketing.

And as well as Target, your time’s been spent with such story names as Maya and, and AGL just to mention two. So, welcome Jamima, it’s great to be talking with you today.

Jamima:

Thanks, David.

David:

So, there’s all sorts of things we could talk about. I’m really interested to start with Target because this brand is quite fascinating to me. You are in a huge period of change — the category is, the industry is, the country is, but also Target clearly is. Tell us about that and the role that marketing is playing to help drive it?

Jamima:

So, Target (I think everyone in Australia knows) is a really well-loved iconic retail brand. And we’ve been undergoing a really huge transformation over the last few years to really help set ourselves up for an exciting digital future.

And marketing’s really critical with that because we identified over the last few years that we really needed to come back to our Heartland brand position, and that for us is affordable quality for everyday life. And it’s really important that we show our customers and tell our customers about our fantastic quality, style, and value in our products at Target.

So, we really wanted overall to get customers to fall back in love with Target again, and so because that’s such an emotional connection, brand leadership within the business is really critical in actually delivering that.

And so, we have been undertaking several years’ worth of work around looking back at all of our customer insights, really trying to understand what affordable quality means to our customers, and then go back out to market to tell everyone that we are here and we are absolutely delivering fantastic quality products for customers, and that we’ve got a fantastic website and a really terrific app and that we’re really setting ourselves up to be a much more nimble business in the future.

And so, we have made lots of changes, we closed more than a hundred stores and we are very much focused on really investing in the customer experience in the digital space. But we’ve got to tell people about it.

So, our brand transformation is really not a marketing program, it really is a whole of business leadership around proving quality. Because everyone can say that they’re quality and everyone can say that they’re affordable from a clothing or a soft home perspective, but actually we need to stand by our quality, and that’s when Target was most successful in the past.

You probably remember 10, 15 years ago, those ads were quite graphic treatments and they used to wash the clothing and the washing machines, you could still stretch it and everything, so people really resonated with things like that quality position. So, for us, proving that our quality is affordable and accessible to all Australians is really important.

And we actually went back, and we reset all our quality standards and all of our factories about three years ago. And so, we have been on a long journey to really upgrade the quality of goods that we sell in the merchandise, in our stores and online because it’s just so important to our brand.

So, my job really is to just absolutely nail that affordable quality brand position. And so, we are excited to have rolled out a brand campaign about 12 months ago with a new platform that’s Target, and that’s really the first step in a long-term brand renewal phase that we are going through here at Target.

David:

I want to come and talk about how that’s Target in a couple of minutes, because I think some of those executions are really good. Just going back to a couple of things you said there, closing a hundred stores, that must have been challenging for all sorts of reasons, but from a consumer point of view, you’re clearly — what you referenced there was a pivot towards E-commerce, but of course, the stores you still have left are still really important as physical spaces.

And I’m imagining that some consumers, particularly in more regional areas, their target still would’ve been a real cornerstone for them, and that’s probably caused a degree of consternation. How’s the business been managing that and what’s been the take up of the enhanced E-commerce platforms that you’ve provided?

Jamima:

Well, it’s important to note that we still actually sell all over Australia because we sell online, and we are really confident that our online business is a really good experience for customers. And so, we’ve spent a lot of time upgrading, if you like, our messaging in those more regional areas if we no longer have a store footprint there that we absolutely still deliver to those businesses online, and it’s important to really make sure that customers know that.

So, that’s been part of our marketing strategy with the rollout of our brand transformation, and we continue to do that today, but it’s really simple and easy. So, it’s all about being where the customer wants to be and if they’re sitting on their couch and just shopping on the app and then get a quick delivery or if they’d like to go in and click and collect, if there is a store that they can drive to, they’re welcome to do that too.

So, we still feel that with the store footprint that we have, that we still have a really strong reach across all states in Australia. And so, as an iconic brand, it’s very much about helping people know about what a great digital experience we actually offer.

David:

Simple and easy. And you are just here to build an iconic brand. You make your job sound easier than it actually is, I think.

Jamima:

Yes, I imagine.

David:

Honestly, I can’t think of a category more shaken up in the last 10 to 20 years than bricks and mortar retailing. And of course, we just talked about e-commerce, but Target’s historical core has been bricks and mortar.

If you think about the rise of the internet, proliferation of choice, abundance of global options now, the shift of priorities and what consumers want from their brands and emphasis on cotton (and we touched on affordable quality), so much more important now, and of course, COVID.

I mean, God, the last two years has been a — what else? From a marketing perspective, look that’s challenging. I think iconic brand or not, that’s really challenging and it’s challenging to differentiate.

I’m interested to understand what have been the most valuable tools to you in navigating those challenges? Again, from a marketing perspective, and clearly there’s opportunity there as well to build which you’ve been doing, but what have you used to navigate that journey?

Jamima:

Well, I think I’m lucky because this brand starts with all the basics really strongly. The logo that we have that identifies our brand is widely recognized across the country and in fact, the world. So, we start with really strong brand codes, which is really, I think foundation piece.

But to your point, the changes in marketing, the industry, the movement to data and personalization and all the buzzwords that everyone’s talked about during the whole COVID period, being more relevant I think is more important to me than more personalized to customers.

I think if customers feel that the way that you are talking to them and the way that you communicate to them, that you are showing them relevant products, that’s what’s important in terms of being able to capitalize on all of these tools, in terms of communicating more one-on-one to customers.

Even just the ability to use push notifications in the app and use the app as a customer service vehicle is a great innovation that’s come about in the last 10 years. I mean, we didn’t have apps 10 years ago, so there is a lot of change from a technology point of view, which I think really is helping marketers talk to customers in a more relevant way.

As we all know, the marketing mix is fragmented so much also in the media landscape over that time, and trying to find out where the eyeballs are is very much an ongoing learning opportunity for all marketers these days. But it is very much about just being relevant and sharing what’s strong and good about your brand.

So, for us, we focused on social media and really growing our presence there from an organic point of view, showing just newness and some great ranges. We’ve got some terrific Lily Loves product that’s really selling well in our women’s wear ranges at the moment, that’s going really well on Tik Tok, et cetera, its going gangbusters, everyone seems to like it.

David:

If you’re good on Tik Tok, then you’re good.

Jamima:

So, who would’ve known we’d all be talking about Tik Tok five years ago? So, it’s about embracing the new tools and really thinking about, well, how can we make sure that we are talking to customers in the right way by using those tools?

So, for us, it’s our partners such as our agencies that we work with who help us give case studies and show what’s happening, perhaps around the world or what else is happening in Australia so that everyone can learn and try and deploy the best marketing programs.

But it really is a matter of keeping abreast all the changes, thought leadership for yourself and your team, letting them go out there and not just be internally focused. That was one of the interesting things with COVID, everyone started working from home.

And then really, that whole sort of industry sharing of knowledge did shut down for a period of time and it’s so exciting being back out in the real world and being able to go to thought leadership breakfast or things like that where you see great examples from other brands that might be doing things that everyone can learn from.

So, I think it’s about just keeping up with what’s happening and working with your partners together so that they can help share what they know about marketing trends also.

David:

And it’s interesting, I think clearly from a consumer point of view as well, particularly COVID, just thinking about customer journeys and how people are getting to a point of sale has changed hugely because of COVID.

I’m reading articles now saying that for a certain age group, Tik Tok is actually the new Google. I mean, people are using Tik Tok as a search engine. You’ve got the rise of all sorts of other channels, you’ve got ChatGPT coming through, you’ve got AI starting to be infused in everything.

But you’ve also got quite a challenge there as well because you’ve got an incredibly large — I mean, your Heartland is not necessarily 18 to 25-year-olds, but that doesn’t mean to say that 18 to 25-year-olds can’t buy from Target and couldn’t have stuff that they really wanted from Target.

So, I guess you’re having to look at multiple different customer journeys and how you spend your money most wisely to connect with those consumers.

Jamima:

So, we use a really detailed segmentation to really talk to mums in particular who are our primary target customers, but as you, say younger women as well are interested in shopping at Target, and if they’re seeing things on Tik Tok like Lily Loves, then they want to buy that fantastic vest and suit pad, et cetera.

So, it’s really important to be thinking about how to segment the channels that you are communicating to and remembering at the end of the day who your core customer actually is, going back to what are your brand messages.

And for us at Target, our mums are really important to us. When mums first become pregnant, they start to really engage with the Target brand because our children’s wear program is so exceptional, and we are really proud of our baby apparel and what good quality it is, and all the organic cottons that we use in our own branded materials to make the baby garments, et cetera. So, it’s a really strong entry point for us in terms of customers coming into the business.

So, being relevant in and using those segments in the right channel, I think is quite important. So, what we might put on Facebook versus what we might put on Tik Tok could be two totally different things.

David:

And of course, it’s really interesting you talk about your Heartland there and mums with new kids or even pregnant women thinking about their lifestyle and what media they might consume. Let’s not forget about television, let’s not forget about advertising, let’s not forget about … probably still one of the largest line items on your budget.

I’m kind of interested particularly more “traditional channels” because I personally think they still have a huge role to play. I think it’s a complete misnomer to just completely focus on the new particularly for brands like Target. But I do think retail advertising often gets labeled as a bit formulaic. But personally, I’ve got to say I like a lot of what I’ve seen at Vet’s Target.

I like particularly the use of human, some of those (I’m sorry if I’m getting the name executional) — but the tested series; Nonna Tested and the Doug Tested and all of that. I really like that, and I like the fact you’re focused on one product only in those commercials, I like the mix between brand and product in those ads.

Tell me a bit about the thinking behind that target and how your advertising has evolved as a result of that brand position and what the reaction has been?

Jamima:

So, our creative agency, AJF and our marketing team worked really hard on coming up with that brand positioning and it was important for us that the brand felt really relatable and accessible. And so, we wanted to have that sort of Australian sense of humor — not laugh out loud, but a bit of a wry smile that you have when you see these campaigns.

And it was also important for us to showcase our products being used in everyday life because we wanted to show that we do actually test the products so that they last in everyday life examples.

And so, the best way to tell that story was to develop a series of about nine vignettes that talked to some of our core product authority items that we have real confidence, so excellent quality, fabulous prices for that quality and made from really good materials.

So, that’s how we identified what the hero items would be, and then the creative agency came up with their magic around telling that story. And as I said, a really accessible and sort of slightly humorous way, and we just wanted to feel really down to earth because that’s what the Target brand is.

So, the reference to test it is important because we do test the quality of our goods, and, we’ve run target tested programs for many, many years here at this brand. So, we think that’s important to keep using that platform. And that’s Target is a tagline, but it’s also our brand platform that’s quality, that’s style, that’s value, that’s Target, it’s nice and simple.

David:

Feels like it’s got longevity as well. It’s been active for now for what, a year, a year and a half? You said 12 months.

Jamima:

!2 month, yes. We’re in March now, so it’s about 12 months and one month. One year and 13 months, one year and one month

David:

And what’s the consumer sentiment? What’s the research telling you?

Jamima:

We are really happy with how it’s trending. We feel that it’s really showing us that we are getting across the quality and style message, and that was important to us. Quality is our most important of the three quality style value pillars. So, that’s really resonating well in terms of our research with the advertising.

So, we are really quietly pleased with how it’s trending, we do think it’s got long-term application, so we are continuing to run this campaign. Even now as we speak, it’s currently back on air, so we envisage it will be a long-term platform.

Now, the products might be updated and change as we bring new products into the business. But the items are really genuinely hero items and we feel really confident that they absolutely stand for quality, style and value.

David:

I’m thinking about product as you’re talking there: how fast is your business? I went into a Target store just in preparation for this and in the last couple of weeks, and I thought the product was really different just from even 6, 9 months ago. How much are you evolving on the product side of things?

Jamima:

We’re really proud of our merchandise team and what they’ve achieved over the last few years. As I mentioned, we started with auditing the quality standards and resetting how we work at the factory base.

But the merchandise team and our in-house design team that design all our target branded products have worked really hard to improve not just the quality, style and value, but also the fashionability of the product and just make it more desirable as well as being really durable and hard wearing.

So, we really started to notice how kids wear business picked up really strongly with the new designs a couple of years ago, and we’ve now spread that out to women’s wear and soft home, et cetera. So, we are really proud of where the product’s currently going, but stay tuned I’m sure there’s more great products still to come.

David:

Fair enough, so let’s look at the future, I guess. We’re surrounded by data, we’re surrounded by tech, we’re surrounded by AI as we’ve talked about, evolution everywhere, lots of buzzwords. But what are your next big bets? Where do you think things are really going to shake up in the next say 12 to 24 months?

Jamima:

I think there’s two things happening. One is this ChatGPT and how AI and tech bots are really changing the speed to develop writing and content, et cetera. So, I feel like that’s really interesting, but also challenging as well. The beauty of creativity is the human element of the creativity and the emotional side.

So, I don’t want to get too caught up in how a robot might be able to write an answer to a question or write copy quickly, I think there’s many applications where they might be able to write copy for websites and things like that.

But the other thing that I think is really interesting is just the ongoing explosion of content and editorial, particularly in apparel-based businesses, et cetera. So, I feel like that has absolutely kicked off. It’s not a new trend, but it’s really starting to reach its peak.

So, for us having more inspirational content is a really important part of our digital customer experience, and that’s one of the key things we are working on in the next 12 months.

David:

And are you using ChatGPT? Is the agency using ChatGPT?

Jamima:

I don’t know, I won’t speak on behalf of the agency, so I don’t know.

David:

From what I’ve read, it’s interesting ChatGPT, did read an interesting comment saying, the joke within an agency creative department of “Let’s run it through ChatGPT,” is now wearing thin. Like literally people are get starting to get bit annoyed with, “Oh yeah, let the robots take over.”

Jamima:

As what I was saying, the beauty of really good creative work is actually the emotional connection and the human element in the creativity. So, I think humans will still be around for a long time (I’m advertising myself).

David:

I think the other thing is that ChatGPT doesn’t understand litigation, doesn’t understand defensive, doesn’t understand all of the things that you have to tread around in order to put an add out that you won’t get sued for or people won’t get really offended by it, I don’t think AI is there yet. So, I think-

Jamima:

No, no, I agree, I think human brains need to be involved the process.

David:

Human brains still need to be involved-

Jamima:

But it’s something to watch in terms of longer term. I think for me, the content piece around helped to buy inside the customer journey, is the most interesting thing for us in the next 12 months.

David:

Flipping it back, I guess the demand for content is ever greater and I’m assuming that your budgets are not ever greater. So, finding the-

Jamima:

It’s how corporate Australia works.

David:

That’s how corporate works, but finding ways to produce more content for the same budget, that’s a constant challenge, and I guess that’s where a lot of it is fired up around ChatGPT is that it can be much more dynamic and it could be much more nimble.

But I mean I’m going off into another slightly different topic here, but you’re working close with your agency, I guess, to manage that. Or is there in-house people in terms of producing all of that content that you just talked about-

Jamima:

We work with agency partners to do things like that. I think basically the agency model still exists in most marketing businesses today.

Some people insource some things. For us, it’s really important to have that external creative thinking and really work with our external partners because they’re the ones that are not internalized inside the office here thinking about us all day long, they come up with the big ideas. So, for us, it’s important to keep using the partners to do things like that.

David:

Very human emphasis there. If we can have ChatGPT internally, we still need that.

Jamima:

I think the other trend that’s really interesting, you sort of referenced it earlier, is the change in space around what’s next for search. Like if the next generation is actually searching via Tik Tok, that’s interesting. What does that mean in five years when those women become mums?

David:

Absolutely, and look, ChatGPT again is being referenced as a threat to Google, people essentially searching via a chat bot ,and with it able to respond. And you’ve got an account for the now, the next and the later, haven’t you? You’ve got to be doing what the mums are doing now.

But you’re right, in five years’ time, could be completely different. I know that’s a challenge for agencies and I guess it’s a challenge for you guys as well. But the more data that you have, I mean, you’ll have much more data-

Jamima:

Well, if you have a crystal ball, let me know.

David:

I could sell you a CDV and a customer data platform or something that. I don’t think that’s quite the same thing, is it?

Well, look, I think we’ve covered quite a lot of ground there in a relatively short space of time now, which is super-efficient, just like a good retailer should be. One final question, I guess: Williams Landing or Geelong? Favorite?

Jamima:

I never worked …

David:

You never worked in Geelong, did you?

Jamima:

No, no, I’m a Melbourne girl. So, I’ve always worked in the Melbourne office.

David:

I was trying to put you in a really uncomfortable position, not at all offend the people of Geelong or offend the people of Williams Landing.

Jamima:

Not at all, I genuinely can’t offend anyone, I’ve only ever worked in the Melbourne office.

David:

Fair enough, Target was in Geelong for a long time. I remember going out there in years gone by, but you’ve got a great facility here.

Jamima:

We really respect our heritage and we even had one of our biggest rooms here in the offices called the Geelong Room. So, we really respect the heritage there, and we know that it’s part of the history of the brand.

David:

It definitely is part of the history of the brand, but I’m sure being closer to Melbourne’s probably a bit easier than the commuting outage along every day.

Jamima:

Well, I’ve not done it, so …

David:

There you go. Hey lovely to talk to you, Jamima. Thanks again for being a guest on the podcast and all the very best with your ongoing transformation of iconic brand.

Jamima:

Thank you so much, great to chat to you, David.