Amazon may have gained Zappos, but it's losing Target
By Tim Conneally | Published August 7, 2009, 4:39 PM
The U.S.' second most popular retailer, Target announced that it will be ending its 8-year relationship with Amazon.com and launching its own new platform for Target.com, which does not rely on Amazon's services.
Steve Eastman, president of Target.com said, "The strength of Amazon's technology and fulfillment services has been a contributing factor in Target.com's success. However, to deliver a customized multi-channel experience for Target's guests, we believe it is in Target's best interest going forward to assume full control over the design and management of Target's e-commerce technology platform, fulfillment and guest services operations."
By the holiday season of 2011, Target.com will be a fully independent platform. Until that time, Amazon and Target will continue to work together to improve upon its current state.
Amazon is America's highest grossing Internet retailer, with $19.2 Billion in sales a year. Target, meanwhile, remains in close competition with its chief rival Wal-Mart in both the physical retail space and online. In May of this year, for example, Wal-Mart attracted more visitors to its site, but Target led in purchase rate.
ABOUT TIME...only major store ive ever seen since toys r us where u cant buy online and pick up in-store
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|Goodbye! Got screwed over by Target and Amazon CSR's when they sent my daughter the
wrong size clothing. I have never used their online site again after the run around trying to order and the run around trying to get the order corrected.
I tell everyone I know how bad their site blows.
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|"to deliver a customized multi-channel experience for Target's guests"
Translation: 8 years ago, we couldn't hire enough technical talent to do better than Amazon could do for us. Today, it's an employer's market and we want to run our own site so we can stop paying Amazon a cut of every sale (on top of the monthly fees). But that makes us sound greedy, huh? So let's just say it's all for the sake of our "guests" (and the children of the world...and cute cuddly puppies...and mom's apple pie).
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|All the better, Target's poor quality, high prices, and terrible customer service never really fit with Amazon anyway.
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