With nearly 2,000 stores across the U.S., more than 75 percent of Americans live within ten miles of a Target. These brick and mortar locations have become surprisingly valuable assets for the company’s e-commerce business, with more than 95 percent of online orders originating from Target stores. This video goes into detail about the retailer’s logistical operations, including the local sortation centers Target is investing in to keep up with increasing demand.
Questions:
- How does Target utilize nearly 2,000 stores to fulfill the majority of its online orders?
- What are some potential advantages and disadvantages of Target’s use of local sortation centers rather than large distribution warehouses like Amazon?