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Target Corporation: Predictive Analytics and Customer Privacy

Belock, B., Fasheh, F., McKeever, A., and O’Rourke, J. S. (Editor)
February 2, 2018
SKU:
BUS-004080
Region: 
North America
Topic: 
Strategy & General Management, Human Resources & Organizational Behavior
Length: 
12 pages
Keywords: 
Conflict Management, crisis management, customer communication, customer relations, employee relations, privacy, retail, Technology
Student Price: 
$4.00 (€3.36)
Average rating: 
0

A father complains about pregnancy related coupons addressed to his teenage daughter. Target’s predictive analytics had determined his daughter was pregnant and targeted her as a customer before she broke the news to her father. Target must react in the face of a largely publicized article about the incident.

Learning Outcomes: 
  1. To raise awareness about how companies use analytics tools to serve their customers;
  2. To highlight possible conflicts when companies use predictive analytics to increase their revenues and potential profit margins;
  3. To encourage discussion about a customer’s right to privacy and a company’s right to collect information about its customers;
  4. To encourage analysis of how companies and customers can mutually benefit from using predictive analytics to increase customer satisfaction and retention.