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How Will GenAI Empower Target’s Retail Associates?

Target announced plans to distribute a new GenAI-powered chatbot tool to all its associates across its nearly 2,000 U.S. stores by August to help with daily tasks, coaching, and customer assistance.

Called Store Companion, the chatbot will become available as an app on store team members’ handheld devices. The chatbot promises to provide immediate answers to their questions about processes and procedures. Target wrote in a press release, “For example, team members can input prompts like ‘How do I sign a guest up for a Target Circle Card?’ and ‘How do I restart the cash register in the event of a power outage?’ and receive instructions and resources in seconds.”

The tool will also serve as a “store process expert and coach,” helping onboard new and seasonal in-store staff.


To develop the tool, Target used frequently asked questions and process documents from its store teams across the U.S., with the project progressing from the initial testing phase to the planned rollout in only six months. Currently piloting at about 400 stores, the tool’s functionality is being further shaped by associate feedback.

“We’re hearing great feedback from our team about the new app,” said Jake Seaquist, store director at one of the pilot stores in Champlin, Minnesota. “Streamlining day-to-day tasks goes a long way with our team members and adds up to more time spent with guests and a better guest experience across the store.”

With this announcement, Target has become the first major U.S. retailer to share that it’s bringing the technology to all its store staff.


Many other retailers have talked up GenAI investments, including Walmart and Canadian Tire, to help corporate staffers improve productivity and elevate search and discovery for online consumers. However, the technology also promises to help store associates with many tasks.

Salesforce’s just-released fifth edition “Connected Shoppers Report” found that an estimated 32% of store associates use a mobile device for their job, a share expected to grow to 41% in three years.

An accompanying survey of 1,125 retail industry decision-makers found the top five use cases for mobile devices were to help shoppers sign up for a loyalty program, 51%; provide customer service, also 51%; point of sale, 41%; store operations and execution, 39%; and creating and managing appointments, also 39%. Coming in lower among use cases were clienteling, 35%; store fulfillment, 34%; training, 26%; and endless aisle, 22%.

Zebra’s 16th Annual Global Shopper Study found that 86% of associates feel that the latest technology at their disposal enhances the customer experience — and three-quarters of shoppers agree. Of the associates surveyed, 85% felt artificial intelligence would help them be more productive. The top five pain points among associates working in-store sales and customer service were found to be:

  1. Little time to help customers because they are doing lower-value tasks
  2. Inadequate tools to provide personalized customer service
  3. Customer finds price and product information on their smartphone faster than associates
  4. Customer needs a price check
  5. Customer needs information

Discussion Questions

Where do you see GenAI technologies particularly helping in-store associates?

Do you see a big opportunity for GenAI to help speed up customer service and deepen shopper engagement?

Where may GenAI fall short of its promise to make associates’ jobs easier and improve associate productivity?

Poll

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BrainTrust

"Target’s AI tool seems more about training, guidance and answering associate questions than anything too radical."
Avatar of Neil Saunders

Neil Saunders

Managing Director, GlobalData