Discount retailer Target Corporation intends to sever online ties with Amazon.com and manage its own e-commerce platform by the end of 2011. According to the Minneapolis/St. Paul Business Journal, Target wants to take control of its e-commerce platform to deliver a customized, multichannel customer experience.
Target, which has been outsourcing many technology and fulfillment services to Amazon since 2001, has recently been expanding customer service features and tools of its Web site. Last month, Target launched a proprietary online tool called TargetLists that allows back-to-school shoppers to create wish lists that can be shared with family and friends via email, the Target web site, or in-store registry kiosks.

In June, Target entered a joint promotional partnership with online fashion/popular culture site DailyCandy.com. Target features a section on its e-commerce site called Red Hot Shop with content from DailyCandy editors. Red Hot Shop includes reviews of Target products from DailyCandy, as well as other media content submitted by DailyCandy.

Target has also been taking steps to gain more control over its business internally. In May 2009, Target launched a rebranding initiative for its private label assortment, releasing a new assortment of CPG goods under the “up & up” banner, according to Retailer Daily. The up & up line will eventually feature about 800 items spread across 40 product categories.

In Q1 2009, Target reported a 13.2% drop in net earnings and has been experiencing soft same-store sales this year. Presumably Target is looking to the e-commerce channel as a means of  compensating for shortfalls in these areas.