Rick Gomez, Target’s executive vice president and chief commercial officer, joined NRF's Retail Gets Real podcast at NRF 2025: Retail's Big Show.
Target hits the bullseye when it comes to serving its customers. Rick Gomez, Target’s executive vice president and chief commercial officer, joins us to talk about Target’s winning merchandising strategy, his favorite consumer trends and how shopping habits have evolved in recent years. He also shares the biggest lessons he’s learned in his illustrious career.
One of the accomplishments Gomez is most proud of in his career at Target is launching the retailer’s Circle loyalty program. But it wasn’t an easy road to get it right.
When Gomez was starting as Target’s chief marketing officer, he inherited a loyalty program that was in the test market. “I sat down with the team to understand it and what we quickly realized was it wasn't delivering what we needed it to do. So we had that tough challenge of having to go to senior management and say, ‘We need to scrap this,’” Gomez says. “As much as I would've loved to have launched that nationally, it wasn't the right thing to do for the consumer. It wasn't the right thing to do for the brand.”
Gomez and his team went back to the drawing board and created the concept for Circle, which is now hugely successful with more than 100 million members. ”I'm really glad that we took time and did the right thing for the long-term and didn't go for the short-term win. A lesson I've learned throughout my career is, at the end of the day, you have to listen to the consumer. The consumer will tell you if it's working or not.”
Target also listens to the consumer when it comes to curating a collection of exciting, innovative products.
“I would argue that one of the most important decisions that we make as an organization is what do we want to sell. What we sell better be compelling. It better be on trend, stylish, quality and at an affordable price point. If we can't do that, we won't be successful. It doesn't matter how quickly you can have products shipped to your door, if the product isn't compelling, it doesn't matter.”
Target focuses on a three-pronged approach to merchandising: promoting its own brands, partnering with national brands for unique Target exclusives and discovering emerging brands that are a good fit for the Target consumer.
Besides excellent products, Gomez says consumers are increasingly looking for convenient, seamless shopping and in-store experiences that surprise and delight. For example, Target offers a drive-up with contactless pick-up that now has a Starbucks service, so shoppers can get coffee delivered right to their cars.
“ I think we're going to continue to see consumer expectations getting higher and higher,” Gomez says. “The retailers that can innovate and continue to bring new services are the ones that will be successful.”
Listen to the full episode to hear more about Target’s merchandising strategies, emerging retail trends and Gomez’s best career advice.
(00:01:19) Gomez’s career journey
Transitioning from CPG to retail
Gomez’s role within Target
How he approaches career opportunities
(00:06:18) His most challenging and rewarding moments
Launching Target’s loyalty program
Why you always need to listen to the consumer
(00:08:58) The secrets behind Target’s merchandising
How it curates what it wants to sell
Target’s three-pronged assortment strategy
Partnering with national brands on Target exclusives
(00:12:51) Top retail trends
The dynamic, fast pace of retail
The prominence of self-care, health and wellness categories
(00:15:04) Shifts in consumer shopping habits
How the pandemic changed how people shop
Creating surprise and delight experiences in store
Curating an easy, seamless shopping experience
(00:17:01) Gomez’s best career advice
Showing up as your authentic self at work
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