In a bid to spread festive cheer and revive its fortunes, the retail giant Target is instructing its employees to smile more. The company is rolling out a structured customer service initiative, dubbed the '10-4 programme', which formalises how staff should interact with shoppers.
The Mechanics of the '10-4 Programme'
According to a report from Bloomberg, the new guidelines are quite specific. When a Target employee comes within 10 feet of a customer, they are now required to smile, make eye contact, and offer a wave or a greeting. Once that distance closes to four feet, the staff member must escalate the interaction by asking about the customer's day or offering assistance.
While Target has traditionally encouraged friendly staff behaviour, this move marks a shift towards a more formalised and measurable system. The retailer is now aligning itself with other corporate behemoths like Walmart, with its '10-Foot Rule', and Disney, renowned for its '10-and-5 Rule'.
A Strategy for a Challenging Retail Climate
This new approach is not merely about festive goodwill. Target's Chief Stores Officer, Adrienne Costanzo, stated in an announcement that the company is making adjustments to 'increase connection during the most important time of the year'. This push comes as Target faces significant headwinds.
Since the COVID-19 pandemic, the business has experienced a slowdown. Consumers have become more price-conscious, focusing on essentials and deals. Competition is also intensifying, particularly from Walmart, which has been revamping its stores and cutting prices.
Internally, Target's data shows that key consumer metrics see an improvement when shoppers are acknowledged, highlighting the commercial rationale behind the new smile directive.
Broader Corporate Reshuffling and Challenges
The '10-4 programme' is part of a wider effort by Target to address its challenges. The company has stated it is working to improve in-stock levels and enhance store appearance. To directly engage customers, it announced in September that it would host new holiday toy demonstrations every weekend through to 21st December.
However, the retailer's path has been rocky. Earlier in 2025, Target rolled back several of its diversity, equity, and inclusion programmes, a decision that prompted calls for a boycott from some community groups.
In a more drastic measure, the company eliminated 1,800 corporate positions to streamline operations. Financially, the situation is stark: Target's shares are down over 30% year-to-date, underperforming the S&P 500, as its once-strong 'cheap chic' appeal has waned amidst customer complaints about empty shelves and long queues.
