Has your view of Target changed after the data breach?

Former Target CEO Gregg Steinhafel. Tom Crann/MPR News
“Target’s massive data breach has now cost the company’s CEO his job,” reports the Associated Press.

Target announced Monday that Chairman, President and CEO Gregg Steinhafel is out nearly five months after the retailer disclosed the breach, which has hurt its reputation among customers and has derailed its business.

The nation’s third-largest retailer said Steinhafel, a 35-year veteran of the company and CEO since 2008, has agreed to step down, effective immediately. He also resigned from the board of directors.

A company spokesman declined to give specifics on when the decision was reached.

The departure suggests the company is trying to start with a clean slate as it wrestles with the fallout from hackers’ theft of credit and debit card information on tens of millions of customers. The company’s sales, profit and stock price have all suffered since the breach was disclosed.

The nation’s third-largest retailer said Gregg Steinhafel, a 35-year veteran of the company and CEO since 2008, has agreed to step down. He also resigned from the board of directors.

Over at NewsCut, Bob Collins asks, Did a little honesty cost Target CEO his job?

Today’s Question: Has your view of Target changed after the data breach?

  • James

    Amongst friends, we have been discussing “What’s wrong with Target?” for quite a while. Many of us do not frequent the store anywhere near as often as we used to. Their shelves seem to be stocked with less compelling merchandise and their prices seem to be less competitive. The Canadian rollout has been a disaster. My Canadian relatives are longing for the days of Zellers (the tacky chain that Target replaced.) The data breach is really bad, but Target is really just one of many stores that got breached. They do need a fresh start. I’m surpirsed it took this long to replace the CEO.

  • Doug Duwenhoegger

    Quiter Multimillionaire. I’ll take my money and run. Maybe someone else can fix the corrosive company culture and lack of ethics at the Wal*mart of the north.

    • Ron Fresquez

      He didn’t quit he was asked to leave.

      • Doug Duwenhoegger

        Hardly fired. Have you ever been fired and kept on to help the transition. This fool doesn’t deserve the money he stole from Target shareholders. Send him back to Wisconsin and let him find a job there.

  • JQP

    Not very much. It reinforced two simple corporate behaviors.
    1) an inability to accept that something is wrong.
    2) an inability to admit it, absent external pressure.

    I don’t entirely fault corporations. the current wall-street market, much as they’d like you to believe they are data driven, is massively affected by rumor and gossip. Any corporation that willingly acknowledges they are dealing with a breach/threat/problem is tacitly admitting a mistake. Compounding the problem by publicly self-exposing the problem violates the internal corporate sense of “poker-face” relationships and the external sense ( wall-street primarily) that it only got out because its out of hand.

    In both measures the market punishes corporations that act rationally for the benefit of their customers.

  • Jim G

    No. They’ve always been looked at as an store we visit “if we have to or if we have no other choices.” Our purchases are usually relegated to health and beauty, some groceries, and dog chews. In the late 60’s and early 70’s I worked part-time for Target. I experienced first hand the short hand management gives its front-line employees. Look into the eyes of these folks and you’ll know what I mean. American capitalism is exceptionally broken, and Target is our home grown example of this broken economic system.

  • PaulJ

    It’s hard to be upscale when there’s riff raff at every turn.

    • Joe

      They always have a good deal on rapscallions in the produce section though

  • Ron Fresquez

    The Target data breach represents the new norm. Get used to it it is only going to get worse. The results of a recent study by Cisco on the shortage of skilled Information Security professionals show there will be a 500K to 1 million person global shortage of Information Security professionals in the foreseeable future. The current unemployment rate for Information Security professionals is -4%. Homeland Security has 3,00 information Security professionals the Director recently stated they need 30,000. We are screwed!

  • bob hicks

    JQP’s comments about corporate culture are right on. There’s a disinclination to heed early warnings, and a phobia about letting the public know what is happening until outside pressure forces disclosure. The invariable result is always more economic and reputational damage to the company, but the lesson never seems to be learned. But because the mega-millionaires who run companies never really suffer for such cluster#*ks, this culture of corporate incompetence won’t change.

    I used to shop frequently at Target for basics like food and health items. Now I don’t.

  • Eioljg

    My view has stayed the same. The data breach didn’t make any difference. I shop there about once or twice/month because they have better prices for the items I want. I buy over the counter health items, ink and paper for my printer, and a few other items regularly. But there is also no better choice where I live; the few other stores are way more expensive. Target employees are quite helpful, which isn’t true of those in the competition. But I don’t like the “designer” and trendy items and never buy them. Clothing? Mostly forgetaboutit, except for lounge clothing, sleepwear. I can’t count on Target having a very wide selection in other areas. I rarely buy food there because the grocery section is very far from the door, so I’m not inclined to run in for a few items.

  • Joe

    My view hasn’t changed over the data breach, but my view permanently changed of them after the donation to Tom Emmer’s campaign.

  • Ralphy

    This data breach has changed my view of any sort of automated, computer controlled home system – if my home lighting or thermostat controls can talk to my computer, my computer can be hacked. There are no on-going no security updates for machine controls, no Norton or Micro-Soft firewalls for your water heater chip. These devices are as secure as they are ever going to be when they roll out of the assembly plant. Any machine control device with remote computer access is an open gate for gaining access to your computer.

  • Aric

    I don’t believe this change has been driven by the data breach per se, as much as the hubris exhibited in the initial days and likely the state of technology at Target – from data security to general systems to their dot.com platform, and it’s associated failures.
    Overall financial performance and Canada must be part of the equation as well, but the lackluster underlying and overall strategy, as well as the woeful positioning for future success, seem far more important.

  • Kathy

    Agree that Target does not meet my needs. Dislike supporting “that other Walstore” but when you need spray paint, diapers, vitamins and wrapping paper you can get it all at one place. I don’t have time to run to the hardware store, drug store and Target. I need a practical place to shop, not designer consumer products for decorating and trendy seasonal items.

  • JQP

    ert

  • Jim Trethewey

    Used to be one of my preferred stores. Since the breach, I have never gone back and probably never will. It is an issue of betrayed trust, and I don’t forgive. Ever. I was insulted by Sears back in about 1985 (refused to accept my credit card because it wasn’t Discover) and I have never shopped there since.