April 13, 2024

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Target will launch an unlimited fast shipping subscription for rival Amazon Prime

Target will launch an unlimited fast shipping subscription for rival Amazon Prime

Target is launching Target Circle 360, a $99 annual subscription that will provide free, unlimited delivery and fast shipping on online orders. It was first announced during Target's Earnings call On Tuesday, the new plan will compete with similar offers from Walmart and Amazon that lower shipping costs for an annual fee. Target Circle 360 ​​members will receive free two-day shipping and free same-day delivery on orders of $35 and up. The plan will debut on April 7, and will be priced at $49 until May 18 as a launch promotion.

This isn't Target's first foray into paid subscriptions. In fact, Target Circle 360 ​​doesn't appear to be a new plan so much as a rebranding and upgrade of its existing delivery offerings. Shipt is owned by Target It already offers free same-day delivery (with local delivery drivers) from nearby Target stores for $99 per year. Target.com currently offers free two-day shipping on online orders of $35 or more, no signup required. Target's new Circle 360 ​​plan appears to combine a Shipt membership with free two-day shipping — but there's no minimum order. So, for Target fans who already subscribe to Shipt, the new $99 plan will no longer be available also Different. Target Circle 360 ​​will also include access to Shipt marketWhich means free delivery from other stores too.

Target's new plan arrives at a time when the lines between e-commerce and brick-and-mortar are blurrier than ever. Target and Walmart both pull from nearby stores and warehouses for online orders. Meanwhile, Amazon Wide network of warehouses and fulfillment centers means there is always a delivery center nearby. Amazon plans to Create more same-day delivery locations This year, which can fulfill, sort and ship products from one place. All three companies rely on gig workers as well as large third-party delivery partners like UPS, Fedex, and USPS, which come with additional labor and shipping costs. Although Target won't be able to compete with Prime on delivery, it can still attract some of its customers by offering a similar membership.

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