Last year Target acquired same-day grocery delivery service Shipt for over $500 million. That’s a big purchase, but Target’s acquisition was seen as a response to Walmart and Amazon’s grocery delivery businesses. However, Target has not limited the service to just groceries, and it’s going to expand its reach even further in 2019.
Shipt has shoppers pick up items and then deliver them to customers in under one hour in most caes. The categories that it currently offers include accessories, bath, shoes, and clothing. Shipt is available in over 200 markets across 46 states and will continue its expansion in 2019.
A yearly membership costs $99 which is $20 cheaper than Amazon Prime but Prime also includes other benefits like content libraries. The company does charge Prime members an additional $14.99 per month for its AmazonFresh grocery delivery service.
Target has confirmed that Shipt will provide same-day delivery of “all major product categories” by 2019. It currently offers same-day delivery for over 55,000 groceries and other essential items aside from select toys, electronics, and other products.
Starting in 2019, Shipt’s delivery service will expand to cover all major product categories like apparel and much more. Target’s customers will certainly love this and it will allow them to compete more with Amazon as well. What do you think?