Target is launching its own grocery service to rival its fellow grocery chains, aiming to reach consumers who wish to have their groceries delivered to them.
The new service is a revamped version of its Target Circle rewards program and will consist of three shopping tiers. The highest tier, Target Circle 360, will offer the most benefits, including free delivery on groceries for orders $35 and up, free two-day shipping, and extended time to return items.
“We’ve prioritized building strong relationships with guests since Target’s inception, and our reimagining of Target Circle continues that commitment,” Target Executive Vice President Cara Sylvester said. “The new Target Circle experience was designed to flex and grow with our guests to deliver more value and ease — no matter how they choose to shop with us — so every visit feels personal, rewarding and made just for you.”
The revamped rewards program will launch on April 7, with early adopters only having to pay $49 for their first year. The retailer will end its early adoption period on May 18, after which consumers will need to pay $99 a year to participate.
The two lower tiers of the rewards program, Target Circle and Target Circle Card, will also be available, though without the option for door delivery. Should Target Circle Card members wish to upgrade to the 360 tier, they can choose to do so for $49.
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The move by Target to capitalize on grocery delivery services comes as other chains have already offered such a service. Walmart launched Walmart+ in 2020, offering shoppers who spend $35 or more the option to have their groceries delivered to them for either $12.95 a month or $98 a year.
Amazon has also launched its own grocery chain in Amazon Fresh, which also lets shoppers order groceries directly to their doorstep. Last year, the chain updated its delivery offer to only allow free delivery to orders that cost $150 or more.
