Retail

Target Plans No-Minimum Two-Day Shipping For Holidays

Target to Offer Free Two-Day Holiday Shipping

To take on competitors such as Amazon and Walmart, Target plans to offer free two-day shipping without a minimum order. The offering will be available on “hundreds of thousands of items” between Nov. 1 and Dec. 22, CNBC reported.

Target CEO Brian Cornell told the media at an event on Tuesday (Oct. 24), “I have never felt better about our position and our readiness to deliver against the holiday season. As those [Toys R Us and Sears] stores close, it's real market share that's up for grabs.”

Walmart, too, plans to expand in-store returns and two-day shipping for items offered on its website by third-party sellers. As of now, the retailer gives customers free two-day shipping on orders of $35 or greater on a selection that includes millions of products. Target, though, is putting new drive-up spaces and pick-up kiosks into remodeled stores. (The retailer plans to renovate 1,000 of them by the close of the decade.)

The news comes as Target is expanding curbside pickup to two new markets, California and Colorado, it was reported in August. With the service, customers order products through Target’s app and drive to the store, where employees deliver the goods to customers’ cars. Orders are usually ready within an hour after customers place them.

Earlier this year, the retailer announced its plans to introduce the service to nearly 1,000 of its brick-and-mortar stores, which the company says is on track to happen by the holiday season. Currently, it is available at locations in dozens of states.

The service is seen as a way to compete with eCommerce giant Amazon. Target is already experiencing a 10 percent rise in orders with the new service, which has been particularly popular with families, as diapers and household supplies are top sellers. Walmart also has its own version, available for around 35,000 items.

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NEW PYMNTS DATA: HOW WE SHOP – SEPTEMBER 2020 

The How We Shop Report, a PYMNTS collaboration with PayPal, aims to understand how consumers of all ages and incomes are shifting to shopping and paying online in the midst of the COVID-19 pandemic. Our research builds on a series of studies conducted since March, surveying more than 16,000 consumers on how their shopping habits and payments preferences are changing as the crisis continues. This report focuses on our latest survey of 2,163 respondents and examines how their increased appetite for online commerce and digital touchless methods, such as QR codes, contactless cards and digital wallets, is poised to shape the post-pandemic economy.

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