Target has announced it will team with Shipt to provide same-day delivery of select groceries, consumer electronics, and other products in Florida.
The service will begin February 1 in Tampa and South Florida. A week later, it will begin in Daytona Beach, Fort Myers, Gainesville, Gulf Shores, Jacksonville, Naples, Sarasota, Orlando, Space Coast, St. Augustine, Tallahassee, and Treasure Coast.
Target says the new service will cover more than 6.3 million households in the state, with delivery as quickly as within one hour if requested.
“The addition of Target stores to Shipt’s online marketplace across Florida allows us to deliver on our promise to offer quality products at great prices by making Target’s wide assortment available to our dedicated members,” said Shipt CEO Bill Smith.
“Florida’s growing community of Shipt members continues to be loyal and enthusiastic about the service, and we look forward to expanding throughout the state with our newest retail partner, Target.”
Target acquiring Shipt
Target announced last month it is acquiring Shipt for $550 million in cash. At the time, it made clear that the combination would be a key element of the retailer's expansion of delivery capability, helping it to compete with Amazon and Walmart.
Target said the acquisition of Shipt would help it increase its digital fulfillment efforts by bringing same-day delivery services to approximately half of Target stores by early 2018. The company said it expects the service will be available at the majority of its stores, in all major markets, before the 2018 holiday shopping season.
In this beginning phase, Target said deliveries will be limited to the products in the Florida test market. By the end of next year, it said it expects same-day delivery will include all major product categories at Target.
“Same-day delivery was at the top of our list when we were thinking about ways to make shopping at Target even easier,” said John Mulligan, Target's executive vice president and chief operating officer. “Shipt’s personalized, customer-focused approach fits perfectly with our commitment to deliver a convenient, exceptional experience and we’re excited to begin offering same day service in Florida.”
Shipt hires shoppers to pick up items ordered by its members, who pay a $99 per year membership fee. It currently operates in 72 U.S. markets.
Amazon offers same day delivery to Prime members on orders of $35 or more. Walmart offers same day pick-up on grocery orders.