Target launches new paid membership program that rivals Amazon
Target is taking a page out of the Amazon playbook in an attempt to bolster sales by launching a new paid membership program that offers free same-day delivery.
The Minnesota-based retail giant announced Tuesday that it is expanding its current Target Circle loyalty program by adding three new membership options starting next month. The announcement came on the same day that Target reported its first sales decline in more than seven years.
The new program launches on April 7 and will give customers the option to choose between three membership tiers: Target Circle, Target Circle Card, and Target Circle 360.
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Target Circle
Since launching in 2019, Target says over 100 million customers have signed up for its free Target Circle loyalty program in order to get access to personalized deals, savings, and other perks. The new iteration will keep the same name and benefits as before, but instead of customers having to search for or add individual offers, deals will now be automatically applied at checkout. Members will also earn 1% back in rewards that can be redeemed on future store purchases.
Target Circle Card
Previously known as the Target RedCard, the new Target Circle Card is also free. It will offer members free two-day shipping, an extra 30 days to return items, and an extra 5% off all purchases. It also comes with a special pricing discount on Target's paid membership mentioned below.
Target Circle 360
The Target Circle 360 membership is the company's newest paid option. Like Target Circle Card holders, this program also offers customers free two-day delivery. But it also includes free same-day delivery on orders over $35 and lets members have orders shipped directly to their doorstep, or a friend's. New members can sign up between April 7 and May 18 at a discounted price of $49 for the first year. After that sign-up period, the cost will go up to $99 annually — but Target Circle Card holders can sign up any time for the discounted price.
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“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 in a statement. “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.”
