Target vs. Amazon

Target is bringing its same-day delivery option to the masses — the latest move in an ongoing delivery war involving the big-box retailer, Walmart and Amazon.

Target announced Thursday that online shoppers in 47 states will now be able to get items delivered same day by paying a flat fee of $9.99 per order. It’s using Shipt, a membership-based, same-day delivery platform it acquired for $550 million in 2017, to do this.

Target shoppers have been able to get orders delivered on the same day by being a Shipt member, which costs $99 per year. That option is still available for everyone, Target said, but the company is making it easier for people to choose same-day delivery on an order-by-order basis, versus signing up for an annual membership.

Target’s announcement comes amid a flood of activity among internet retailers to get orders to customers as quickly as possible. Walmart and Amazon recently announced next-day delivery options, with Walmart promising to reach roughly 75% of American consumers with faster shipping by the end of 2019.

Amazon offers Prime members, who pay a $119 annual fee, free same-day delivery for more than 3 million items and for orders over $35. Nonmembers have this option by paying an additional $9.98 per item, according to its website. And this is only for “select areas” across the U.S., Amazon says.

Walmart is on track to offer same-day delivery for groceries out of a network of 1,600 stores by the end of the year — double what it was in January. Fees for this option will vary based on location. And this fall, Walmart plans to begin delivering grocery orders inside homes, straight to customers’ refrigerators, in a few markets. It still hasn’t disclosed how much extra this service will cost.

Now, with Target’s same-day delivery expansion, 65,000 items on Target.com can be delivered within an hour, the company said. Shoppers will be able to use their Target credit cards to pay, which gives them a 5% discount. It said this same-day delivery option should be incorporated into the Target mobile app before the holidays. It’s currently live on desktop and mobile web browsers.

“With same-day delivery now available directly within the Target.com experience, we’ve made it even easier for our guests to shop at Target,” Dawn Block, senior vice president of Target’s digital operations, said in a blog post

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