Target Enters Prepaid Mobile Phone Business

Target Enters Prepaid Mobile Phone Business

The Minneapolis-based retailer’s new mobile plan, Brightspot, uses T-Mobile’s network and provides options for prepaid plans.

Target Corporation is expanding its technology offerings to include a mobile phone plan service.
 
Brightspot—the Minneapolis-based retailer’s first foray into prepaid plans—offers either a $35 monthly plan with unlimited minutes and texts or a $50 monthly plan with Internet access through a 1GB data plan as well as unlimited minutes and texts. Customers can choose from a basic lineup of phones that go with the prepaid plans or use their own.
 
A Target spokeswoman told Twin Cities Business that the retailer plans to offer its prepaid mobile service using T-Mobile as its sole carrier.
 
“Target guests have been asking us for new mobile plan options to meet their changing needs, and Brightspot combines the flexibility of a pre-paid program with 4G data on one of the nation’s premier networks,” Target Vice President of Electronics John Butcher said in a statement published by several media outlets.
 
In an effort to incentivize its mobile program, Target will give Brightspot customers a $25 gift card for every six months of paid service. Users of Target’s RedCard credit cards will receive an additional 5 percent discount.
 
Those rewards set Target apart from competitors such as Bentonville, Arkansas-based Walmart Stores, Inc., which also offers prepaid mobile plans through its Straight Talk program.
 
Brightspot, available in more than 1,600 Target stores beginning Sunday, is one of several recent investments the retailer has made in ramping up its physical store and digital operations. Last month, Target launched its video streaming service Target Ticket, which offers roughly 30,000 movies and television shows to buy, rent, download, or stream. Earlier this year, the company acquired a beauty products e-retailer and two online cooking and kitchenware brands.