Target Unveils Its On-Demand Grocery Delivery Service
Minneapolis-area residents will be the first in line to test-drive Target’s new on-demand grocery delivery service.
The Minneapolis retailer is teaming up with Instacart, a same-day delivery service based out of San Francisco. The Twin Cities area will be Instacart’s 18th major U.S. market and will include a delivery radius throughout downtown Minneapolis, Hopkins, Dinkytown, Uptown, Edina, Richfield and St. Louis Park.
Target said it plans to expand the offering into additional areas in the future, but specified no timeframe as to when that may be.
“Our goal is to make grocery shopping easier and more convenient,” said Jason Goldberger, president of Target’s web and mobile platforms, in a statement. The new service will allow Target customers to receive food, household, health, beauty, pet and baby items in as little as an hour.
The Instacart partnership adds to a string of new ways to shop at the retail giant, joining options such as store pickup for online orders and the expansion of its “ship from store” program. The company has been aggressively ramping up its array of digital offerings, as detailed in a recent article by Fortune.
Instacart, with its most recent valuation of $2 billion, already maintains national partnerships with Whole Foods, Costco and Petco. The grocery deliverer is also expanding its Minnesota presence to include Cub Foods, Wedge Co-op, Lakewinds Food Co-op and United Noodles.
Roughly 150 workers, most of which are part-time, will fulfill the delivery requests across the Minnesota metro and west suburbia areas.
Target is offering a no-cost charge for the first Instacart order. Each delivery afterward will start at $3.99 for a two-hour scheduled delivery applying to purchases of $35 or more. The delivery charge is bumped up to $5.99 if a one-hour delivery is requested.