Target unveiled several updates to its loyalty programs on Tuesday, including a new paid membership program that some see as an answer to Amazon Prime and Walmart Plus.
The changes will bring the Target Redcard and Shipt membership programs under the Target Circle umbrella. The new features launch on April 7.
Here are the details:
Paid membership program. Target's new paid membership program is called Target Circle 360 and will offer unlimited free same-day deliveries through Shipt on orders of more than $35.
It will be available at the promotional rate of $49 a year through May 18. It will then go up to $99 a year, though holders of the Target Circle Card will be able to continue to get the $49 rate. It will also offer access to the Shipt marketplace, which offers same-day delivery from more than 100 retailers.
Target Circle 360 is similar to a Shipt membership, which costs $99 a year. But members will also have access to free two-day shipping at Target and will receive other benefits of being a Target Circle member when they shop in stores and online.
Consumers who currently have a Shipt membership that was purchased through Target will be automatically rolled into the Target Circle 360 program. For those who joined through Shipt, they will receive a prompt in April asking if they want to join the new program.
Target Circle Card. Target's credit and debit cards are being rebranded from Target Redcard to Target Circle Card. It will continue to give customers 5% off every Target purchase as well as free two-day shipping on thousands of items. Cardholders will also continue to get an extra 30 days to make returns.
For existing members, Redcards will be replaced with Target Circle Cards near the current cards' expiration dates.
Target Circle. Target will continue to offer its free-to-join Target Circle program, which it launched in 2019 and already has more than 100 million members. But instead of customers having to manually find and add offers and promotions through the app, it will now automatically apply deals and promotions at checkout.
Target Circle members will still be able to earn rewards, bonuses and save with personalized deals.