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Target Experiments with Same-Day Delivery in Three Cities

Like Walmart, Amazon and a handful of other retailers, Target is realizing the potential value in offering same-day delivery.

Target Experiments with Same-Day Delivery in Three Cities

Target is testing its Rush Delivery service in Boston, Miami and the Twin Cities metro area, allowing online shoppers the option to have their products delivered between 6 p.m. and 9 p.m. that same day. Rush Delivery costs an extra $10 per order. The orders must be placed by 1:30 p.m., or they will be delivered the next business day.

In order to ensure shoppers' packages are delivered the same day, Rush Delivery orders are filled at Target stores instead of warehouses. Then, Dynamex courier service drops the orders off at shoppers' residences. Target's plan is to eventually leverage all 1,789 of its U.S. stores as distribution centers, enabling the retailer to better compete with online retailers like Amazon and eBay.

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