Target’s new loyalty program launches nationwide in October

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Target's new loyalty program launches nationwide in October

Target’s revamped loyalty program is ready for its nationwide debut and will be available to shoppers in the United States beginning October 6. Program perks include earning 1% on Target purchases, personalized deals and early access to its sales. The launch follows an 18-month test in six cities that garnered 2 million members.

Target’s program is free and will begin automatically enrolling members that have Target.com and Redcard accounts. To use it, customers can swipe a barcode from the Target app or provide their phone number at checkout. 

Target said that over 18 months, more than 2 million people have already enrolled in Target Circle, which doesn’t require the person to pay a membership fee or have a Target credit card. It said those people have completed more than 14 million transactions and that people using Target Circle are spending more in stores and online than those not enrolled in the program.

“We are seeing a benefit in building our guest base,” Rick Gomez, Target’s chief marketing and digital officer, said on a call with media. During the pilot phase, “engagement [has] exceeded our expectations,”

he said.

In addition to the birthday perk, Target Circle offers users 1% back on all purchases to redeem on future visits, early access to deal days, personalized coupons and the opportunity to choose which local nonprofits Target should donate toward. They can pick from upwards of 800 organizations.

As part of the nationwide rollout, Target’s existing Cartwheel platform for coupons will become integrated into Target Circle.

Target joins retailers including Macy’s, Nordstrom, Nike and Kohl’s that have made greater investments in their loyalty offerings.

Target’s stock is trading near all-time-highs, and shares are up more than 60% this year.

Source: cnbc.com