Target Takes on Amazon with Package Consolidation Option on Ecommerce Orders

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Target is in the midst of developing an option that lets customers consolidate ecommerce orders of multiple products into fewer packages, Business Insider reported.

When customers check out, they will have the chance to ship items in fewer boxes and be offered a $1 incentive to do so.

Business Insider reported that Target is incentivizing shoppers to use the consolidated shipping option in an effort to help the company streamline its fulfillment and reduce costs. By shipping fewer parcels, Target can improve organization within its stores and fulfillment centers.

This concept is similar to the Amazon Day option, in which Prime members receive all their weekly orders on a set day and like Target, Amazon’s program helps the company save on delivery costs through consolidation when more customers opt into this option.

Business Insider reported the credit given to customers will cater to their preference of free shipping. Customers, however, aren’t guaranteed free shipping on their orders, Target has a minimum order threshold of $35, unless customers pay with a Target credit card. Where there isn’t a free shipping threshold (i.e., paying with a Target card), a $1 credit will be applied to the item cost.

In February, Target expanded Target Circle, a new loyalty program in its mobile app. Originally tested in Dallas, it’s now being rolled out to five new markets. Members perks include a 1% rebate, the ability to direct philanthropic giving and special offers. Shipping benefits include free delivery on Target Restock orders and the option to sign up for a 1-year membership to same-day delivery service Shipt at a 50% discount.

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