Target, the popular retailer, has recently begun a beta test period for a loyalty rewards program it's calling 'Target Red'. The program, which is being tested with consumers in the Dallas-Fort Worth area, offers discounts on shipping as well as cash back on certain purchases.
The lynchpin of Target Red is the massive savings that consumers can unlock on delivery. Consumers using Target Red can receive 50 percent off the price of same-day delivery through the Target-owned delivery company Shipt and free next-day delivery on essentials through Target Restock.
Beyond delivery, Target Red also lets consumers receive one percent cash back on all purchases made on subsequent trips to a Target location after unlocking that reward.
To register for Target Red, Dallas-Fort Worth consumers just need to download the Target app and sign up.
What Makes This Trend Stand Out
- Delivery-based Loyalty Programs
- Opportunity for retailers to create loyalty programs that offer discounts on delivery services.
- Same-day Delivery
- Potential for delivery companies to offer same-day delivery services at discounted rates through loyalty programs.
- Cash Back Rewards
- Incentive for retailers to offer cash back rewards through loyalty programs, encouraging repeat purchases.
Sectors Adopting This
- Retail
- Retailers can leverage delivery-based loyalty programs to attract and retain customers.
- Delivery Services
- Delivery services have the opportunity to collaborate with retailers to offer discounted same-day delivery through loyalty programs.
- Technology
- Technological advancements can enhance loyalty program platforms to incorporate cash back rewards for retailers.
