Target steps up next-day parcel delivery as discounter tries to narrow gap with rivals

NEW YORK -- Target is expanding its next-day delivery of parcel shipments to 35 of the nation's top 60 metropolitan markets by the end of next month, marking 22 new cities this year, as the discount retailer aims to narrow the gap with the likes of Amazon.That means that its next-day delivery expansion will go to 54% of the U.S.

population, up from 20%, according to Gretchen McCarthy, Target’s chief supply chain and logistics officer.San Diego and Orlando and Tampa, Florida are on the list.

Target plans to add another 20 more cities for next day delivery by next year, the company said.Target said it offers same-day delivery to over 80% of the U.S.population, through such services as having customers order online and picking it up at the store or driving up to the curb.

In comparison, online behemoth Amazon expanded the number of same day delivery sites by more than 60% in 2024 for its Amazon Prime members, and serves more than 140 metro areas.McCarthy told The Associated Press that Target is using stores more precisely and leaning more into fulfillment centers when and where that can help with increasing speed without hurting profits.“I think about us moving from this national fulfillment model to this market-based approach,” she said.Popular ReadsWhat to know about Tyler Robinson, Charlie Kirk shooting suspectSep 14, 2:32 PMDetails of Charlie Kirk's memorial announcedSep 14, 2:41 PMVideo shows Charlie Kirk shooting suspect jump down from roof, make getawaySep 11, 10:33 PMThat entails Target continuing to use its 11 sortation centers, which batch orders packed from stores for delivery through its Shipt services or a by a third-party carrier.

It's also expanding its partnership with national carriers as well as its program with Shipt, a delivery subscription service it purchased in 2017, where drivers pick up and deliver directly from stores to shoppers' homes.Revamping its approach to speedier deliveries comes at a critical time for Target, which operates...

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Publisher: ABC News

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