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Target Takes Aim At Same-Day Delivery, Again

Buying a logistics firm to improve delivery speeds 8/16/2017 07:15:00 AM Eastern

In 2014 Target announced tests of a same-day delivery service in Boston, Miami and Minneapolis.

“Undoubtedly, there will be kinks,” the discounter said, and indeed the effort dead-ended as Amazon continued to flex its own same-day and even two-hour delivery muscles.

Cut to last May, when the No. 2 discount chain revealed another stab at same-day delivery through its small-format Tribeca store in New York.

Apparently the test is going well: Target is now doubling down on the effort by purchasing its project partner Grand Junction.

The latter, based in San Francisco, deploys a software platform and 700-carrier network that’s used by retailers, distributors and third-party logistics providers to manage local deliveries.

According to Target logistics chief Arthur Valdez, who was lured away from Amazon last year, the same-day pilot will extend to “a few more” New York-area stores this fall before rolling out to more major metro areas in 2018.

Grand Junction will also help Target improve its overall delivery speed, and allow for additional services like assembly and installation.

“We’ve already gotten a glimpse of what Grand Junction’s capabilities can do for our guests,” Valdez said. “We can’t wait to bring them onto the Target team to help meet our guests’ delivery needs nationwide.”

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