Target has been very busy lately to have that competitive edge against Amazon and Wal-Mart. Last fall, Target focused on the expansion of its subscription-based e-commerce service. It is somewhat similar to Amazon’s “Subscribe and Save” program. The company originally offered baby-care products with only 200 online items. Now, it has 1,500 online items available for subscription purchase with varied items such as health and beauty products, grocery items, office supplies, and so on.
Target is making their subscription-based e-commerce service even more appealing to consumers. Aside from its free shipping and 5% savings when using Target card or Target VISA, now there is an additional 5% for subscription orders making it a whopping 10% savings all in all.
Not only that, Target is now also offering extra savings on items on a promotional basis. It is like an added incentive for buyers buying in quantities or regular subscription. With this marketing move, it will definitely entice more customers to sign up for regular shipments.
With this new marketing venture, Target has quickly increased its subscriptions. It accounted for 15% of online sales for eligible items. It is not the total sales, however. Target.com did not divulge any of its online sales figures. They are still keeping mum about it.
Another program used by Wal-Mart was utilized by Target. It is where buyers make their purchases online and just pick them at the store. This program now accounts for 10 percent of Target’s online business. At first, there were only 35,000 items being sold. Now, there are 60,000 items available for online purchase.