Target announced Wednesday morning that they are acquiring Shipt for $550M. Shipt is a national grocery delivery company, founded and based right here in Birmingham, Alabama.
Shipt is a grocery delivery company whose catch phrase is
more time, less stress.
They will deliver your order to your home or work, usually on the same day, sometimes in as soon as one hour!
No need to put down your winter-read or layer on the warm clothes to drive across town. For $99 per year, a customer can get unlimited deliveries from their select partners.
Target will offer the Shipt delivery service for about half of its stores by early 2018, and will join the list of Shipt retail partners. Shipt will continue to remain committed to the partners they currently deliver for.
Target plans to keep Shipt as an independent subsidiary. Target has worked with Instacart, another grocery delivery service, but the acquisition of Shipt will likely impact that relationship.
The war of delivery services continues to heat-up. Amazon bought Whole Foods for $13.7 billion this past August. Target’s acquisition of Shipt means Amazon and Whole Foods will see some healthy competition!