Target Grows Its Delivery Business by Partnering with a Rival
When Target (NYSE: TGT) spent $550 million to buy same-day shipping platform Shipt in December 2017, the common belief was that the retailer did so to jump-start its own ability to deliver quickly. The purchase allowed the retail chain to quickly add same-day delivery, which gave it an edge over rivals that had yet to do that, and it helped put Target on an even footing with Amazon (NASDAQ: AMZN).
It was largely expected that Shipt would become a Target-centric service. That's not entirely what has happened. The shipping company also has same-day delivery offers from CVS (a Target partner), and grocery rivals HEB and Meijer.
Now Shipt has a new deal with another Target rival. It's going to be offering same-day delivery from Office Depot (NASDAQ: ODP) as well as that company's OfficeMax brand. The deal will involve stores in more than 200 markets serving more than 60 million households.
Source Fool.com
