January 30, 2023

Target will deliver you a Starbucks coffee with a curbside pickup

Target will deliver you a Starbucks coffee with a curbside pickup

To convince customers to do so, Target is improving its curbside pickup offerings. Starting this fall, the retailer will begin testing an option in select locations to add an order to Starbucks for customers who choose or return items — without having to leave their car. Target said the changes were being driven by more customers using Offline shopping optionwhich grew by 60% in its most recent quarter.
adding Starbucks (SBUX) Target said the demand for dock trucks was the “highest demand” from customers. The retailer has a contract-licensing partnership with Starbucks, allowing it to operate branded coffee shops within its stores.

To use the new feature, shoppers who plan to pick up or return an order from Starbucks in the Target app can indicate that they are “on the way” to guarantee a fresh drink or food item. The target employee will deliver the Starbucks order and the target items to the customer’s car. The option is also available for customers who complete returns through the Target app.

Another feature targeting (TGT) Testing expands ‘spare-item’ options when orders are received, providing customers with the ability to choose a secondary item if their first option is not available, other than on food and beverage orders. Since it was in use, “Target succeeded in replacing backup items 98% of the time.”

Target has expanded its sidewalk services in recent months, including letting customers buy alcohol, adding a “Shopping Partner” feature that allows someone else to pick up a shopper’s order, and expanding its partnership with same-day delivery service Shipt.

In its latest earnings, Target noted that adding these services has increased sales more than tenfold since 2019, reaching $1.4 billion in the third quarter of 2021 alone.