Retailer Target Corporation TGT is in the very final stages of testing a new loyalty program which will be launched nationwide in early October, the company said in a press release.
What Happened
Target was quietly testing new ways of rewarding consumers in five markets, including discounts on future purchases and rewards on customers' birthdays, CNBC reported. After 18 months of testing in which two million users signed up, a nationwide roll-out will take place on Oct. 6 and will be available to all shoppers.
The new loyalty program is called Target Circle and comes with no annual membership fee. Benefits include a 1% discount on future purchases, the ability to vote on which local charities and nonprofit organizations to support, personalized deals and perks and early access to special sales.
Why It's Important
Target's customer base is "at the center of everything we do" and management continues to look for new ways to give them "another reason to choose Target," Rick Gomez, chief marketing and digital officer, said in the press release.
The executive cited during a conference call engagement "exceeded our expectations" during the trial phase, according to CNBC.
What's Next
Customers who already have a Target.com, Cartwheel or Target-branded RedCard account will automatically join the Target Circle reward plan in October. New customers can sign up for any of the accounts to join the loyalty program.
Price Action
Shares of Target are down 1.42% to $108.29.
Related Links
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