Target Goes After Amazon Prime With Free Shipping22 Oct, 2014 By: Erik Gruenwedel
Target Oct. 22 announced it will ship for free any online order purchased through Dec. 20, according to an email blast.
The Minneapolis, Minn.-based retailer is going after Amazon, which offers its Prime members free two-day shipping on most purchases for an annual fee. Prime also includes unlimited streaming access to movies, TV shows and original programing, which Target doesn’t.
“The only offer that comes close to this is by Amazon, but you don't have to pay a $99 membership fee to shop online with Target,” read the email.
Meanwhile, Amazon, which reports financials Oct. 23, recently upped its Prime membership $20 in part to handle burgeoning shipping costs — in addition to content license fees for video streaming.
The e-commerce behemoth has warned it expects to post a Q3 net loss approaching $800 million as it absorbs heightened costs associated with Prime and launching the Amazon Fire TV streaming player and separate mobile phone, among other expenses.