Consolidation in the retail sector shows no signs of slowing, all in the name of a more impressive customer experience. Earlier this year we saw Amazon’s massive purchase of Whole Foods for a mere $13.7 billion, likely paving the way to a futuristic grocery shopping experience. But they aren’t the only retail giant making moves this year.
This week, Target announced that it would be acquiring Grand Junction, a San Francisco-based transportation technology company that offers a software platform for retailers, distributors and third-party logistics providers to manage deliveries through a network of more than 700 carriers. The purchase is intended to expand Target’s delivery options and abilities. According to the press release shared by Target on Monday:
“Grand Junction’s technology and algorithms will help Target deliver to guests faster and more efficiently,” said Arthur Valdez, executive vice president, chief supply chain and logistics officer, Target. “This acquisition is part of Target’s ongoing efforts to strengthen Target’s supply chain to provide greater speed, reliability and convenience for guests.”
With the continuous growth of online shopping, it’s not surprising that retail leaders like Target are looking for ways to optimize their supply chains and delivery systems. A smooth-running supply chain is paramount in a truly seamless customer interaction and that’s not something that’s optional anymore in the age of the Enlightened Buyer.
And with same-day delivery in large metro areas being one of the strongest selling points for Amazon, Target is clearly planning to take a big bite out of the market.
Other competitors like Walmart have also communicated their efforts in boosting their eCommerce offerings to tackle the likes of Amazon and it has quickly turned into a retailer showdown. Retailers that pre-date the internet naturally dominate in the brick-and-mortar space, but they are quickly adapting to the age of internet retail.
With competitors like Amazon and Walmart, Target has their work cut out for them, but embracing same-day delivery is definitely a step in the right direction. At this point, only time will tell how Target will deliver on the promise of same-day delivery and how customers will respond to the experience.