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Target buying transport technology company to expand delivery capabilities
16 August 2017, 03:27 | Lorenzo Hawkins
Target Agrees to Buy Software Firm to Compete With Amazon
USA discount retailer Target is looking to step up its game, as Amazon continues to its journey to take over the retail sector, with the purchase of local and same-day delivery software company Grand Junction.
The retailer announced on Monday it agreed to purchase Grand Junction a tech startup whose software is able manage local deliveries by using a network of almost 700 carriers. The software company also enables payment processing, visibility and operations dashboards.
Target has been working with Grand Junction to test same-day delivery at a NY store. "This acquisition is part of Target's ongoing efforts to strengthen Target's supply chain to provide greater speed, reliability and convenience for guests". The purchase of Grand Junction will help the company achieve its goals for offering same-day delivery service to in-store shoppers. It said the deal would close soon, but it did not specify when.
According to the company's website, Grand Junction is the only provider of same-day delivery in every market in the USA and Canada, allowing leading retailers, 3PLs, distributors, and start-ups to offer local delivery through its technology platform and network of 700 local carriers. It became Target Corporation in 2000.
Instacart still does deliveries for Target in San Francisco, Chicago and Minneapolis as part of a test program, Target spokesman Eddie Baeb said. Target plans to expand the service to other NY locations this year, then bring it to other major cities next year.
"It's a thrill to join a brand like Target, especially at a time like this when the company is dedicated to making supply chain and local delivery a game-changer", added Rob Howard, Grand Junction's founder and CEO.
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