Target's Next Move Might Be Membership — Here's How the Retailer Is Reportedly Trying to Compete with Costco, Amazon, and Walmart+ A rumored new initiative called "Project Trident" could roll out by the end of this year.
Looks like Amazon, Walmart, and Kroger might have some big competition when it comes to paid membership programs.
According to a report from Bloomberg, Target will be joining the ranks of other retailers and rolling out a paid membership program. The program, dubbed "Project Trident," could roll out by the end of 2024, the report said.
No additional details were given about pricing, tiers, or what the paid membership would include, but if its anything similar to Amazon Prime, Walmart Plus, or Kroger Boost, members can expect exclusive deals, discounts, and perks, such as free deliveries for groceries.
Target did not confirm the news as of Thursday afternoon and did not immediately respond to Entrepreneur's request for comment.
The retailer already offers a free loyalty program for dedicated shoppers called Target Circle, which gives customers 1% back on purchases and is available to spend at the store.
Bloomberg noted that the new paid membership program could include the integration of Shipt, a grocery delivery service company that Target acquired in 2017. Target currently offers same-day delivery with Shipt in all of its almost 2,000 stores.
Target saw a quarterly revenue decline of 4.9% in Q3 of 2023 as the retailer had to increase prices and cut back on in inventory to cut costs. Total revenue was $25.4 billion, a 4.2% decrease from the same time last year.
"In the third quarter, our team continued to successfully navigate our business through a very challenging external environment," said Target CEO Brian Cornell in an earnings release at the time. "Looking ahead, we're continuing to make investments throughout our business -- in our assortment, our team, and the services we offer -- to provide the newness, affordability, and convenience our guests want during the holiday season and beyond."
Target has shuttered several retail locations across the country since last year.
This past month, CVS announced that it would be closing down dozens of locations inside of Target stores after the pharmacy chain purchased Target's pharmacies and medical clinics in 2015 for an estimated $1.9 billion deal.
Target Corp was down just over 13.7% year over year as of Thursday afternoon.