New Pilot Loyalty Program to Start In April At Target

Come April, Target will be testing a new loyalty program in the Dallas-Fort Worth area called Target Red.
Company officials declined comment, but the company website offered a brief description of what’s in store for customers.
Target customers can enroll in Target Red, a new pilot loyalty program with exclusive benefits “that are hard to beat,” the website says.
Those perks include 1 percent back on every purchase, which can be redeemed at a later trip, and the chance to vote for one of three local organizations to help direct Target’s community giving. Guests also can save 50 percent off a first-year membership on same-day delivery with Shipt, and receive free next-day delivery on essentials with Restock.
“When developing Target Red, we went straight to our guests to better understand what would be most meaningful to them in a loyalty program,” Rick Gomez, Executive Vice President and Chief Marketing Officer for Target, said on the website. “That’s what they’ll see reflected in this test—a free and easy way to be rewarded simply for shopping at Target. On top of the shopping benefits, the program also aims to create a more personalized experience for our guests, like giving them a chance to help direct our community giving in their own backyard.”
Guests in the Dallas-Fort Worth area can enroll in the test program via the Target app. Once registered, they’ll be able to start redeeming rewards online or in stores through their Wallet in the Target app, as well as vote for local organizations to help direct Target’s community giving.
What’s more, current Target REDcard holders can also register for Target Red. And while the program’s 1 percent back is not stackable, they can enjoy all the other perks while continuing to save 5 percent when using their REDcards.
The program is free to join and no card is necessary.
Five months ago, Carolyn Sakstrup, Senior Vice President of Marketing at Target, talked to Loyalty360 about its future loyalty plans.
“At Target, we recognize that transactional points programs are just one way to generate loyalty,” Sakstrup explained in October. “We believe that true loyalty is created when a brand can forge a relationship with those they serve and when there are strong functional and emotional benefits to it. And since every guest is different, brands need to offer a range of benefits that are dynamic and evolve as the relationship with their guests deepens.”

Sakstrup added: “We are approaching loyalty quite differently than we have in the past, looking at how we can connect with and strengthen our relationship with every type of guest, from our most loyal shoppers to first-timers. Instead of one program, we are in the process of building and testing a broader platform of offerings that will give all of our guests a more exciting and rewarding shopping experience.”

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