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October 24, 2018

Target's new holiday shipping policy puts bullseye on Amazon

Business Target
Target Stores _ Carroll Thom Carroll/PhillyVoice

The Target store in South Philadelphia.

With the holiday season around the corner, Target just got more competitive with Amazon Prime.

Target already offers free two-day shipping for online orders costing $35 or more, a newer perk the retailer began in March to offer direct competition with Amazon Prime, which gives customers free two-day shipping, and sometimes same-day shipping, regardless of the item price.

Now, the Target will offer free two-day shipping for items at any cost throughout the holiday season, beginning Nov. 1. The deal ends Dec. 22. This option was previously only available for REDcard holders, a Target membership program similar to Amazon Prime.

Last year Target offered only standard-speed free shipping during holidays.

On Amazon, non-Prime members must spend at least $25 to get free shipping – which is only applicable for standard speed. Amazon Prime membership is a $119 annual fee, or $12.99 month by month.

Walmart, which has also undergone recent changes to better compete with the power of Amazon, still requires a $35 purchase to receive free two-day shipping. There are no reports yet if Walmart will drop its minimum purchase requirement for the holidays.

Financial analysts found that Amazon was responsible for almost half of all online retail Black Friday sales in 2017. Reports say it's probable the site could take more than half of those sales this year.

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