Target is collaborating with the San Francisco based grocery delivery startup Instacart to start the delivery service in Minneapolis, Minnesota. The customers can place the order online or Instacart app for home supplies items as well as groceries products, pet food, baby product and some others. Once customer placed the order, they will get the product delivered to their place at the lowest price of Instacart $3.99.
This same day delivery service of grocery products of Target would compete with Amazon’s grocery delivery option. Target is also not the only one, whose product is delivered by Instacart, the delivery start up also works for Whole Foods, Costco and Safeway. Unlike the $299 annual delivery fee of AmazonFresh, Instacart will charge $3.99 per order and it varies based on the size of the order.
Other grocery delivery option includes Google Express, which is all set to start its delivery service in two cities of US this year. Initially this service will only be the home city of Target, Minneapolis and there is no clear news about expansion of this service to other cities.
Target’s this service will get very tough competition from the already existing service of Amazon. The AmazonFresh is already delivering grocery, food and other household products through its AmazonFresh service.