Driven by a goal to make Shipt more accessible amid the pandemic, the delivery service provider owned by Target Corp. is giving customers nationwide more ways to shop with a new option to pay per order.
Instead of signing up for Shipt’s traditional $99 annual membership, which covers unlimited free deliveries on orders of $35 or more, customers may now purchase passes of one, three or five Shipt shops for $10, $9 or $8 per delivery, respectively. They can, however, move from pay per order to a subscription model at any time.
"Ever since Shipt first launched with our subscription membership model, our customers have responded positively. And up until now, all of our customers had an ongoing membership with us," CEO Kelly Caruso said in a release. "However, we knew that we had an opportunity to introduce even more people to Shipt by allowing them to shop with us in ways that best suit their needs. The challenges consumers have faced during the pandemic further strengthened our resolve to make Shipt as accessible to as many customers as possible."
During a test earlier this year, the passes accounted for the majority of how new users began shopping with Shipt. The Birmingham, Ala.-based company said it saw a 25% increase in new customers as a result of the pay-per-order offering.
"We believe that the future of Shipt is one where our customers and members engage with us in ways that work for them, their needs and their lifestyle," Caruso added. "This expanded suite of delivery rates and options has been a meaningful option for both new customers as well as those that are new to grocery and essential delivery services."