Target Rolls Out Loyalty Program Nationwide: What Is It And How Does It Work?

Following the recent launch of Disney shops within 25 of its stores, Target (TGT) announced that is launching its new customer loyalty program nationwide on Oct. 6.

According to the retailer, the new Target Circle program will provide customers with “an easier, more personalized shopping experience.” The program does not require a membership fee.

Included in Target Circle is a 1 percent earning on every Target purchase that can be redeemed later. Personalized deals and perks, as well as a birthday surprise, are also promised by the company in addition to early access to special sales for Target Circle members throughout the year.

Target is also allowing members of Target Circle to vote where the company directs their “giving initiatives,” choosing between about 800 nonprofit organizations local to their community.

“Our guests are at the center of everything we do, and we’re always looking for ways to create even easier, more rewarding shopping experiences that give them another reason to choose Target,” Rick Gomez , executive vice president and chief marketing and digital officer at Target said.

“We worked directly with guests to develop Target Circle, and the program includes the benefits and perks they told us were most important to them, from earning on every trip to having the opportunity to help Target make a positive impact in their local communities.”

The program will automatically enroll the company’s RedCard holders, Cartwheel members, and account holders at Target.com into Target Circle while new customers can sign up for the loyalty program by creating a Target.com account, applying for and using a RedCard or by providing their phone number at a Target store.

Target has also renamed its savings app Cartwheel to Target Circle offers, which will be integrated into the Target Circle loyalty program. This is designed to allow for “a more seamless, intuitive shopping experience,” Target said.

The Target Circle loyalty program was first tested in Dallas-Ft. Worth, Charlotte, Denver, Indianapolis, Kansas City, and Phoenix over an 18-month period. The company has more than 2 million guests enrolled in the program to date.

Shares of Target stock were down 0.95 percent as of 12:06 p.m. ET on Monday.