U.S. retailer Target has agreed to buy San Francisco-based transportation technology specialist Grand Junction in order to "improve and expand" its delivery capabilities. It said the deal would close soon, but it did not specify when.
Rob: Our team is excited about the opportunity to continue our work with Target on same-day delivery service, and for the software platform we created to be a real differentiator for Target throughout its entire network of stores and distribution facilities.
"We'll work together to expand our same-day delivery pilot to a few more New York City-area stores this fall, and then in 2018, we plan to offer the service in more major cities", said Valdez. Further expansion would occur the following year.
The company may also use Grand Junction to create an assembly and installation program like those now offered by Best Buy and Amazon.
Ultimately, will this acquisition help Target secure a spot as one of the leaders in the same-day delivery space?
Founded in 2014, Grand Junction coordinates about 6 million local deliveries a month, almost double the volume it handled two years ago.
In its bid to improve the grocery side of the business, Target has hired a couple of executives from General Mills and Walmart to spearhead its efforts. Mark Kenny, from Walmart, has been tapped to oversee Target's meat, seafood and deli sections.
Target, for example, is trying to expand its delivery options for online customers. Former General Mills executive Liz Nordlie will run Target's privately owned food and beverage brands.
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