Target hopes same-day delivery will deliver

Target rolls out its latest move to better compete with rivals such as Amazon on Thursday. The Minneapolis-based retailer is launching a same-day delivery service in the Twin Cities.

Deliveries from 50 Target stores will be available to the vast majority of households in the greater metro area, including those in western Wisconsin. There's a $99 annual fee for unlimited deliveries on orders of $35 or more.

At launch some 55,000 items will be eligible for delivery, including perishable groceries, electronics and toys. Clothing will be included in the future.

Lots of retailers are ramping up same-day delivery services, from Amazon and Best Buy to Walmart and Macy's.

"To keep up with competitors, you need to offer same-day delivery," said Brain Yarbrough, a retail analyst with Edward Jones. "Consumers are demanding it more and more in this day and age."

Shipt, a company that Target bought for $550 million last year, plans to hire 4,000 people locally to pick and distribute orders. Customers select delivery time periods and must be present to accept shipments.

Target plans to offer same-day delivery from the majority of its stores nationwide by the holiday season. By the end of 2019, Target says all major product categories will be available for same-day delivery.