Target is betting on in-app payments

As mobile payments struggle to reach widespread adoption, big-box retailer Target is jumping into the mobile payments market with its own digital wallet, hoping to tie in loyal store-branded card customers.

This week, Target launched Wallet, a bar code-based digital wallet that when enabled, lives within the Target app. It’s only open to Target REDcard credit and debit card customers, who already get a 5 percent discount on purchases. By integrating a digital version of the Target card into the app, it can apply offers and coupons at the point of sale — sweetening the offer for discount-hungry shoppers. Restricting the mobile payment feature to Target cards may seem backwards at the outset, especially given that Walmart offers a similar service compatible with any kind of card. But analysts say it serves important business objectives, which include driving up adoption of store-branded cards and creating a better customer experience by merging loyalty and payments into one place.

Read the full story on tearsheet.co

https://digiday.com/?p=266426

More in Marketing

Meta’s Threads ads arrive fast, but advertisers move at their own pace

Threads ads are here, and so is the predictable wave of testing.

Privacy fatigue is setting in after Google’s cookie U-turn. But the search for alternatives hasn’t stopped

Third-party cookies are still widespread but they’re no longer foundational. The shift is already underway, it’s just no longer waiting on Chrome.

confessions guy

Confessions of a media buyer on Google’s third-party cookie U-turn and how it helped a ‘largely lazy’ industry innovate

For media buyers, it’s been a wild time filled with false starts, urgency and many delays to an ever-extending deadline.