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Target is shutting down its Curbside pickup program (TGT)

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Target is shutting down its Curbside pickup program (TGT)

Target, a discount retail store, is pictured in Richmond, British Columbia January 15, 2015. REUTERS/Ben Nelms Thomson Reuters

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Target is officially shutting down its curbside pickup program after running a pilot program, reports Consumerist.

The test run launched in October 2014 in a partnership with Curbside in six metropolitan areas across the US. Curbside is a third-party startup that partners with retailers to provide pickup at select locations.

The service lets shoppers place orders online, and a Curbside employee will have the order ready for pickup in front of the store and load it into the shopper's car for them. Target's program will officially shut down on June 15.

Without providing specifics, the company reports that it will instead be devoting company resources to its core digital offerings, including its popular savings-focused Cartwheel app and e-commerce operations. This includes the company's click-and-collect program, which will not be affected by the shutdown of curbside pickup.

Customers will still be able to pick up items they order online at their local Target store, but will no longer be able to retrieve them without leaving their car.

This news comes at a time when curbside pickup is growing in popularity among other retailers, including Target competitors. In April, Walmart announced the expansion of its curbside grocery pickup service to a number of new cities in the US, as well as doubling down on markets it's already present in, as we previously discussed.

Part of the problem likely lies in Target's supply chain management. The company has been experiencing difficulties keeping physical stores stocked while using them to fulfill online orders. We expect that as the retailer smoothes out its inventory issues, it will further build out its click-and-collect options.

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