Retail giant Target is testing a new distribution strategy aimed at speeding up its distribution and restocking, in an attempt to compete with Amazon and Wal-Mart. A new ‘Flow Center’ is designed to trim down inventory and tailor it for each individual brick-and-mortar store.
Target is putting a greater emphasis on digital retail and is investing $7 billion in store and digital improvements to improve delivery times to customers. In 2017 the company bought grocery delivery startup Shipt for $550 million to increase same-day delivery capabilities. The ‘Flow Center’ is currently being piloted in a New Jersey Target location.