Target Is Making Big Changes to Its Loyalty Program—Here's What You Need to Know

It's been almost a year since we learned that Target launched a brand new loyalty program called "Red," a free membership that offered exclusive discounts and rewards just for signing up. Customers in the Dallas-Fort Worth area were the first to enjoy the program, which offered 1 percent back on all purchases to be used on future purchases. After a year of testing, the retailer will expand the concept to six cities by the end of February.

Target's corporate office shared news this week that they're rebranding the program as "Circle," and will be opening it up to shoppers across the Midwest, Southwest and Southeast. Those living in the following cities will soon be able to partake in Target's newest rewards program: Denver, Colorado; Indianapolis, Indiana; Phoenix, Arizona; Kansas City, Missouri; and Charlotte, North Carolina.

While the Dallas-Fort Worth area provided Target with solid data on how the program was being used, corporate officers say that testing the program with millions more shoppers will provide more data before they potentially expand benefits nationwide.

Target Circle will still offer 1 percent back on each purchase, which accumulates in the customer's account and can be used at a later shopping trip, but the newly revamped program also includes a 50 percent discount on a Shipt membership for same-day grocery delivery for one year. Circle members will also enjoy personalized coupons that are accumulated based on previous purchases and timely rewards (including birthday treats!).

More on how to shop smart at Target:

Shoppers who have a Target Redcard, the retailer's branded debit card, always enjoy 5 percent back on each purchase and free shipping on all their online orders. But those who have Circle memberships will also be able to enjoy free next-day delivery of grocery staples through Target's Restock service (which normally costs $3).

An added bonus? All Target Circle users can also select local charities and nonprofits for Target to work with in the future.

How Can I Enroll in Target's Reward Program?

If you live in one of the six cities listed above, simply head to Target.com/circle or use your Target mobile app to sign up for free. You can earn rewards by shopping online or in store using Target's mobile app, Cartwheel, where you'll scan your rewards card digitally.

“We’re out to make that experience even more rewarding with Target Circle, offering guests more benefits and attracting new shoppers,” Rick Gomez, the executive vice president and chief marketing and digital officer at Target, said in a statement. “We’re building deeper relationships with guests and serving up the most personalized way to shop Target yet, all while encouraging everyone to choose Target again and again.”

If you currently hold a Target Redcard, you'll still be able to join Target Circle in the future—sadly, however, you won't be able to earn the extra 1 percent back on top of the already existing 5 percent reward.