Target debuts its mobile payment system within its app

Mobile payment systems are nothing new to the likes of Walmart, CVS, and Kohl’s, but for Target, they represent uncharted territory. That is what makes the retailer’s announcement of Wallet, its mobile payments system, one that folks might want to pay close attention to.

As the name implies, Wallet lets you visit Target stores and check out with the Target app. Wallet also lets you use your Cartwheel digital coupons and discounts, but that’s not new — the Target app has allowed you to do that for a while. What is new is the ability to use those coupons and checkout with your card with one scan of your barcode.

According to Target, Wallet enables shoppers to checkout four times faster than “other payment types,” a nice kick to the shin to traditional payment methods like chip-and-PIN cards. Then again, it helps that Wallet only supports the retailer’s own REDcard for the time being — the retailer saves on processing fees by pushing its own card.

Wallet also allows Target to keep tabs on consumer data it would not have if folks were to use something like Apple Pay or Samsung Pay. That point is not unique to Target, seeing how Walmart, CVS, and Kohl’s can do the same thing with Walmart Pay, CVS Pay, and Kohl’s Pay, respectively.

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In other words, Target is not the only retailer to have its own mobile payment system, but the retailer can now reap the benefits of having its own system.

Wallet is available now within the Target app. According to the retailer, the feature will eventually roll-out to non-REDcard holders, but gave no timeframe as to when that might be. Folks will also be able to add their Target gift cards to Wallet, but again, the retailer did not say when that would be enabled.

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