Whether you pronounce it Target or Tar Jay, the Minneapolis retailer is not running from a fight. Just as Amazon officially took possession of Whole Foods and cut many of its prices, Target announced it was introducing a new line of wines, California Roots, that will sell for $5 a bottle.
The wine line is priced higher than Trader Joe’s Two-Buck Chuck, but less than Amazon’s newest wine label, Next, which is produced by Oregon’s King Estate Vineyards for Amazon’s sole distribution. Next Pinot Gris is $20, the Red Blend is $30 and the Pinot Noir is $40.
California Roots is described as “carefully crafted with premium, California-grown grapes.” Sales of the Chardonnay, Pinot Grigio, Moscato, Cabernet Sauvignon and Red Blend are set to be available at more than 1,100 stores nationwide on Sunday—just in time for Labor Day barbecues.
Wine, beer and other adult beverages are among Target’s fastest growing categories, according to their press release. Target told investors in its annual report that it would begin a three-year $7 billion-capital investment to spruce up existing stores and open new, smaller ones. It also promised its shareholders that it would unveil more than a dozen new exclusive brands.
“We’re out to give our guests even more reasons to love Target, including exclusive products they can’t find anywhere else,” says Jeff Burt, senior vice president of food and beverage. “And we think they’re going to love California Roots. These wines are just the right blend of incredible quality and amazing value that guests can only get at Target.”
Target is also aiming at Amazon’s Prime Pantry service. Earlier this month, it began testing Target Restock in the Dallas-Fort Worth area and Denver. The service allows customers to buy non-perishable foods and household items (whatever fits into a box with a 45-pound capacity) and have them shipped to their homes the next day for a flat $4.99 delivery fee.