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How teamwork is helping Shipt deliver new tech jobs in its Alabama hometown

When Birmingham-based Shipt was acquired for $550 million by retailer Target in late 2017, there was a real chance that the homegrown company would end up leaving the city and taking hundreds of tech jobs with it. After all, Target was looking to utilize Shipt’s technology as its home-delivery platform nationwide.

Aiming to prevent that, the Alabama Department of Commerce, the Birmingham Business Alliance and other organizations formed a team that recognized the importance of assisting an innovative, hometown company.

In the end, the Alabama team was able to put together a talent-acquisition and skill-building plan that would allow Shipt to remain in Birmingham and grow its workforce with 881 new jobs.

The expansion comes amid a strategic push by Shipt to add new retail partners and speed the rollout of its marketplace delivery service across the United States. The hiring will increase Shipt’s corporate workforce to more than 1,000 people over several years.

To facilitate its job-creation plans, Shipt will receive support from AIDT, the state’s primary workforce development agency, for recruitment assistance, talent development services and on-the-job training, as well as tax credits under the Alabama Jobs Act.

“Shipt was founded and has flourished in Birmingham, and we would not have reached the success we have today without the continued support of this community,” said CEO Bill Smith. “As a rapidly growing technology company, we feel fortunate to be able to offer an avenue for creating highly skilled jobs within Birmingham.

“With this development package, we’ll be able to deepen our roots in our hometown, helping establish Birmingham as a center of technology and innovation not only in the South, but also within the United States.”

‘Innovation Environment’

The Shipt expansion is not only creating new jobs but also anchoring its current workforce, totaling around 300, in Birmingham.

“Shipt represents the innovation, ingenuity and entrepreneurial spirit that is defining a new generation of builders in Birmingham, and we are proud that Shipt calls our city home,” Birmingham Mayor Randall Woodfin said.

The economic impact of Shipt’s growth will be significant. An analysis by the Alabama Department of Commerce estimates the financial benefits of Shipt’s expansion project over 20 years:


  • Total new payroll: $1.1 billion (permanent jobs)
  • Total new state revenue: $100.5 million
  • Return on investment to state: 529%


“Shipt is a highly successful company that sprang from Birmingham’s innovation environment, and its decision to accelerate its growth in the city speaks volumes about the potential they see for growth there,” said Greg Canfield, secretary of the Alabama Department of Commerce.

“We hope this becomes a signpost project that leads the way for the growth of innovation opportunities in Birmingham and across the state.”

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