Amazon.com opposition same on Th it’ll supply restricted free same-day delivery underneath its Prime shipping service as retailers try and outdo one another on delivery deals, and enlarged the service to point of entry and also the Tampa Bay space.
Amazon offers same-day delivery to Prime members for $5.99 per order and non-members for $8.99, and ninety nine cents per unit. the web distributor can permit Prime members free same-day shipping on orders over $35, Greg Greeley, head of Prime, told Reuters.
“We recognize same-day delivery volumes can grow dramatically currently that we have a tendency to area unit creating it free,” he said.
Amazon’s announcement comes among days of rival Wal-Mart Stores opposition language it plans to check a replacement unlimited on-line shipping service this summer for $50 each year, a move that will hurt Amazon, that has Associate in Nursing annual $99 Prime shipping service.
Google opposition conjointly recently launched its specific searching choice that enables retailers that don’t have same-day delivery capabilities, to use its network in sure markets. Google specific prices $10 a month, or $95 a year.
Amazon launched Prime a decade past giving free, two-day shipping – initially charging $79, then raising the service to $99 last year. In 2009 Prime launched same-day delivery and last year started a one-hour delivery service, Prime Now.
Prime has become the cornerstone of Amazon’s growth – and a laboratory for brand new services starting from tv programs and films to delivery-by-drone.
In 2014, Amazon spent billions of bucks on Prime shipping and has endowed $1.3 billion in its Prime video service.
Earlier this year Amazon same U.S. Prime membership increased fifty p.c in 2014. In December, it same customers ordered over ten times as several things via same-day delivery this season, compared to a year earlier.
The same-day delivery service is already obtainable in cities like ny, metropolis, the urban center Bay space, Seattle, Atlanta, Boston, and Baltimore, among others.
A recent study of one,400 internet buyers by Walker Sands Communications found that free shipping was the feature presumably to induce folks to buy on-line, followed by free returns and one-day shipping. The study conjointly found nearly ninety six p.c of respondents had created a sale from Amazon within the past year.
Source : http://in.reuters.com/article/2015/05/28/amazon-shipping-idINL1N0YJ0KB20150528