Amazon is likely hoping that the cheaper free shipping threshold makes it better able to compete with Walmart for non-Prime members. "I don't think there's any way over the immediate term, even with the aggressive policies that Marc Lore and Wal-Mart are introducing, that Wal-Mart is going to be disruptive overnight to Amazon's business - with the exception of pricing". If you haven't tried it, you can sign up a for a free 30-day trial here. Previously, non-Prime members would only qualify for free shipping if they placed an order valued at $35 or more.
Shoppers with Amazon Prime memberships, which cost $10.99 a month or $99 a year, get unlimited free two-day shipping on eligible items with no minimum along with other benefits like streaming TV, movies and music. Wal-Mart and Amazon each offer free two-day shipping, and Amazon's Prime Now service ensures same-day delivery of over 25,000 items.
Target, like Wal-Mart, has been touting the ability for a consumer to order online and pickup in store or to return an online order at a physical store.
Target said last week that it will begin testing same-day delivery for in-store purchases form its Tribeca location in Manhattan. These items get delivered in three to five days. Target now offers free shipping at that dollar amount ordered, but it only promises delivery in 3-5 days. And the Wal-Mart program does not require people who use it to be members of any of Wal-Mart's credit card plans or shipping plans.
Wells Fargo Beefs Up Settlement To Appease More Customers
In December, the Fed and Federal Deposit Insurance Corporation notified Wells Fargo that the bank's plan fell short. This month, the bank said it would pay $142 million to settle a customer class-action lawsuit.
This news comes after big-box retailer Wal-Mart, in January, rolled out free two-day shipping for orders over $35. Most promise delivery in two days. These appear to be selected by Wal-Mart management based on some formula not available to customers.
Free shipping tactics have become a major part of retail competition for online customers.
In response, Amazon, which upped the free shipping from $35 rate to $49 in 2015, lowered the threshold to $35 in February.
Comments