For many online shoppers, free delivery is an essential factor in making purchasing decisions. However, Amazon recently raised the minimum purchase of free delivery from $25 to $35 for some customers.
This new threshold has been put in place for Amazon Prime members in the U.S., with no minimum required attached to purchases for a select number of products including AmazonFresh, Amazon Pantry, and Whole Foods Market products.
The new change comes at a time when Amazon is in a strong position to be able to afford this decision, given their dominant position in the market and continued strong growth. The company has attempted to make the $35 minimum by pointing out the many benefits that Prime membership brings. Amazon Prime members receive exclusive discounts, a faster shipping time of two days, and access to a wide selection of streaming media content on Prime Video and Prime Music offerings.
The new policy has been met with criticism from consumers, who worry that they’ll now have to pay for shipping on orders that used to be free. On the other hand, the change has the potential to be beneficial for Amazon as it may encourage more consumers to become Prime members. Amazon is estimated to have over 100 million Prime members in the U.S. and this measure could help add to this total.
Ultimately, Amazon’s decision to raise their minimum free shipping threshold is likely to be a win-win for both the company and consumers. Customers will still be able to benefit from the exclusive Prime discounts, while Amazon could see more people signing up for the service.
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