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Wednesday, February 2, 2005

Amazon's free 2-day shipping for annual fee

According to this WSJ story (subscription required), Amazon.com has introduced a new shipping program that gives you free 2-day shipping for a fixed annual fee...kind of like the getting DVDs-via-Netflix model. Amazon will also continue to offer its free "super saver" shipping (which takes 5-9 days) via UPS ground, I believe, on most orders over $25. This was a promotion that was made permanent when Amazon realized it was significantly helping sale volume.

The Seattle Internet retailer said on its Web site Wednesday that the program, dubbed "Amazon Prime," will charge $79 a year for "all-you-can-eat" express shipping. Members of the program get unlimited two-day shipping for free on more than a million items, and can upgrade individual orders to overnight shipping for $3.99 each.

The company normally charges $9.48 for two-day shipping on a book and $16.48 for overnight. Shipping charges on electronics and other items can be higher. Amazon said members will be able to share the benefits of the program with up to four household members.

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