Prime members may be getting a sweet new deal.
According to a recent article from CNBC, Amazon Prime members will soon have free one-day shipping. One-day shipping would then be the new standard on Prime.
”We’re currently working on evolving our prime free two-day shipping program to be a free one-day shipping program, ” Amazon CFO Brian Olsavsky said.
Amazon will spend about $800 million on warehouses and improving delivery to make the transition possible.
The change won’t take place all at once. The company is expected to take the change a little at a time, quarter by quarter.
Amazon Prime currently costs $12.99 a month, and $6.49 per month for students.
What does this mean?
Amazon already offers free one-day shipping on many products for Prime members. However, this change will eventually spread to the majority of the products offered.
Amazon currently has about 103 million Prime members. They are without a doubt the current kings of shipping and retail. Companies like Target and Walmart are going to need to step up their game and make changes to their business model in order to compete.
The question as to whether or not Amazon is good for the country is up for debate. Amazon recently came under a harsh light when it was revealed that they did not pay any federal income tax in 2018 on $1.1 billion in profit. The company also received more than $120 million in tax breaks.
Prime members will enjoy this perk once it is available for their home, but until then, maybe we should look into shopping local.
