Amazon Is Cutting the Shipping Time on Its Free Shipping for Prime Members

Apr 25, 2019  •  Post A Comment

The free two-day shipping that Amazon provides as a perk to Prime members is going to be cut down to one-day shipping, CNET reports, citing Amazon finance chief Brian Olsavsky on today’s earnings call.

CNET reports that Olsavsky “said Amazon is already spending heavily to update its infrastructure to make the change, including $800 million in investments in the current quarter, starting in North America. The program is expected to speed shipping times for Prime members worldwide, Olsavsky said.”

The report quotes Olsavsky saying: “We’ll be building most of this capacity through the year, in 2019. We expect to make steady progress quickly and through the year.”

The report notes that Amazon competitors such as Walmart and Target “are finally starting to catch up to Amazon’s efforts to offer quick shipping for online purchases.”

The news comes on the heels of a price increase for Amazon Prime, which went up about $20 a year to $119.

“Olsavsky said the company expects the speedier shipping will provide convenience and ‘open up a lot of potential purchases’ to customers, encouraging them to buy more stuff on Amazon that they need right away,” CNET adds.

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