The Power Of Competition: Amazon Lowers Free Shipping Spend Threshold!

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I wrote 2 weeks ago that Walmart started offering free 2 day shipping on $35+ orders.

In that post I said,

It will be interesting to see if it forces Amazon to lower their $49 free shipping threshold for non-Prime members or it they’ll be wary to do that in order not to cannibalize Prime membership signups.

One thing is certain, competition is always good for consumers.

And now after waiting for a couple of weeks Amazon has indeed decided to lower their free shipping spend threshold from $49 to $35. If you have just $25 of books in your order you’ll get free shipping as well.

What I can’t understand is why WalMart decided to kill their ShippingPass subscription option. I love using Amazon Prime and ordering items without needing to meet minimum order requirements!

Now if only we could revive AirTran, Continental, Northwest, and USAirways to get some competition back in the airline industry…

HT: Davidthebest, via DDF

Amazon offers free shipping with $25+ orders or get free 1 day shipping on all orders with a free trial of Amazon Prime. A prime trial is also free with Amazon Family (which also gets you up to 20% off diapers among other benefits) or Amazon Student. EBT/Medicaid Cardholders can save on Prime Membership here.

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13 Comments On "The Power Of Competition: Amazon Lowers Free Shipping Spend Threshold!"

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Moe

If shipping on Amazon is free without Prime on orders over $35, why would you need Prime if you don’t need its video, music and ancillary benefits?

Dede

And the list goes on and on for prime…

Prime music, prime video, prime free books, prime twitch…

Anonymous

@Moe has a good point. I think first off the MAIN reason & I can speak for myself as well as many friends who have prime for the same reason is for the 2 day shipping. Secondly, now that Walmart offers 2 day shipping, Amazon will undoubtedly lose some business since Walmart although may not be as big as Amazon, they’ve definitely grown over the past few years and they only continue to get bigger. As for the only plus for Prime members who mainly care about the 2 day shipping is that there is NO MINIMUM with Amazon for 2 day shipping unlike Walmart where there is a minimum. Having said that 1 has to now wonder if it’s really worth the $100.00 a year that Amazon charges to be a Prime member in fact, I would not be surprised if Amazon lowers the cost to be a prime member in the coming months.

To add to Dan’s point that competition is always good for the consumer, a week ago Verizon rolled out their new “unlimited plan”. It was literally just a few days later that AT&T came up with their updated unlimited plan offering more options than Verizon. One week later and Sprint beefed up their already existing unlimited plan adding more features than both Verizon & AT&T AND MOST IMPORTANTLY, THEIR CONSIDERABLY CHEAPER THAN BOTH VERIZON & AT&T’S NEW PLANS.

Anonymous

If you’really reviving airlines, maybe tower air (at least to make competition)…

Anonymous

The main reason I believe that Walmart has gotten rid of shipping pass, is there integration with Jet.com (amazonesque company they purchased last summer) for those unfamiliar – jet has 35$ free shipping and they use an algorithm that lowers your cost as you add more items to your cart (they figure out the best place to sort from loads of suppliers)

Don

I for one am very happy about Walmart’s new shipping. Between the two I always buy from WM if I can, but their free shipping was always torturously slow.
The benefits of buying Walmart vs. Amazon:

1) On Amazon I am always wary of buying something I don’t know I’ll like, because I’m always scared of doing too many returns and getting banned. It’s not a comfortable way to shop.

2) Walmart has a 90 day return policy vs. Amazon’s lame 30 days.

3) I feel more anonymous on WM than on Amazon. I know that Amazon has scary software to track buying habits.

That said, the main decider is of course price…

Don too

Oh, and WM also has free return shipping, unlike Amazon where it’s free only if the item is defective.

Liam K. Nuj

Ordered a Lego set on Jet on Friday at around 2pm with Free standard shipping.
Received it today at around 11am
21 hours.
Wow!

Rebbe

@Don: do you know anyone who was banned from buying on Amazon? I know there are countless complaints on Amazon shutting merchant accounts but have never heard Amazon blocking a customers account.
I for myself hate Walmart. Their shipping is slow like molasses and I personally have quite a few stories on not receiving my order and also receiving other people’s orders..they have way to go to come even close to Amazons shipping

Rebbe

@Don too:
Oh! And Walmart customer service is superb….just kidding! Their customer service stinks. Even though I feel Amazons customer service took a hit over the last year or so and is heading to where Walmart is currently

Don three

@Rebbe:
I don’t personally know anyone who was banned for doing too many returns, but I have read many reports of it.
And as I wrote above, WMs shipping was always that of an injured snail, but that’s exactly why their free 2 day shipping is welcome news.
As the their customer service, I know that WM’s CS reps aren’t exactly domestically grown, but I’ve always had decent experiences with them.
Anyway, for most items, they have me with the 90 day return policy.

drew

Just waiting for WM to start FBA (or whatever they will call it).
Its really going to be fun to watch….and a lot cheaper too!!

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