Amazon Prime to Offer Free One Day Shipping

Amazon Prime to Offer Free One Day Shipping

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Amazon has announced that it will soon offer Prime members free one day shipping. Currently, the company offers free two day shipping to customers who are Prime members.

CFO Brian Olsavsky announced the news during the company's Q1 2019 earnings conference call.

"We're currently working on evolving our Prime free two day shipping program to be a free one day shipping program. We're able to do this because we have spent twenty plus years expanding our fulfillment and logistics network but this is still a big investment and a lot of work to do ahead of us."

"For Q2 guidance we've included approximately $800 million of incremental spend related to this investment and just to clarify, to give a little more information, we have been offering obviously faster than two day shipping for Prime members for years - one day, same day, even down to one to two hour delivery from Prime Now. So we are going to continue to do, to offer same day and Prime Now selection on an accelerated basis but this is all about the core free two day offer morphing into or evolving into a free one day offer."

"We've already started down this path, we've in the past month significantly expanded our one day eligible selection and also expanded the number of zip codes eligible for one day shipping. So we're taking a significant step, it wasn't showing up in Q1 it was minimal in Q1's results. It's a significant step and it will take us time to achieve and we want to ensure we have a good delivery experience for our customers as we evolve this offer."

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Amazon Prime to Offer Free One Day Shipping