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When It Comes To Free Shipping Amazon Is Getting Some Prime Competition

Michael Sheena's picture

The secret sauce to Amazon's $79 prime shipping program is that the customers who sign up spend a lot more than non-prime members. All those sales mean more profits for Amazon and now a group of online merchants have banded together with ShopRunner.com to offer a similar deal.

While there is always the risk that a group of hardcore shoppers will pounce on a membership shipping program and run costs into the roof, the averages suggest that over time the additional sales will more than make up the difference when it comes to covering costs. While many merchants have enviously looked at Amazon's ability to bag the big game and pull in lucrative shoppers, they could never make a program like Amazon's $79 prime membership pencil out. Now a large group of vendors think they have it figured out, they will use a common provider called ShopRunner.com to provide the second day shipping program, but make it available across many different storefronts.

Powerful Lineup Of Stores Prepares To Get Into Membership Shipping Program

Babies 'R' Us, Rockport, Wilson's Leather, RadioShack amongst many others are on board now and more big names like Borders, AutoZone, Drugstore.com, Barnes & Noble, Pet Smart and all long list of other merchants will be available. The program is very similar to Amazon's, free two day shipping, no order minimums and an extra non-Amazon feature of free returns.

Added competition in the membership shipping game is a win for consumers. Amazon is already offering program where parents can get free Prime membership by ordering baby supplies and frequently offers free Prime trials throughout the year for everyone else. ShopRunner.com may force Amazon to begin offering free returns or potentially dropping the price of its Prime program to make life more difficult for the upstart. With its best customers on the line, Amazon is sure to act aggressively.

To entice shoppers, ShopRunner.com is offering a free 30 day trial before it charges the $79 membership fee. You can view more about the program and sign up and ShopRunner.com.

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