Amazon.com Inc.’s latest earnings show just how much it costs the company to reduce Prime shipping to one day, but analysts say the e-commerce giant is already reaping the benefits. Amazon (AMZN) announced in April that it was cutting its two-day shipping for Prime members in half at a cost of $800 million in the second quarter. Amazon’s Chief Financial Officer Brian Olsavsky said on the second-quarter earnings call late Thursday that the total spent actually exceeded that breathtaking prediction. Read More...
One-day shipping is expensive for Amazon, but analysts say it’s driving growth in new Prime members
Amazon.com Inc.’s latest earnings show just how much it costs the company to reduce Prime shipping to one day, but analysts say the e-commerce giant is already reaping the benefits. Amazon (AMZN) announced in April that it was cutting its two-day shipping for Prime members in half at a cost of $800 million in the second quarter. Amazon’s Chief Financial Officer Brian Olsavsky said on the second-quarter earnings call late Thursday that the total spent actually exceeded that breathtaking prediction.
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