Chang chang, getting paid over here….
In an attempt to drive down costs, Amazon wants it’s Prime users to stop using it’s speedy shipping service so much they will pay you to accept slower deliveries.
The online company s offereing a $1 credit to Prime Video customers that chose “No Rush” shipping upon check out. Normally items will deliver in two days. With the no rush, items are delivered in five to seven days. This credit can be used for TV shows and videos on Amazon’s download service, though some titeles are excluded, including HBO titles. This offer will be available for a limited time.
TIME is suspecting that this deal may be an effort by Amazon to lower expenses after the company posted a larger-than-expected loss of $126 million in the second quarter. The company spent $2.4 billion fulfilling deliveries during the quarter, up from $1.8 billion in the same period a year ago. Having a longer lead-time on shipments could help drive down costs, while the company still gets to keep the extra revenue it’s generating by boosting the price of an Amazon Prime subscription from $79 to $99 in March.
Although the idea of Prime was to provide a customers with free and faster shipping, it is unclear if Prime Video is appealing to a large number of them. Amazon is trying to turn Prime into a broader entertainment services to compete with Netflix, offering Prime Instant Video and on demand music streaming.
This doesn’t seem too appealing for anyone paying $99 for speedy service. Would you be okay accepting slower deliveries for a $1 credit?
image via Tom’s Guide