Report: Amazon to raise ‘add-on’ item requirements
Amazon’s new ordering requirement could impact Prime members’ ability to order what they want, when they want.
The online giant is increasing the required number of products it calls “add-ons” needed to make a shipment. Besides offloading costs onto suppliers, limiting the number of single, low-priced items shoppers can purchase will help Amazon offset rising shipping costs, according to Bloomberg.
Amazon’s add-on program offer customers “thousands of low-priced items that would be cost-prohibitive to ship on their own.” These orders can include a mix of add-on merchandise combined with other items shipped by Amazon, or be entirely made up of add-on items, according to the online retailer’s website.
Carts that contains a mix of add-on items and other merchandise with a total value of less than $25 will automatically be saved to the customers’ next qualifying order. Carts that consist entirely of add-on items with a total value of less than $25 will not be presented with a “proceed to check-out” option. Instead, shoppers will be prompted to “continue shopping,” according to the site.
The new move also impacts Prime members. When they choose add-on items with over $25 of Prime items, they will receive Prime shipping benefits. However, Prime items shipped by other sellers do not apply towards the $25 minimum to purchase add-on items, according to Amazon.
The revamped program is the result of Amazon’s examination of delivery expenses associated with these low-cost, fast-moving items. Amazon currently deducts the cost of moving inventory through its distribution network from what it pays suppliers for bulk orders. Now the company is seeking to significantly increase those deductions, which will help keep a lid on transportation fees, according to Bloomberg.
The online giant is increasing the required number of products it calls “add-ons” needed to make a shipment. Besides offloading costs onto suppliers, limiting the number of single, low-priced items shoppers can purchase will help Amazon offset rising shipping costs, according to Bloomberg.
Amazon’s add-on program offer customers “thousands of low-priced items that would be cost-prohibitive to ship on their own.” These orders can include a mix of add-on merchandise combined with other items shipped by Amazon, or be entirely made up of add-on items, according to the online retailer’s website.
Carts that contains a mix of add-on items and other merchandise with a total value of less than $25 will automatically be saved to the customers’ next qualifying order. Carts that consist entirely of add-on items with a total value of less than $25 will not be presented with a “proceed to check-out” option. Instead, shoppers will be prompted to “continue shopping,” according to the site.
The new move also impacts Prime members. When they choose add-on items with over $25 of Prime items, they will receive Prime shipping benefits. However, Prime items shipped by other sellers do not apply towards the $25 minimum to purchase add-on items, according to Amazon.
The revamped program is the result of Amazon’s examination of delivery expenses associated with these low-cost, fast-moving items. Amazon currently deducts the cost of moving inventory through its distribution network from what it pays suppliers for bulk orders. Now the company is seeking to significantly increase those deductions, which will help keep a lid on transportation fees, according to Bloomberg.