Amazon.com has finally launched Amazon Prime in more than 100 cities in India. Prime membership program currently is offering its customers a 60-day trial period along with an introductory discounted annual rate of INR 499 (down from INR 999). Currently a set of cities will be receiving the Amazon Prime services, but for those cities who are not yet eligible don’t be dishearten as for you Amazon has one- or two-day free delivery at no minimum purchase, isn’t that great?
Take A Look At The Benefits Offered By Amazon Prime Service
1. Amazon Prime is a service that has helped them build customer loyalty and subscription revenue globally. This service is an intend to take on the larger Indian rival Flipkart.
2. Currently Amazon has launched its Prime services only in 100 cities across India.
3. Prime will offer subscribers a guarantee one and two-day deliveries at no extra delivery cost.
4. This service is applicable to only these merchandise marked as Prime on their website and app.
5. A 30 minutes’ early access to daily deals is another add on to the Prime Subscribers.
6. Some 20 cities in India which will be able to opt for the morning and scheduled deliveries at an subsidised cost of Rupees 50.
7. Prime video is another service for the Prime users, which is Amazon’s own digital video subscription service. This is more like Netflix, and is Amazon’s next big launch. According to reports the company is looking to invest some $300 million to develop some original content and is also in talks with some Bollywood producers for the same.
8. With the grand launch on Amazon Prime, the company has offered free trial for 2 months and post that the same services will be available at an annual cost of Rupees 999, but the first year subscription is currently offered at a discounted rate of Rupees 499. Isn’t this a great strategy, so people go on and experience the benefits of swift delivery and deals from amazon. If you find them worth, then pay for the service or quit.
The Prime subscriptions in the US actually account for a big chunk of the company’s earnings. There the service is priced at $99.99 annually. At least one member of nearly half of the US households subscribes to Prime. Amazon will be looking to woo repeat buyers with Prime, just like they do in the US. A typical Prime user in US spends about $1,100-1,200 annually, which is nearly twice as much as a non-Prime user $600.
Amazon has launched its Prime service in India just when its rival Flipkart has put into cold storage its Flipkart First service. Flipkart First was launched in 2014. Flipkart with their First service, offered the members faster free delivery along with exclusive deals. Flipkart, was known for its superior customer services earlier and then it even grew to the top of the e-commerce charts in India. But they have lost the advantage post they shifted their focus merely on growth.
Amazon is making it really large when compared to the other Indian e-commerce players. They have been gearing up for the launch of Prime for pretty long now. Very recently the added six new fulfilment centres. This has taken their overall warehousing capacity in India to around 2.5 million sq ft across 10 different states. With this pace Amazon will definitely be able to make faster deliveries which they are now promising to their Prime members.
While Flipkart has now rearranged its strategy and shifted their focus on customer satisfaction, but Amazon has surely been able to catch up the attention of the buyers and are snipping fast.
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