Amazon drops its $25 free shipping minimum for holidays

David Paul Morris  Bloomberg  Getty Images

Amazon spent more than $7 billion on shipping in the fourth quarter previous year, before subtracting the shipping fees it collects from customers.

Amazon did not announce a cutoff date for the promotion, but said that free shipping will be available for all orders arriving in time for Christmas.

Well, Amazon has struck back; now it too is offering free shipping with no minimum to all customers, according to Reuters.

It marks the first time Amazon has removed the minimum order requirement for its free super-saver shipping tier. The company's help page for the new program has the fine print: "With free shipping, your order will be delivered 5-8 business days after all your items are available to ship, including pre-order items".

It may be because Amazon felt the need to compete with big box stores who are also offered free shipping promotions.

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Amazon has just announced that they are offering free shipping to all Amazon customers in the USA with no minimum purchase starting Monday, November 5!

"They're forcing Amazon to react", Wedbush Securities analyst Michael Pachter said.

"Amazon's move to give free shipping for all this holiday supports [the] thesis that retailers are catching up on Amazon with supply chain speed, fulfillment and delivery", Konik wrote. The same week, Walmart announced that two-day shipping would be free for Marketplace items. In the wake of Walmart's change, it lowered the threshold twice that same year: to $35, and then to the current non-promotional threshold of $25.

The online retailer has confirmed that its Black Friday 2018 sales period will run from November 16 all the way through to November 25.

Amazon is hoping increase sales after the company's revenue projection for the rest of the year fell below some estimates.

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