On the heels of Walmart launching a delivery service, Amazon has raised the bar again.
Normally, Amazon Prime delivery service costs $99 per year and customers enjoy free two-day shipping on all items. But now that Walmart rolled out a beta delivery service for $50 per year that rivals Prime's service, Amazon is delivering items same-day to customers in select metro areas, according to the LA Times. This is a change from previous attempts to provide this delivery service - a few years ago, Amazon charged a fee for same-day delivery.
The service works like this: customers make a purchase of $35 or more by noon and Amazon will deliver their package by 9pm that day. The service is available 7 days per week and will include "1 million items, such as books, cables and chargers, games, cooking tools and electronics."
Delivery services will be limited to Atlanta, Baltimore, Boston, Dallas, Indianapolis, the Los Angeles metro area, New York, Philadelphia, Phoenix, the San Francisco Bay area, Seattle, Washington, DC, as San Diego and Tampa Bay according to CNet. Amazon will use third-party delivery services to make this new system possible, according to CNN Money.
Amazon can support this service because of large Amazon Fulfillment hubs offering millions of products to customers.