Amazon currently enjoys millions of Prime members that take advantage of so-called “Prime benefits” every day. Some of these benefits include fast, free delivery and a seamless checkout experience. While members can enjoy these benefits while shopping on Amazon.com, Amazon is set to expand them to the online stores of select merchants.
Amazon announced its new “Buy with Prime” shopping experience a few weeks ago. Buy with Prime is a new way to expand Prime shopping benefits into merchants’ own online stores.
Participating stores will display the Prime logo on their website and offer the following benefits on certain select products:
Prime members can look to start shopping from participating merchants when Buy with Prime rolls out later this year.
Our first quick take involves the observation that Amazon has invested significantly in delivery and fulfillment capabilities over the past few years. Buy with Prime seems to provide Amazon with one way to monetize that investment.
Another take involves Shopify. There has been a ton of speculation about the steps Amazon is taking to compete with the latter eCommerce company. Buy with Prime would perhaps be the first step in directly competing with direct-to-consumer (DTC) solution providers like Shopify. Potentially, Amazon could drive the adoption of Buy with Prime, and then follow up with DTC shopping site capabilities.
It is exciting to see how this all unfolds. We’ll continue to monitor the story and report back with updates.
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