Why Would Amazon Offer a Free Upgrade?

Yet another reason to love Amazon.com!

Amazon has several programs in place that enable customers to get free shipping. On most items, in fact, if you spend 25 bucks they offer free shipping.  As the holiday season gets underway, they are offering a free upgrade to Two-Day Express Shipping, which is a noteworthy customer benefit!

But it’s also a good thing for Amazon, too. As you can imagine, Amazon is going to be swamped with orders as the holidays get closer. While this is good news for online and traditional retailers because they know revenue is a given, it’s also bad news because it creates a situation I talk about in my ECHO Marketingtm program called “Hyper-Growth.” The orders pour in, more staff has to be hired, training may be cut short, overtime has to be spent, tensions mount, tempers flare, customer expectations aren’t met, and if we’re not careful, the growth ends up costing us more in the long run than not growing. In other words, Hyper-Growth is not Healthy Growth!

Very wisely, by offering a few dollars per sale discount in the form of free premium shipping, they are also potentially spreading out their orders so they will come in like a stream and not a flood! I suspect they’ll still be plenty busy as the holiday deadlines approach, but making an attempt to manage the growth rather than just deal with it is very smart management. They are shooting for Healthy Growth, not Hyper-Growth!

And just in case you haven’t found that perfect stocking stuffer for that special someone…