eBay Expands Same-Day Delivery; Amazon Raises Free Shipping Minimum

Just in time for the holidays, eBay expands its same-day delivery service, while Amazon raises the purchase minimum for free shipping.

October 24, 2013

NEW YORK – In advance of the holiday shopping season, eBay has expanded its same-day delivery service while Amazon raised its free-shipping minimum, the Wall Street Journal reports.

EBay announced plans to expand its same-day delivery service to 25 markets by next year and Amazon raised its minimum order size required for free shipping to $35. EBay said it is extending its eBay Now delivery service to Chicago, London, Dallas, and other cities. Previously, it had offered the service only in parts of New York City and the San Francisco area.

Retailers have been in hot pursuit of same-day delivery, with Walmart and Google recently adding services to help their consumers enjoy near-instant gratification for their online purchases.

EBay charges roughly $5 for delivery that is intended within an hour, though executives say it isn’t meant to be a profit maker but rather, to attract new users.

Amazon has been building a network of warehouses and currently offers the service in 11 U.S. cities. Its increase in the minimum purchase for free delivery is thought to be an effort to motivate users to register for Amazon Prime, which offers two-day delivery for $79 a year.  

However, at $35, Amazon’s free shipping threshold is still lower than many of its rivals, including Walmart ($50) and Target ($50 – unless the purchase is paid for using the Target credit or debit card).

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