Amazon, Inc. (NASDAQ: AMZN) saw its shares make a handy gain on Tuesday after it announced that the e-commerce giant would be expanding its prime membership services to businesses. This service has already become wildly popular among consumers for its quick, free two-day delivery service, not to mention its other added benefits.
The main selling point on this is that the Business Prime service offers unlimited free two-day shipping on eligible items for all users on an Amazon Business account.
Amazon Business customers can sign up for an annual Business Prime Shipping membership based on the number of users on their business account: $499 for up to 10 users, $1,299 for up to 100 users, and $10,099 for over 100 users.
Greg Greeley, Vice President of Amazon Prime, commented:
Business Prime Shipping combines the wide selection of products available to Amazon Business customers, with the speed and convenience that customers have come to know and love from Amazon Prime. We are excited to introduce a shipping program designed to meet the needs of businesses and will continue to innovate on behalf of customers to make business purchasing even easier.
Prentis Wilson, Vice President of Amazon Business, added:
Business Prime Shipping enables businesses with multiple users to further simplify their procurement procedures and increasingly rely on Amazon Business to deliver. Customers can now get unlimited fast delivery across their organization on a vast selection of products while maintaining increased visibility on their business purchases.
Shares of Amazon were last seen up over 1% at $977.98, with a consensus analyst price target of $1,163.10 and a 52-week range of $710.10 to $1,083.31.