Amazon is Extending Its Prime Benefits to Shopify Retailers
Amazon is changing the e-commerce landscape once again, and this time it is leveraging its massive fulfillment and logistics network to do it. In the next few months, Amazon is rolling out a new product, Buy with Prime, that will allow Prime shoppers to redeem their Prime benefits (free, fast delivery, seamless checkout, and easy returns) on any Shopify website.
What is Buy with Prime?
Buy with Prime is Amazon’s latest method of changing the online shopping experience. Over 100 million Amazon Prime members will be able to shop directly on Shopify websites and checkout using a “Buy with Prime” button. This will allow members to checkout with their Prime account for an easy and seamless experience and receive their order within 1-2 days. Online retailers can offer this purchase option to their customers by adding a few lines of code to their websites.
Who Can Use Buy With Prime?
Amazon’s Buy with Prime will be rolled out throughout 2022 to Shopify retailers. However, Amazon Sellers with a Shopify website will have first dibs on Buy-With-Prime on an invite-only basis. Online retailers who are interested in the product can join the Interest List to get notified when the product is available to them.
How Does it Work?
It’s pretty simple. Retailers will need to sign up for Fulfillment by Amazon in order to maintain Amazon’s free, fast shipping, and free return standards. Amazon’s fulfillment centers will handle the inventory storage, delivery, and order tracking. Retailers will choose which products they want to offer the Buy with Prime feature. When shoppers view these products, they will have the option to check out directly with the retailer or to check out with Amazon.
Once the Buy with Prime purchase is made, the customer will receive order notifications from Amazon, as if they ordered directly from Amazon.com. Retailers will still receive customer contact information, allowing them to develop and maintain a true relationship with the customer.
How Much Does it Cost?
There is no upfront cost to use Buy with Prime. However, retailers will need to use Fulfilled by Amazon in order to meet Prime shipping standards. Amazon has developed a pay-as-you-go system so that retailers only have to pay per unit sold with Buy with Prime. Retailers won’t know the price per unit until invited to the program. The price per unit will depend on different factors, including
- Product dimensions and weight
- Average selling price
- Number of units per order
What Does This Mean for Shopify Retailers?
The verdict is still out on how successful this new product will be. It could take off, like Amazon Web Services, or flop like Amazon stores. Regardless, Buy with Prime presents a unique opportunity to retailers. Leveraging Amazon’s massive distribution network allows retailers to get products in customers’ hands a lot faster than before.
In the meantime, Shopify is working to create an end-to-end shopping experience with its most recent Shippo partnership.
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