Amazon To Expand its Prime Now Service

The online retailer aims to expand its Prime service to further penetrate into the E-commerce market

Amazon aims to extend the availability of its speedy delivery service Prime Now. The American e-commerce company is delivering major brands marketing contracts connected to expand the facility.

The facility- now only accessible through Amazon Prime Now application on smartphones- will be running on the webpage of the Seattle based organization from May onwards, revealed documents assessed by Bloomberg.

Availing Prime Now on the internet puts the facility in front of a bigger audience, most of whom might not have downloaded the application on their smartphones. While buying on mobile products will probably reach a figure of $96.2 billion in the United States in 2015, that represents 25% of all online trading, revealed the research organization EMarketer.

The web retailer is making efforts to deliver advertising space to huge companies for the online launch, pledging them visibility with many Amazon buyers. The premium "Launch Hero Package" would cost half a million dollars for around 2 weeks of placement on the website of the online trading company related to the launch.

That cost includes e-mail promotions, given to Amazon consumers, which the web retailer stated have a stand-alone worth of $100,000, revealed the documents assessed by Bloomberg.

Spokesperson of the company refused to comment. In December 2 years ago, the company unveiled Prime Now in the US city of New York and since then has extended it to around 20 cities of US and British capital London.

It has also extended the facility to include delivery from domestic stores and restaurants, not only devices from the warehouses of the marketplace operator. 2 hour deliveries are free of charge for those spending $99 on an annual basis and 1-hour delivery costs $8.

Speedy delivery instantly gratifies to the ease of E-shopping raising its threat to conventional stores. The web launch tied to an advertising campaign suggests the organization is becoming more aggressive in charging brands to access its customers.

This is similar to how superstores charge to occupy more-visible shelf space in brick-and-mortar stores.

The company is making efforts to lure more buyers to subscribe to Prime, which also includes photo storage, music and video streaming. In February, it increased the minimum size of order for shipping free of charge from $35 to $49 for non-Prime buyers.

Prime subscribers pay more with the online retailer compared to non-Prime members.

In other news, as per reports by Seattle times Microsoft Corporation and Amazon are interested in rent data storage and computing power to the Germany digital mapping service provider Here.

The companies also want to establish closer relations that could help them enter the autonomous vehicle industry.

Reuters has reported that the electronic trading platform operator is thinking to take a stake in the organization under a deal.