Amazon (NASDAQ: AMZN) Prime has set the standard for shipping from an online retailer. Members pay $ 119 a year, or $ 12.99 a month, and receive free two-day delivery on tens of thousands of items. (You get lots of other things, including a video service, but for most consumers the shipping benefits are drawn.)
For most, it's a big deal and a fair tax at the expense of doing a lot of business online. In other cases, however, Amazon Prime is a waste of money. Not everyone needs to pay for the service and there are scenarios to save money.
first You buy in bulk
If your orders usually exceed $ 25 then you qualify for free shipping. That shipping will not be two days, or at least you will not guarantee to get your order in two days. Instead, Amazon's free shipping takes two to five business days.
It's slower, but do you really need your order in two days? If you are the type of person who places several small orders every day, then Prime can make sense. If you make a list and place larger orders, standard free shipping can be fine for you.
2nd Your orders have moved to digital
Back when I first signed up for Amazon Prime, my primary orders contained books, DVDs, and CDs. Now I'm subscribing to a streaming service, reading almost exclusively on my Kindle, and haven't ordered a DVD for myself this year.
I remain a rather large Amazon customer ordering everything from tea to trash can, sandals shirts. That makes Prime still logical to me, but if my orders were mainly entertainment – which I am sure some people do – it would not make sense to pay an annual fee.
3rd You mix it up
Amazon is no longer the only game in town. It may mean that you are now ordering from many different retailers – sometimes even paying for freight – to get exactly what you want.
In this scenario, you really need to look at your purchases. Prime costs $ 119 a year, and it makes total sense to pay if you order items that you need for two days at least a couple of times a month.
For those who order less than that because they use other retailers for some of their shopping needs, Prime cannot make sense. Amazon allows you to pay for delivery in two days or even the same day on many items (usually $ 5.99 for two days). If you only need fast delivery occasionally, it may not make sense to be a member.
The State Directive
With Prime you can order from Amazon without making a lot of planning, which is very convenient for some people. And not having to make an effort to hit the minimum or not having to wait more than two days can simply be all that is required to make Prime a good deal for many people.
However, it is important to look at how to use your primary membership Do you save money? Do you order things you don't need because of it? Do you really get the benefit of the free two-day shipping, or are you expecting a little longer?
You don't have to be a premier just because you've always been one. Assess your personal situation and stay or leave based on what's best for your bottom line.