Amazon ups non-member minimum for free shipping

Posted at 8:36 AM, Feb 23, 2016
and last updated 2016-02-23 08:36:57-05

Amazon increased the threshold needed for non-members to qualify for free shipping as it seeks to add more people to its $99 annual Prime loyalty program.

Non-members must now spend a minimum of $49, up from $35, to get free shipping. Members don't have a minimum.

The Seattle company has long invested huge sums of money back into its businesses, particularly by expanding perks for Prime members. That includes one-hour delivery in some cities, beefed up video streaming and free e-books.

Investors, however, have grown impatient with some of those programs, which can cut into profits.

After the company boosted the minimum for non-member free shipping, shares of Inc. jumped 4 percent, the largest increase on the S&P 500 index.