Amazon (AMZN) Makes Business Prime Duo Free for Prime Members
Amazon AMZN is constantly making strong efforts toward enhancing its e-commerce offerings on the back of its Prime program.
This is evident from its latest move of making Business Prime Duo free for business-oriented Prime members. This is expected to be of great help to businesses, especially small ones.
Notably, Business Prime Duo is an Amazon Business membership that used to cost $69 per year previously. It allows the business customers or the ones who buy for businesses to access business-only pricing and avail of free One and Two-Day Delivery and free Same-Day Delivery facilities.
Moreover, Amazon Business with Business Prime Duo will help business owners save more and keep their personal and business expenses separate while enjoying Prime entertainment benefits and other perks.
Additionally, business customers will be eligible to choose their own Amazon Day to receive orders on the same day every week. They will also be able to avail consolidated shipping facility on eligible large orders.
Amazon.com, Inc. Price and Consensus
Amazon.com, Inc. price-consensus-chart | Amazon.com, Inc. Quote
Move to Benefit
We believe the latest move will likely aid Amazon in attracting businesses, especially small business owners, to its platform.
This, in turn, will boost the adoption of Prime membership as well as Amazon Business.
Notably, the Prime program remains a key catalyst for AMZN’s top-line growth, backed by customer-friendly offers and cashback benefits. Further, strengthening delivery and shipment services and expanding music and video content, plus a robust loyalty system, are constantly boosting Amazon’s Prime subscriber base.
All the benefits aid Amazon in delivering better shopping experiences to its Prime members.
We believe the growing adoption of Prime will drive the company’s subscription revenues, which have been acting as key drivers for the e-commerce giant for the past few years.
Amazon witnessed 15% growth in its subscription service sales, which were $9.7 billion in first-quarter 2023.
Growing momentum across subscription services is expected to continue driving the company’s overall top-line growth.
For 2023, the Zacks Consensus Estimate for revenues is pegged at $560.32 billion, reflecting growth of 9% from 2022.
We believe that the strengthening financial performance of the company will likely raise investor optimism about the stock. Amazon has gained 53.2% on a year-to-date basis.
Zacks Rank & Stocks to Consider
Currently, Amazon carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the retail-wholesale sector are The TJX Companies TJX, ContextLogic WISH and Walmart WMT, each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The TJX Companies has gained 2.4% on a year-to-date basis. The long-term earnings growth rate for DTC stock is currently projected at 16.74%.
ContextLogic has lost 48.6% on a year-to-date basis. The long-term earnings growth rate for WISH stock is currently projected at 4.4%.
Walmart has gained 7.1% on a year-to-date basis. The long-term earnings growth rate for WMT stock is currently projected at 5.5%.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Amazon.com, Inc. (AMZN) : Free Stock Analysis Report
The TJX Companies, Inc. (TJX) : Free Stock Analysis Report
Walmart Inc. (WMT) : Free Stock Analysis Report
ContextLogic Inc. (WISH) : Free Stock Analysis Report
