Since Amazon is in the news these days ….
In class, I always preached: Don’t underestimate the “power of free”.
Here’s a real life example to prove the point.
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Everybody knows that Amazon’s free shipping program has been a resounding success.
So much so. that the company has announced that it will be moving the minimum qualifying order up from $25 to $35 … inducing shoppers to fill their carts fuller or switch to the highly profitable Amazon Prime program.
The free shipping program’s success was highly predictable based an an apparently inadvertent “matched market test” that Amazon did.
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Here’s the skinny on the Amazon’s inadvertent market test …
The Homa Files 