As major competitors, Amazon and Walmart have been playing retail tennis for years. Amazon was serving up lower prices so Walmart volleyed by price matching online retailers in 2014. Walmart still dominates because they have brick-and-mortar stores and accommodate for low-income households so Amazon is rallying by testing grocery stores and accepting food stamps.
Walmart even created their own cheaper version of Amazon Prime in 2015! It was called ShippingPass and for $49 a year, Walmart customers could get free two-day shipping. But Walmart recently got rid of the service and they're giving a full refund to anyone who currently subscribed to it.
Now, all Walmart customers (who live in the contiguous United States) can get free two-day shipping on orders of $35 or more. Quick with the return, Amazon just announced that all Amazon.com customers can also get free shipping on orders of $35 or more. Before this decrease, the minimum amount to qualify for this Amazon perk was $49.
These two deals may sound the same but the difference is in the details. By eliminating ShippingPass, Walmart is grouping all of their customers together. Everyone is eligible for this $35 two-day shipping deal. Amazon is holding on to their business model that separates regular customers from premium customers. Amazon Prime members get free two-day shipping without any minimum purchase constraints. Regular customers can get free shipping if their purchase is $35 or more but they won't receive that item within two days.