Dive Brief:
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Electronics e-retailer Newegg on Friday introduced its Premier membership, which includes free expedited shipping, discounts on other shipping options, free returns with no re-stocking charges, dedicated customer service, and exclusive deals and notices of sales.
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The membership costs $50 annually and seems aimed at luring away Amazon Prime customers who are heavy electronics buyers and who may be facing a steep membership increase, according to a recent Amazon announcement.
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The Industry, Calif.-based e-retailer says the service is in beta and is offering a free 30-day trial for customers that sign up by February 18.
Dive Insight:
Amazon recently lowered of expectations for its future performance, and that may have its rivals smelling blood in the water. If more retailers come up with perk-laden memberships or other enticements, Amazon may not be able to raise its Prime membership after all — or at least not by much. Newegg doesn’t have the entertainment-streaming service that Prime does and it doesn’t sell such a wide variety of goods. But the membership is cheaper and does away with those pesky re-stocking fees traditional to electronics retailers. Meeting Amazon where it lives may fizzle, but it could also become a trend.