Walmart takes on Amazon Prime

From USAToday.com

Walmart will start testing an unlimited free shipping service this summer to quickly deliver online goods to customers, and it will cost half as much as competitor Amazon Prime.

The service will cost $50 a year and promises to deliver products within three days or less. Amazon Prime costs $99 a year and delivers products in two days or less. Amazon also delivers on Sundays, which Walmart won't do, spokesperson Ravi Jariwala says. It's the latest in Walmart's moves to become an online shopping powerhouse as more consumers turn to the Web and smartphones to complete everyday tasks.

"We've heard from customers that they want shipping that's predictable and they want it to be affordable," Jariwala says.

The unlimited free shipping service was first reported by online technology publication The Information.

Walmart currently offers free shipping on online orders of at least $50, or customers can order online and pick up their order in a store for free. The unlimited shipping service test will be by invitation only and include more than a million products, from toys and apparel to electronics and home goods.

Jariwala says Walmart is constantly testing new services that aim to make it easier for customers to shop. Unlike Amazon, it can also combine its online reach with its physical store locations. Walmart offers grocery delivery in five markets, which it started testing in San Jose in 2011, as well as buy online, pick up in store and same-day pick-up.

The shipping service won't include video and music streaming, like Amazon Prime does.

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