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Vishu Bheda

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Medial • 8m

Everyone thought Bezos was insane in 2005... When he gave away unlimited free shipping. Now, Amazon's "free shipping" makes more money than Snapchat and Airbnb combined. Here's how Amazon quietly created the most genius business model ever: The year was 2005. Amazon was worth just $18B while eBay dominated at $33B. And... Then came a decision that would change everything: Inside Amazon headquarters, a secret project was underway. For just $79 a year, customers would get unlimited free two-day shipping. • No minimum purchase required • No limits on orders The strategy was unprecedented. The risk was enormous: But Amazon foresaw something others didn't... • Customers would shop more frequently • The membership model would build loyalty What happened next exceeded all expectations: The flywheel was unstoppable: More members → More revenue → More benefits → More members. And members stayed loyal through every increase. This created an unbeatable competitive advantage.

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