Amazon Prints Could Well Gain Market Share From Shutterfly

Amazon recently launched a photo printing service for Amazon Prime and Amazon Drive members, offering affordable prints of digital photos which are shipped via Amazon’s free standard delivery. Amazon’s photo prints are much cheaper (9 cents for a 6*4 print) compared to the existing players in this market – Shutterfly (15 cents for a 6*4 print) and Snapfish (64 cents for a 6*4 print) – which has led to speculation that Amazon might be able to grab significant market share. Amazon’s Prime Members have access to unlimited photo backup, and this new service will allow them to print selected photos from this library or create photo books. We believe Amazon’s foray into photo printing is to offer convenience to its Prime Members and drive growth in these memberships, though this could lead to some users moving away from other players such as Shutterfly for their photo printing needs and using Amazon exclusively. However, Amazon’s focus on quality and innovation in this service will determine whether the company can capture a larger share in this market, where currently Shutterfly has the advantage.

from Forbes – Tech http://ift.tt/2cOLuvn
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