Amazon's decision to scrap shipping costs for orders over $25 appears to have been a hit with punters.

Reporting Q4 figures Amazon.com notched up a profit of $3m in Q4 2002, down from $5m during the same period in 2001. Net sales for the quarter skipped in at a record $1.429bn up 28 per cent compared to $1.115bn posted in Q4 2001.

Said chief Amazonian Jeff Bezos: "On top of the five price cuts we've made over the past 18 months, we're announcing today that we've decided to make Free Super Saver Shipping on orders over $25 a full-time, year-round offer.

"We're at a tipping point. Customers are now shopping at Amazon.com as much for our lower prices as for our selection and convenience," he said.

Sales at Amazon's international operations - in the UK, Germany, France and Japan - grew 76 per cent to $461m in Q4. Looking ahead, Amazon reckons Q1 2003 net sales are expected to roll in somewhere between $1.025bn and $1.075bn, a growth of around 21 - 27 per cent. ®