Amazon Prime Subscription Increases to $12.99 a Month

Well, the price comes in after a free 30-day trial, or six-month trial if you’re a student.

Amazon launched Prime in 2016, with the video service competing against rivals like Netflix, which recently raised its basic prime by one dollar to $10.99 a month.

There’s good news, however. Last year CIRP estimated that about 19% of Prime members pay monthly.

That same fee is jumping for the monthly program for students, as well, from $5.49 to $6.49.

Amazon is boosting the price of its monthly Prime membership fees for new and existing members by almost 20 percent.

The annual cost of Prime, which includes two-day shipping and video streaming, was unchanged at $99.

By jacking up monthly Prime prices, Amazon will at least be extracting more money from these customers-thereby helping the e-retail giant recover some of its shipping costs. The company said items shipped with free one-day, same-day delivery or Ultra-Fast deliveries with Prime Now more than doubled this holiday season.

When you have a ton of subscribers to your Prime service (like Amazon) that is more revenues for the company. Yearly subscriptions are also harder to cancel (just ask your gym!), which probably makes it a bit more appealing to Amazon as a company. “We expect rising Prime penetration in 2018 to continue as we have seen no clear indications of slowing demand for Prime“, he wrote.

It’s safe to say that Amazon Prime is a fairly popular service.

Alphr has contacted Amazon to find out if the price rise is coming to the UK. But most people will agree that, even with the new pricing, Prime offers customers an excellent value.

Amazon is notifying affected Prime subscribers about this change via email.