Amazon Increasing Month-To-Month Prime Subscription Fees

Amazon Prime price increase

Amazon is raising the price of the monthly Prime membership plan from $10.99 to $12.99 effective January 19, 2018 as it continues to invest in the program.

According to Variety, the tech company is upping its price from $10.99 per month to $12.99 per month, an 18 percent increase. The new price works out to almost $156 a year.

Since introducing Prime in 2005, Amazon has raised the annual membership fee just once, to $99 from $79 in 2014. The company did say earlier this month that it shipped more than 5 billion items via its Prime service in 2017.

The membership allows customers to get free-two day shipping, same day shipping, as well as Prime Video, Prime Music and Prime Reading.

Prime Student members will also pay slightly more under the new changes.

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Some people will now be paying more for an Amazon Prime membership.

A single day after we reported that Amazon is seeking cash-generating blockbusters for distribution on Amazon Prime Video, Amazon has announced that it's hiking up the monthly subscription rate for Amazon Prime. Members who pay the popular $99 annual Prime fee or students paying $49 won't see a cost increase.

Amazon has not revealed details on the number of Prime subscribers but a report by Consumer Intelligence Research Partners (CIRP) estimated it had 90 million in the United States as of September. Those two fragments of the market have generally been a little level of Amazon's enormous populace of Prime clients.

As noted by Engadget, Prime's annual plan offers the company a much more stable revenue stream while also working out to be a significantly better deal for subscribers.

One possible excuse for the price increase that Amazon could point to is the upgraded service that its provided to members in recent years.

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