Amazon set to increase fees for Amazon Prime
Amazon is expected to raise Amazon Prime fees something like $20-$40, it was announced. Currently, Amazon Prime costs $79 and includes free 2-day shipping, Amazon Prime Instant Video, and Kindle Lending Library. In the UK it’s £49 per year.
It was as part of a conference call reporting Amazon’s results, the fee rise was revealed. These fees apply to shoppers in the US but it would seem likely that Amazon would follow suit for UK customers.
Amazon CFO Tom Szkutak said to analysts: “We launched Prime in the U.S. nine years ago with free, unlimited two-day shipping on one million items in an annual membership price of $79. Today Prime selection has grown to over 19 million items. Even as fuel and transportation cost have increased, the $79 price has remained the same. We know that customers love Prime as their usage of the shipping benefit has increased dramatically since launch. On a per customer basis, Prime members are ordering more items across more categories with free two-day shipping than ever before. With the increased cost of fuel and transportation as well as the increased usage among Prime members we’re considering increasing the price of Prime between $20 to $40 in the U.S.”