If you’re a user of Amazon Prime, an important heads-up: the price is going up by a pretty significant amount. The next time Amazon Prime users renew their annual subscription, they’re going to pay $20 more. The free shipping and streaming movie service will now cost $99 a year instead of $79, a 25 percent increase. According to Variety, Amazon CFO Tom Szkutak recently warned that the price of Prime could rise in the near future, “citing shipping costs and increased usage of the program.”
The new rate brings the price of Amazon Prime up from about $6.50 per month to $8.25 a month, nearly identical to Netflix and Hulu’s standard $7.99 per month plans. It you buy a lot of stuff from Amazon, it’s still a reasonably good deal, but I’m curious how this will affect customers who use Amazon Prime primarily for its streaming library. They do have some good stuff, and they’re very competitive in the realm of recent television series (they recently added the first seasons of The Americans and Orphan Black, for example) but their library isn’t as extensive or as frequently updated as Netflix’s or Hulu’s. $20 a year isn’t going to bankrupt anyone, but enough $20 a year increases might drive customers away. Maybe this is something for The Dissolve’s commenters to weigh in on: if they already have Amazon Prime, how much would they pay for it? If they don’t, what would it take to get them to sign up?