Amazon Prime Adds 10 Million New Users — Now Tops 40 Million?

by | Dec 27, 2014 | Blog

Amazon Prime

On AMZN:  In early, 2014 when Amazon announced the Prime annual fees increase from, there were many predictions that the increase would create a Prime customer exodus.  As I stated on my prior post on February 15  “Really??  Comments on Re/Code “Amazon Prime Price Increase Could Crush Subscriber Base” , “the prediction of Amazon Prime demise due to a price hike is widely overestimated”.  Early estimates of 40% of customers potentially not renewing their Prime membership due to a price increase seemed pessimistic, even allowing that this survey was done for a price increase to $119.  Prime is one of the best values in the markets for active customers offering free second day shipping on millions of items, free video content, Kindle lending libary, sharing the membership between 4 other family members and potentially now, a music service.

As we are now seeing, Prime membership is flourshing and estimates now top 40 million Prime customers, up from 20 million a year ago.

Reuters:  Amazon draws 10 million new Prime members over holidays


(Reuters) – Inc said on Friday it drew more than 10 million new members to its Prime shipping and digital content service over the holidays and intends to offer one-hour shipping to more cities in 2015.

Amazon considers its $99-a-year Prime membership, which confers free two-day shipping and streaming of select movies and songs, essential to driving its growth and margins. It was unclear, however, how many of the 10 million new members were just taking advantage of a standing 30-day free trial offer.

The Internet retailer has never disclosed the precise number of Prime subscribers, except to say it is in the tens of millions. Analysts estimate it is growing at a rapid clip, and the company continues to try and spice it up with new content.

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