Amazon Prime increase

SeaMaiden · ‎03-10-2010

(from The Seattle Times)

Amazon is increasing the cost of its Prime membership, in part to offset rising expenses associated with wages and transportation.

Amazon is increasing the cost of its Prime membership for U.S. customers, in part to offset rising expenses associated with wages and transportation, the company announced ahead of its quarterly earnings call Thursday.

The monthly fee for Prime membership will go up from $12.99 to $14.99, and the annual membership from $119 to $139.

The price change — Amazon’s first since 2018 — will go into effect on Feb. 18 for new members. For current Prime members it will apply after March 25, on the date of their next renewal.

“As expected over the holidays, we saw higher costs driven by labor supply shortages and inflationary pressures, and these issues persisted into the first quarter due to Omicron,” Amazon CEO Andy Jassy said. “Despite these short-term challenges, we continue to feel optimistic and excited about the business as we emerge from the pandemic.”

Amazon saw more than $4 billion in costs from “inflationary pressures” and lost productivity in operations, said chief financial officer Brian Olsavsky. The company isn’t having trouble hiring, he said, but is having trouble keeping workers on the floor. Many have had to call in sick and others have filled in for colleagues, racking up overtime hours and overtime pay.

“We’ve shown that we can hire well, we just have to get everyone healthy and regain our productivity from all the investments we’ve made in people and capital over the last couple years,” Olsavsky said Thursday. “We’re seeing those costs trickle into Q1 as well.”

tansy · ‎01-02-2011

I will have to reconsider if that'sworth it for me. Most of what I buy on Amazon are gifts for the g-kids.

Shelbelle · ‎03-09-2010

I dont have it, I keep my orders at $25 so free shipping. And I often find much better prices elsewhere.

MamaWick · ‎03-09-2010

I would spend more than $140 a year in shipping, so I will renew. The movies/shows are a plus.

My religion is very simple. My religion is kindness ~ Dalai Lama XIV

When the power of love overcomes the love of power, the world will know peace ~ Jimi Hendrix

Porcelain · ‎02-19-2014

Amazon did do a great job getting items out to people over the holidays. People were predicting mass chaos and shortages and that did not materialize. They planned well so I will give them that.

I'll probably keep Amazon Prime, even with the price increase. Never having to pay shipping is worth it to me.

When you’re accustomed to privilege, equality feels like oppression.
"Power without love is reckless and abusive, and love without power is sentimental and anemic." - Dr. Martin Luther King Jr

SilleeMee · ‎05-22-2016

For me it's not difficult at all to rack up at least $25 worth of stuff and have it shipped for free. Now that my city has a brand new Amazon Distribution center that means my orders are at my door really fast. I like that!

SeaMaiden · ‎03-10-2010

Not sure what would be the cut off price yearly price for me to drop it....$500 maybe?....

fthunt · ‎12-24-2010

They have to pay for those new big black delivery vans with the smile on the side. Hire drivers pay for insurance..........UPS & Smile pass each other daily in my neighborhood. That cost $$$$

songbird · ‎03-21-2010

@

@MamaWick wrote:
I would spend more than $140 a year in shipping, so I will renew. The movies/shows are a plus.

I agree. We'll continue with it. We joined it years ago when it was first offered. We use it a lot. Yes, we watch the movies and the series. It's still worth it.