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Amazon CEO Jeff Bezos  (Source: Salon)
More price hikes likely in store for Amazon customers

For those that frequently shop on Amazon.com year round (or even just during the holiday shopping season), Amazon Prime is like a gift from the gods. The service allows customers to get packages delivered to their home with two business days (sometimes even faster if you’re close to an Amazon distribution center), gives users access to a growing digital video library (movies, TV shows, original programming) and special Kindle “lending” perks.
 
However, it appears that the $79/year Prime membership may be getting a lot more expensive. Citing increased shipping costs; Amazon CFO Tom Szkutak made it clear that the online retail giant is “considering” a price hike for Prime membership.
 
According to Szkutak, that price increase could be anywhere from $20 to $40, which would put an Amazon Prime membership at $119/year if the bean counters get everything they want.
 
The writing has been on the wall as Prime has been around at the same $79/year price for nine years, and Amazon recently bumped the free shipping threshold for non-Prime members to $35 (from $25) on orders.
 
Amazon has also come further under assault from tax collectors in various states, with North Carolina residents becoming the latest to “face the music” when it comes to paying taxes on Amazon purchases.

Source: The Verge



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#!#@! that noise
By VoodooChicken on 1/30/2014 6:15:08 PM , Rating: 2
Amazon would definitely have to split its services and lower the price of each, similar to what netflix tried. I get that shipping costs have increased dramatically, but not streaming. It's foray into original programming is certainly a more expensive endeavor than the infrastructure costs to stream existing shows.
Most people I know with Prime use it for shipping and do not bother with streaming. I'm right around 50/50 myself, but it depends on the time of year. Amazon would need to bring back monthly billing to at least attempt to compete with netflix, because frankly the demand from potential consumers is not there.




RE: #!#@! that noise
By jimbojimbo on 2/2/2014 12:58:49 AM , Rating: 2
I agree about splitting it up so I can get just the shipping. I have never streamed that they had for free. The only shows I streamed at all I paid for so prime didn't help diddly squat. That and I don't have a iDevice or a Kindle and my TV doesn't stream it. It's like the video streaming branch hates me or something.


"If they're going to pirate somebody, we want it to be us rather than somebody else." -- Microsoft Business Group President Jeff Raikes














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