Amazon raises its monthly subscription fees by almost 20 percent

Amazon is raising the price of Prime monthly memberships by nearly 20 percent

According to Deadline, bingers that pay for Amazon Prime's shipping and streaming services monthly will see their per-month cost rise from $10.99 to $12.99. The raise comes to an 18 percent increase, bringing the total annual cost of a monthly Prime subscription to $156, up from $132.

That stands in stark contrast to the $99 Amazon charges yearly subscribers, who notably won't be facing a price increase.

Amazon has always been cagey about sharing exact Prime subscribers figures, but recent third-party estimates have pegged the service as having about 90 million members in the United States alone.

Depending on how much you use Amazon for your shopping, Amazon Prime could be a very worthwhile service.

Amazon is hiking up the price of monthly Prime memberships from $10.99 to $12.99.

Amazon may be protecting its own margin somewhat by offering "free shipping" to non-Prime shoppers who meet the order threshold or order the "small and light" items, reserving faster two-day shipping for Prime orders.

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When you have a ton of subscribers to your Prime service (like Amazon) that is more revenues for the company.

Student Prime pricing will jump up a dollar per month from $5.49 to $6.49.

Amazon did not offer details regarding their reasoning behind this change but it's probably fair to assume the company is attempting to push more customers towards their annual subscription instead. Annual membership remains $99 - or $49 for students - if paid in one installment.

The company has been adding Prime benefits to draw in new customers. The change is effective for new members beginning on January 19.

Amazon Prime started in 2005, and by 2016, Prime sales growth was still running above 40 percent.

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