Amazon said it will increase the price of its Amazon Prime service for U.S. subscribers, boosting the annual fee from $99 to $119. The online retailer announced the $20 hike in its annual fee during its first quarter earnings call.
Chief Financial Officer Brian Olsavsky said Amazon has steadily increased the benefits of the service with more than 100 million products available for two-day delivery, and expanded free same-day delivery. That’s a dramatic increase from the 20 million items available for two-day shipping four years ago, when the company last hiked the price for Prime.
Members also unlimited streaming access to millions of songs and thousand of movies and TV shows (including original, award-winning series), through Prime Video and Prime Music.
As services expanded, so too are the costs — prompting the price hike.
The price of the annual Prime membership is increasing from $99 to $119 on May 11 for new members. The new price will apply to existing members’ renewals starting June 16.