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Netflix Targeted by Amazon With New Prime Service
Now, it is an outright one. HBO Now currently charges users $14.99, with Hulu just behind at $11.99 a month for commercial free streaming.
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In the United Kingdom, a yearly Amazon Prime subscription costs £79 per year but if you subscribe only to Prime Videos, you will be able to buy a monthly subscription for just £5.99 a month. Customers who subscribe month-to-month for the full Prime service will pay almost $33 more a year than if they subscribe on an annual basis. The combo also includes a free 2-day shipping option when using the courier service. It costs $8.99, which is only $2 less than the full Prime monthly membership and amounts to $107.88 per year.
Netflix is raising prices for new users by $1 a month as the company touts original programming you can’t find elsewhere, ABC News reported.
Amazon’s Prime membership service has been growing, but its video streaming has fewer viewers than its competitors.
Amazon Prime began as a faster shipping feature for loyal Amazon clients. And a lot like Netflix, which is presumably what that “video only” option is competing with. Of course, the $99 a year price is still cheaper than paying monthly, but now you can see what everyone’s been talking about for only a couple months at a time. To its Marvel based series, the company will soon add a new Psych-thriller with Naomi Watts. Previously, the only way to get access to Amazon’s videos was to pay $99 a year for Prime membership, which includes free two-day shipping on items sold by the site.
An annual subscription to Amazon’s standalone video service is available, too: It’ll set a customer back $108.
Now, subscribers will have the choice of paying Prime’s $99 annual fee upfront or signing up on a month-to-month basis for $10.99.
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The update now allows people who might not be interested in the other Amazon Prime perks to get in on the streaming action. On the other hand, Amazon has gained terrain with Transparent and Mozart in the Jungle. At $10.99 per month, monthly payers will end up shelling out $131.88. Ultimately the decision comes down to the original content. Would you rather be watching Amazon’s shows or Netflix’s? Netflix Inc. shares fell 1.3 percent.