Previously, the only way to watch Amazon’s videos was to pay US$99 a year for Prime membership.
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Through the years, Amazon created several smaller subscription packages which in turn caused Amazon Prime subscription to decrease since users are starting to subscribe only to services that they wanted to have. Customers can buy the Prime service on a month by month basis for $10.99 a month.
They drove 40% of Prime’s growth over the past three years, and now more than 70% of households in that demographic have a Prime subscription.
There’s also a $10.99 per month version that includes everything a yearly Prime account entails, such as their photo, music and shipping services, but costs an extra $32 per year in case you’d like to cancel it at some point.
Here is some good news for Amazon Prime users. Instead of paying regular shipping fees, Amazon customers can subscribe to the service and pay an annual fee which in return will hasten their shipping process.
In 2005, Amazon launched Amazon Prime for $79 a year, with the primary goal of offering free two-day shipping to frequent customers.
The new service from the Seattle-based online retailing giant costs $8.99 a month, a dollar more than a basic Netflix subscription and one dollar less than Netflix’s most popular standard subscription. But it is not just in the U.S. where Netflix is facing stiffer competition because a growing number of media start-ups in Southeast Asia and India are offering low-priced alternatives, Quartz reported.
Many specialists say that the courier monster wants to compete with reigning the services provided by Netflix and Hulu and it really seems so.
Last Sunday, the courier company announced that it was going to start selling its prime video service as a stand-alone product at $8.99 a month.
But Amazon has steadily chipped away at scepticism of its seriousness in video by expanding the amount of content available for streaming.
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Amazon may be a rival, but Netflix is also an Amazon customer. And like Netflix, Amazon has poured money into producing original content, including award-winning shows such as “Transparent” and “Mozart in the Jungle”. Its stock price climbed 1.51 percent to $635.35, up $9.46, at the close of trading Monday on Nasdaq.
