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Why Amazon is raising the price of Prime membership by 43%

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The American giant announces a significant price increase for the Prime subscription, which includes free delivery but also other services.

On the night of July 25-26, the millions of French subscribers of the Amazon Prime service received an email warning them of a significant price increase from September 15, 2022. For a year, the subscription thus goes from 49 euros at 69.90 euros. That’s a 43% increase. For those who have opted for a monthly plan, the price ranges from 5.99 euros to 6.99 euros per month.

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Cost of fuel and boxes

In the message sent to its customers, Amazon indicates that this price change is linked to the “increase in Prime’s operating costs in France.” With BFMTV, the French subsidiary of Amazon specifies that this increase is closely related to the increase in shipping costs, itself a direct consequence of the sharp increase in the cost of fuel. The increase in the price of packaging is also mentioned. In recent months, the price of paper pulp has increased considerably.

Even with BFMTV, Amazon France specifies that the weight of the costs linked to its Prime Video streaming platform in this price increase is very limited. It is above all the free delivery that justifies this development. The company recalls that since the launch of Amazon Prime in France in 2008, this is the first price increase.

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This price increase follows the same strategy in the United States. Even with BFMTV, Amazon says no massive casualties followed across the Atlantic. Amazon has 200 million Prime subscribers worldwide, but doesn’t break these stats down by country.

The price of Amazon Prime has also risen in other European countries, but to a lesser extent. It thus goes from 69 to 89.90 euros (+30%) in Germany, and from 36 to 49.90 euros (+39%) in Spain and Italy. In the United Kingdom, the subscription goes from 79 to 95 pounds sterling, an increase of 20%.

Author: Raphael Grably
Source: BFM TV

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