CIRP - Amazon Report

CIRP - Amazon Report

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CIRP - Amazon Report
CIRP - Amazon Report
How About All Those Monthly-Pay Amazon Prime Members!

How About All Those Monthly-Pay Amazon Prime Members!

Michael Levin and Josh Lowitz's avatar
Michael Levin and Josh Lowitz
Jan 14, 2025
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CIRP - Amazon Report
CIRP - Amazon Report
How About All Those Monthly-Pay Amazon Prime Members!
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Last week we looked at why Amazon Prime members drop their membership. The reasons are primarily economic; those that do drop often find substitute options for free shipping; and virtually none complain about the actual service - at least none that continue shopping at Amazon.

In our surveys of US Amazon customers, CIRP asks subjects that currently have an active, monthly-pay Prime membership if they stopped their membership for a month or more in the past year, and if so, for how many months did they subscribe.

Since offering the option in 2016, monthly-pay Amazon Prime membership has become dominant. 58% of Amazon Prime members pay monthly, compared to 42% who still pay on an annual basis (Chart 1). The annual-payer subscribers save some money, paying $139, while 12 monthly payments totals almost $180.

About three-quarters of the monthly-pay subscribers pay $180, as they just keep renewing month after month. Only about one-quarter take advantage of the no-cost option to stop and start their membership and save $14.99 for a month or longer.

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