You wouldn't understand. It's a secret. (12dozenroses) wrote in ohnotheydidnt,
You wouldn't understand. It's a secret.
12dozenroses
ohnotheydidnt

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Amazon Prime prices are going up – is ‘Lord of the Rings' to blame?

amazonpriceheader.jpg

Amazon Prime currently has 100 million members, with its 77 million US members paying $99/year. The online retailer will raise its price to $119/year for new US members beginning May 11; those renewing a membership will pay the new price starting June 16. Only 80% need to stay on at the new price for Amazon to increase its annual revenue by over $1 billion.

Amazon's profits reached an all-time high last quarter at $1.6 billion. Overall sales also rose 43% from last year's first quarter (from $35.7 to $51 billion).

Some people have suggested that Amazon's purchase and development of a 5-season Lord of the Rings television show (which has a $1 billion budget and potential for a spin-off series) is contributing to the hike, but Amazon CFO Brian Olsavsky attributes the change to greater overall value compared to 2014, the last time that the price increased (from $79/year): “There [are] all kinds of new features that we’ve continually added to the Prime program. It’s much different than it was in 2014, and this is a reflection of that.”

The month-to-month price of $12.99/mo will stay the same, for now.

Source

Do you blame Sauron for this price hike, ONTD?
A reminder that Jeff Bezos, founder and CEO of Amazon.com and owner of The Washington Post, has a personal net worth of approximately $130 billion.

Tags: amazon, lord of the rings / the hobbit
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