Amazon Prime Exceeds 100 Million Members in the U.S.

As the juggernaut rolls on, Amazon Prime surpassed 100 million members in the U.S. in the fourth quarter, according to new data from Consumer Intelligence Research Partners (CIRP), representing 62% of all Amazon customers.

Just six months ago there were 85 million Amazon Prime members in the U.S., according to CIRP, an indication of the continuing growth and penetration of the sticky subscription program. Prime members are a bounty for Amazon, spending on average $1,400 per year vs. $600 for non-members.

“Membership growth has slowed, but continued steadily in the holiday quarter,” said Josh Lowitz, Partner and Co-Founder of CIRP. “U.S. membership grew 10% in the past year, slower than before, but still significant on a huge base and after years of rapid growth.” As of October 2017, Prime membership was increasing at an annual run rate of 38.5%, according to CIRP.

Lowitz added that Prime membership in the U.S. doubled in three years, and almost quadrupled in five years, from 26 million members in December 2013.

As of the end of December 2018, 58% of Prime members were paying the annual fee of $119 – which increased from $99 in May 2018 – while 36% paid the monthly fee of $12.99 or $155.88 per year, according to CIRP.

As Prime growth flattens, the nature of membership has changed, based on the high number of monthly members, noted CIRP partner and co-founder Mike Levin. “These more transient members obviously don’t have the same commitment to Amazon shopping and the suite of Prime member services,” Levin added. “Presumably, they don’t typically use the breadth of benefits to the same extent as annual members.”

CIRP bases its findings on surveys of 500 consumers who made a purchase at Amazon.com between October and December 2018.

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