Amazon Prime is part of the reason why I try to make all purchases through Amazon. Amazon Prime costs $99 per year and gets you free 2-day shipping on over 30 million items. Amazon currently has 65 million paying prime members. The 2-day shipping guarantee is very useful. Shipping costs can add up, and free, fast shipping is a big draw.
It is interesting to note that Amazon actually loses money through its Amazon prime service. However, Amazon believes that the customer should come first and that this service, which keeps customers happy, benefits the company in other ways.
Prime now offers extras like Amazon Prime Video, which gets customers free movies from a small selection of films. Amazon is looking to use prime as a tool to expand its influence in consumer’s lives. They are looking to include other services via prime including worldwide wifi and cellular packages.
Sources:
http://www.consumerreports.org/shopping/pros-cons-amazon-prime/