Amazon to Increase Prime Membership Fee By Up to 43% for Customers in Europe
Amazon is increasing its Prime membership subscription prices across Europe in September by up to 43% a year, the company has announced just days before its Q2 earnings results.
In an email to customers, Amazon said the annual Prime subscription price will increase by 20% in the United Kingdom from £79 to £95 from September 15.
Customers in France will face a 43% increase from 49 euros to 69.90 euros, while subscribers in Germany will see a 30% increase, from 69 euros to 89.90 euros a year.
In Italy the price will rise from 36 euros to 49.90 euros, and in Spain it will go up from 36 euros to 49.90 euros, a 39% increase in both countries.
It's the first Prime price rise in the UK, Amazon's third-biggest market behind the United States. Amazon is also increasing the monthly cost of Prime in European markets, by £1 or 1 euro per month.
An Amazon Prime subscription includes "free" one-day shipping on purchases made on Amazon, access to Prime Video, Prime Music, and other Amazon digital platforms and services.
The move follows a similar price hike in the US in February, when the price of Prime increased to $139, up from the previous $119 annual rate.
The changes take effect starting September 15 when members join or next renew. Amazon told Reuters the price increases are a result of increased inflation and operating costs as well as faster delivery and more content to stream in the impacted countries.
In April, Amazon posted its first quarterly loss in seven years. The company cited headwinds including higher wages, rising gas costs, and a loss from its stake in Rivian Automotive.