Is Amazon Prime's Value Justifiable?
Amazon's biggest sale of the year, known as Prime Day, is coming up in July. Although the specific dates haven't been announced yet, you can expect some early deals to surface soon. To fully enjoy everything this sale has to offer, you'll need to be an Amazon Prime member.
Millions of Amazon Prime users currently pay $14.99 per month or $139 per year for their memberships. Frequent Amazon shoppers may find that they can recoup the cost of Prime rather quickly, especially due to the shipping advantages. However, it might not make sense financially for infrequent users. If you're not sure about signing up for or renewing your Prime membership, let's take a look at whether or not the benefits are worth the $139 fee.
Benefits of Amazon Prime
Let's go over the main advantages of Amazon Prime that make it a worthwhile investment for many users.
- Free two-day shipping on millions of items: This is the primary temptation of Prime. If you shop often on Amazon and value quick delivery without any extra cost, the shipping perks could make Prime worthwhile. Prime members also enjoy free same-day delivery on more than 3 million items in certain areas. Normally, same-day shipping costs around $9.99 per order for non-members.
- Access to Prime Video: Prime includes unlimited streaming of movies, TV shows, and Amazon Originals. Granted, the content library isn't as big as Netflix or Hulu, but it could still be worthwhile.
- Other Prime benefits: You also get Prime Music for streaming songs, Prime Reading for ebooks and magazines, Prime gaming, free photo storage, and discounts/deals.
- Amazon Prime Rewards Visa card: Cardholders receive 5% back on Amazon and Whole Foods purchases, so if you frequently use this card, you can accumulate rewards that can offset the annual fee.
- Number of users: Prime benefits can be shared among members of your household. The more users, the greater value per individual.
Running the numbers
Browsing my non-shared, non-Prime Amazon account, I see that shipping costs typically add up to about six dollars per item. Of course, shipping costs will vary depending on the item and how rapidly you want it, but let's compare the costs of individual online orders (roughly six bucks each) to the gratis delivery that you get with an $139 yearly fee. In order for the savings on shipping to make Prime worth it, you'll need to place online orders more than two dozen times per year.
A crucial detail to consider: You can obtain free shipping from Amazon without Prime; all you need is an order containing $25-35 worth of eligible items. However, your delivery will take between five and eight days.
The final word
Prime is more likely to be a good deal for people who frequently shop on Amazon (over 23 times per year) and make use of the other Prime features such as video streaming. But if you rarely shop on Amazon or won't take advantage of the additional benefits, then Prime might not be too attractive for you. Compare the $139 annual fee to the value you'll get from the free shipping and other Prime options.
By the way, you could always sign up now and then cancel your membership after Prime Day is finished, but Amazon won't make it easy for you. For more information about offers and reductions, keep track of Aussiedlerbote's Amazon Prime Day coverage.
Read also:
Given the text about the benefits and cost analysis of Amazon Prime, here are two sentences that incorporate the words 'money' and 'Amazon Prime worth it':
The cost of Amazon Prime membership, at $139 per year, might seem like a significant expense, but frequent Amazon shoppers might find it worth the money due to the savings on shipping and access to other Prime benefits.
If you're considering whether Amazon Prime is worth the investment for you, you might find that the service pays for itself if you frequently place online orders and take advantage of the other Prime benefits like video streaming and music streaming.
