After rumors last week that Amazon was planning to increase the cost of Amazon Prime in the US, the retailer has done just that. First, MarketWatch (opens in new tab) reported analysts at Jefferies who predicted the price rise. Then, on Thursday 3 February, Amazon confirmed that the annual Prime subscription cost in the US would rise to $139 a year, an increase of 17% over its previous price of $119. A monthly Prime account in the US goes from $12.99 to $14.99.
This is the third price rise for Prime since its launch. In 2014 and 2018, Amazon Prime increased its membership fees, surprising new sign-ups and regular users. The 2018 price increase took Prime from $99 to $119 a year. Despite the price hikes Amazon Prime grew substantially to millions of users, mainly due to its premium delivery and Prime Video and Music access. Now that it’s been four years since 2018 it's not surprising to see another price increase.
If you’re interested in an Amazon Prime membership and have not had one before or are considering upgrading your monthly subscription to an annual one, now is a good time to do so. That's because the price rise doesn't kick in until 18 February for new members, while current members will be charged the higher rate after 25 March.
So if you are on a monthly subscription you can take out an annual subscription today for $119, beating the $20 price hike for 12 months. And if you're a new subscriber, you can do the same.
If you are already an annual subscriber you'll need to take a different approach. According to Tom's Guide (opens in new tab) the trick for annual subscribers to lock in the lower rate is to buy a Prime membership for $119 (opens in new tab) and gift it to yourself before your Prime membership auto-renews. You will also need to manually end your Prime membership the day before it ends to prevent an auto renewal, so set yourself a calendar reminder. Once your Amazon Prime membership has ended, you can redeem your gifted Prime membership to take advantage of the $119/year rate for one more year.
Amazon Prime: $119 annually with a free 1 month trial (opens in new tab) – price goes up soon
The Amazon Prime membership gives you access to exclusive Prime deals, free Prime Music, Video and Reading and free premium delivery. Songs, movies, TV shows, books and more are all available with no extra cost and you can choose when you get your orders with premium, same day and premium delivery. Start your new annual account now to lock in the saving.
Why you should get an Amazon Prime membership
If you’re a new Amazon prime customer, you automatically get a free one month trial when you sign up for Prime membership. After your trial is up, you can choose between a monthly or annual subscription. These subscriptions unlock Amazon benefits, including free and fast delivery options and access to Amazon entertainment.
If you want to watch Prime Original series or download the latest movies, signing up to Prime means you can watch and stream thousands of shows, songs and movies at no extra cost. Amazon Music also gives you access to over two million songs ad-free and readers can get their hands on the latest books, eBooks, magazines and more with Prime Reading.