Seeking Alpha reports that Amazon has begun restricting the sale of certain video games and movies only to people who are members of its Prime loyalty program, often selling them to these US and UK customers at substantial discounts.
This move is part of Amazon's continuing efforts to grow its Prime membership base and, in doing so, its effective ecosystem. Amazon has been raising prices and minimums for non-Prime members, and expanding its offerings to people who have paid $99 a year to be members; for the first time, it has even begun offering a month-by-month membership option.
Indeed, CEO/founder Jeff Bezos has said that he wants Prime "to be such a good value, you'd be irresponsible not to be a member."
This move is part of Amazon's continuing efforts to grow its Prime membership base and, in doing so, its effective ecosystem. Amazon has been raising prices and minimums for non-Prime members, and expanding its offerings to people who have paid $99 a year to be members; for the first time, it has even begun offering a month-by-month membership option.
Indeed, CEO/founder Jeff Bezos has said that he wants Prime "to be such a good value, you'd be irresponsible not to be a member."
- KC's View:
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One of the things that most retailers struggle with is how to reward their best shoppers ... and this would seem to be the issue that Amazon is addressing here. These kinds of distinctions are a lot harder to make in the bricks-and-mortar space, and Amazon is taking advantage of its métier.