• From Business Insider…
“JPMorgan estimates that Amazon Prime membership is worth $785 annually, versus the $119 that Amazon is now charging customers. The value of the membership has increased 12% since last year, with the addition of new perks like free two-hour delivery of groceries from Whole Foods through Prime Now, the report by JPMorgan said.
The story notes that “in addition to free two-day shipping on 100 million items, Prime also offers one-day free shipping on more than one million items, and access to a vast digital library of videos, books, and music.”
"Prime delivers such massive scale and features that we believe it would be very difficult for any company to replicate and compete against, and Amazon continues to expand and add more value to Prime by adding new benefits and growing existing offerings," analysts wrote.
“JPMorgan estimates that Amazon Prime membership is worth $785 annually, versus the $119 that Amazon is now charging customers. The value of the membership has increased 12% since last year, with the addition of new perks like free two-hour delivery of groceries from Whole Foods through Prime Now, the report by JPMorgan said.
The story notes that “in addition to free two-day shipping on 100 million items, Prime also offers one-day free shipping on more than one million items, and access to a vast digital library of videos, books, and music.”
"Prime delivers such massive scale and features that we believe it would be very difficult for any company to replicate and compete against, and Amazon continues to expand and add more value to Prime by adding new benefits and growing existing offerings," analysts wrote.
- KC's View:
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I’m a Prime user and fan, but even I’m not sure I buy this. It strikes me as being written by an analyst with a position in Amazon.
A thing is worth what people are willing to pay for it. No more, no less. Retailers that try to convince themselves otherwise are going down a path they probably should avoid … because it leads to self-satisfaction, self-delusion, and self-aggrandizement.
