Amazon Prime Subscriber Reveal And What The Numbers Tell Us

Apr. 22, 2018 10:29 PM, Inc. (AMZN)30 Comments
Gary Bourgeault profile picture
Gary Bourgeault


  • What some of the numbers associated with Amazon Prime tells us about the company.
  • Why Prime Video is so important to Prime's success.
  • How specific original shows impact subscriber growth.
  • Where the company is looking for Prime growth next.

Source: Company website

Probably everyone in the investing community has heard about the first-time release of Amazon Prime subscriber numbers from Amazon (NASDAQ:AMZN) CEO Jeff Bezos in his annual report. It gave a clearer snapshot of the growth of Prime, along with its association with Prime Video and its strong role in the success of the program.

Here's a snippet of what Bezos said:

"Prime - 13 years post-launch, we have exceeded 100 million paid Prime members globally. In 2017 Amazon shipped more than five billion items with Prime worldwide, and more new members joined Prime than in any previous year - both worldwide and in the U.S. Members in the U.S. now receive unlimited free two-day shipping on over 100 million different items. We expanded Prime to Mexico, Singapore, the Netherlands, and Luxembourg, and introduced Business Prime Shipping in the U.S. and Germany. We keep making Prime shipping faster as well, with Prime Free Same-Day and Prime Free One-Day delivery now in more than 8,000 cities and towns. Prime Now is available in more than 50 cities worldwide across nine countries."

In this article, we'll look at what subscribers are saying about the value of Prime Video in maintaining their subscriptions, the potential those subscribers represent, some of the costs and revenue associated with specific shows, and how many new subscribers they've added to Prime.

Some of the numbers

Now that we have a fairly accurate baseline of at least 100 million Amazon Prime subscribers to work from, we can plug in some numbers to get a snapshot of what they represent to the performance of the company and the important of Prime Video to its overall performance.

The first number to look at is the amount Amazon Prime subscribers spend compared to non-subscribers. According to Consumer Intelligence Research

This article was written by

Gary Bourgeault profile picture
I am a former investment advisor and owner of several businesses. These days I invest only for myself while continuing to write on a variety of financial and economic topics.

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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