Amazon is raising the price of its Prime subscriptions across Europe by up to 43 percent annually in September. In an email to customers overnight, Amazon revealed that its annual Prime cost will increase by 20 percent in the UK from £79 to £95 from 15 September. Price increases in France are even more rapid, rising from €49 to €69.90 per year – an increase of 43 percent.
Amazon will also grow in Spain and Italy by 39 percent annually, with Germany, the company’s second-largest market, growing 30 percent annually. Amazon’s Prime price hike in Europe comes just months after the price of Prime in the US increased to $139 a year, up from the previous $119 annual fee. Amazon Prime typically includes fast shipping, access to sales, and free movie/TV streaming in most markets.
Amazon is also raising the monthly cost of Prime by £1 or €1 per month in European markets. Monthly rates don’t include the discount that applies to annual subscriptions, and it’s clear from Amazon’s growth that most households subscribe annually. These are the annual Amazon Prime price hikes across Europe:
- UK – £79 to £95, an increase of 20 percent
- France – €49 to €69.90, an increase of 43 percent
- Germany – €69 to €89.90, an increase of 30 percent
- Italy – €36 to €49.90, an increase of 39 percent
- Spain – €36 to €49.90, an increase of 39 percent
This is the first Amazon Prime increase in the UK, Amazon’s third largest market after the US, since 2014. Amazon is hugely popular in the UK, and market research firm Kantar says that more than 50 percent of households have an Amazon Prime subscription.
Reuters reports that Amazon blames the price hike on “increased inflation and operating costs.” The price change comes just days before Amazon posted its Q2 earnings results. Amazon reported its first quarterly loss in seven years last quarter, with the company citing part of the loss on rising costs of fuel, transportation and warehouse storage.