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The Price of Amazon Prime Is Going Up (Again)

You might want to disable your subscription's auto-renewal.
Amazon Prime price increase

Amazon is doing great. The company recently announced that it "blew the doors off revenue and profit expectations in the first quarter." It also reportedly has more than 100 million Prime members. And in March, Amazon CEO Jeff Bezos overtook Bill Gates on the Forbes World Billionaires List, making him the new wealthiest man in the world.

So we're more than a little miffed to hear that Amazon chose this time to raise the price of a Prime membership again.

SEE ALSO: Amazon Will Increase the Price of Its Monthly Prime Subscriptions

The last time Amazon increased its yearly Prime membership price was in 2014, when the subscription jumped from $79 to $99. Now, four years later, it's increasing by a not-insignificant 20%. And recall that Amazon also hiked the price of its monthly memberships from $10.99 to $12.99 back in January of this year. Read on for the full details of this latest Amazon Prime price change.

When Will the Amazon Prime Price Go Up?

New subscribers will pay the new rate starting on May 11, but current members have another month before it kicks in. On June 16, existing members will begin paying the new $119 rate, depending on when their renewal period occurs.

Prime Price Hike to Cover Increased Costs

Amazon CFO Brian Olsavsky cited a couple reasons behind the Prime price increase in a call with investors. Costs have apparently gone up due to shipping expenses as well as spending on digital content. He also claims that the program is much different now than it was in 2014, which is when the last increase happened.

Once again, Amazon is blaming a Prime price hike on higher shipping costs.

It's worth noting that Amazon also cited increased shipping costs, as well as the cost of providing Prime perks, when it raised monthly membership rates in January.

Can You Still Get Amazon Prime for $99?

Inventive DealNews readers, as well as some Reddit users, have suggested that there could be a way around the price increase — for now. These shoppers say that a current subscriber can gift themselves another year of Prime to temporarily lock in the lower rate. Unfortunately, we haven't tested this workaround; we can't say for certain that it'll work for you.

If you'd like to give this a try, visit Amazon to buy a gift membership. Send the "gift" to the email you use for your own Prime membership.

SEE ALSO: 14 Confusing Things About Shopping on Amazon

You'll apparently need to turn off auto-renew in order to make this trick work, and apply the gift membership no sooner than one day after your current membership expires. Otherwise, the price could be applied to your account as a merchandise credit. Since gift memberships don't expire, you could theoretically stockpile several for the next few years.

Buyer beware! According to an Amazon spokeswoman, if your regular renewal is on or after June 16, you won't be able to prepay for another year at the lower rate.

Readers, will you pay for Prime at the new price? Take our poll below, and then leave your thoughts in the comments below!

Senior Staff Writer

Julie joined DealNews in 2015. Her work has been featured on MSN, Business Insider, Lifehacker, The Motley Fool, GoBankingRates, and Moneyish. In her spare time, she enjoys baking sweets, reading thrillers, and listening to an ever-growing list of podcasts.
DealNews may be compensated by companies mentioned in this article. Please note that, although prices sometimes fluctuate or expire unexpectedly, all products and deals mentioned in this feature were available at the lowest total price we could find at the time of publication (unless otherwise specified).
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Trying to buy a amazon prime to extend your prime year 'try attempt'....

"Hello, as a current Prime member, you already enjoy free Two-Day Shipping, video streaming, and more.
Your gift of Prime can be exchanged for an Amazon.com Gift Card worth $99 (Cost of Prime membership + applicable sales tax), which will be applied to your account."
We canceled in January. Honestly, I think it's saved me money by not buying on impulse. Still use the subscribe and save feature for reoccurring monthly purchases. As long as the minimum is met, free shipping.

You can still use your fire TV. Just won't get the free perks. I use my with Plex, Netflix and Hulu.

Also saw someone say they keep prime because they use Echo's. The Echo will work without Prime. JS.
yes Lonnie it is immoral, it is stealing because these 'investors' increased price of service but did not increase our salaries
Those that talk about "lining Jeff Bezos' pockets" overlook that he holds only 17% of the stock. As with many companies, a large amount is held by institutional investors, such as retirement funds. Do you think it is "greedy" if you want your retirement account to grow by more than just the money you and your company put into it?
Someone has to pay for the discounted Prime Membershep those on welfare receive.
Hey jb_mn - You're lining somebody pockets. People need to stop looking to make others more poor and start focusing on how to make yourself more rich. If they provide a product or a service at a price you wan't to pay they go for it.

At $119 I don't think Amazon Prime is worth it to me anymore.

My $100 Sams Club membership is the same way. I'm dropping if after more than 10 years. Sams provide ZERO incentive to loyal customers. They need to drop the membership fees $10 per year, so after 10 years of faithful patronage, you become a free lifelong member and then give you a special gold card so something to say thanks.
"Amazon's chief Jeff Bezos is the first person to top $100 billion as number one on the Forbes list of the World's Billionaires. "

Good for Jeffy however I refuse to line his pockets--never have and never will !!!
"20% increase 2 years ago, 20% this year-that's a 40% increase over 4 years. "

Actually, it's more like 50%. Consider the $79 fee as $80 and the new $119 fee as $120. Going from $80 to $120 is in fact a 50% increase.

The initial increase (from $79 to $99) was about 25%. Going from $99 to $119 is close to 20%. But collectively, it's about 50% more expensive now than four years ago.
I've been a Prime member for quite a few years, and while I am not happy with the price increase, when you break it down, it's less than 5% per year increase, or about the inflation rate. I use Prime primarily for my business where the fast shipping is important, so write my membership off, but we watch a LOT of Prime free video and have discovered quite a few obscure gems we never would have otherwise found. I strongly disagree that their video selection is lacking. We don't have cable by choice, so Amazon makes a great alternative and provides far more than we can possibly watch.
I will stay if I can get a ton of new digital content and lower prime customer sales. Other wise "hasta la vista baby"
I really loved seeing everyone getting mad when there is a small increase for Prime Membership or Netflix increases. Let's just forget the fact that Apple and Samsung charges a leg and an arm for cell phones which are mass produced. Let's also pretend healthcare increases are outrageous. My point is anything and everything goes up. If you really can't afford or value the $20/year increase, then Prime wasn't worth it for you at $99/yr either.
It's going to like cord cutting !! But - I'll live and soon Amazon will be just a bad dream.. Dingo...
I gave up on Prime about 6 months ago. Other than the 2 day shipping, every other service they have is worthless. I'm now ordering from Walmart/Target/Ebay and getting deals just as good or better (as long as I meet the free shipping minimum). I've had to order from Amazon on a couple of occasions (still meeting their $25 minimum for free shipping) - but they treat you like a second class citizen. The free non-Prime shipping with Amazon takes 7-10 days to arrive. I can usually get my items from Walmart/Target in 3-4 days.
For the last two years I have been asking Amazon to offer a Prime (shipping only) account without other perks for a discounted price. They never responded. I also suggested a 2 or 3 year Prime account for a discount. Again, no response.
Actually, while Amazon overall is very profitable, that is primarily because of Amazon Web Services (the Cloud), which is largely a service to businesses, not consumers. If you back out profits from that division, the profits at Amazon don't look that good.

Although it is fashionable to call Bezos a greedy SOB, that is no more appropriate than calling the people who call him that cheap SOBs.) His creation has improved my world considerably by making shopping much easier, much less time consuming, and more eco-friendly (I don't have to drive to all the stores I used to have to visit in person). Putting aside the free 2-day shipping, and the generally fair prices, consider the free music downloads, and free video, once you've paid the Prime fee.

That said, you may not value the things I get from Prime the way I do. If you think you can find a better deal elsewhere, you are free to do it.
Amazon prime student $49 ($59 after price$$)

Not a student? Not a problem.. Go to edx.org and sign-up for some free on-line classes from schools like Harvard, Stanford, MIT whatever floats your boat.

Now here's the trick amazon wants an .edu email address for the student account which does not come with the on-line classes, but (in my case at least) I just emailed customer service and explained that my "school" did not give out .edu addresses, their reply? Not a problem just take screen shot of your current class schedule and email it to us, and easy as that approved the next day no worries.

And apparently it's amazon student for life(?) Well it's been auto-renewed for years now no questions asked, with the same benefits as a regular prime membership (actually some extras for students) at 50% off that's a prime deal on prime..
Hello all, I am wondering if I can still use my Amazon Fire TV if I cancel Prime.
This price increase is crazy. I will cancel my prime membership when it comes up for renewal it's just not worth it!! in the future the only time I will shop on Amazon as if I can't find something I really need somewhere else. I have been a long-time Shopper and have bought a lot but not anymore. This price increase goes to show that Amazon does not care about its loyal customers!
Just another very greedy S O B!!!!!!
It's no longer justified at $119. The music service is crummy and doesn't work with my car airplay. The video is stuff I've never heard of and don't want to watch -- even for free. The rest of the "benefits" are useless to us, and Amazon often no longer has better pricing. Oh, and the bloated, bogus reviews can't be trusted. At all.

Two-day delivery is not that compelling to me, especially since it's often not two-days depending on when the order is placed. I can wait for longer, free shipping from Amazon or buy from others.
For the amount of stuff I purchase, I'd rather spend the $4 avg. per each item right now, versus $13/month...also with the likely spinoff of Whole Foods, loss of Amazon music, paying higher actor salaries for Prime movies, plus the exorbitant salary of Bezos, higher finance charges for Amazon credit, higher shipping costs than USPS/UPS/FEDEX, time to move on...
I strongly suspect it is due to the failure of Whole Foods stupidity...who are losing their inventory...those who never shop there opting instead for FAR better organics are made to suffer. Bezos can go to hell.
Ah, deja vu. The same kvelling went on 4 years with the last price increase. Keep Prime or don't. It isn't going to make any difference to Amazon.
@blue_ridge_hiker: You need to check a calendar. The last increase (from $79 to $99 was in March 2014...4 years ago).
20% increase 2 years ago, 20% this year-that's a 40% increase over 4 years. Now you know why Amazon is worth almost a trillion. Compare prices and you'll find that Walmart is much cheaper than Amazon on many products these days. Even better, save your money and buy from eBay where many sellers will sell you the same products as Amazon and just send it to you as a "gift" while making a few dollars for their profit.
That's the final straw. Not worth it anymore. Dumpin' prime here!!!
I let my membership expire over a year ago and have not really missed it. I found that many of the items I ordered were subscribe and save or add-on items which receive no benefit with Prime. The video service included with Prime did not get used much. And I was having an increasing number of problems with delivery. Still am actually with my S&S. Last year, Amazon gave me $10 "courtesy" credits four times due to delivery problems. This with the number of deliveries to me greatly decreased over prior years. They have been rolling out there own delivery service to bypass UPS and Fedex and keep some more of your membership dollars for themselves and the service, at least in the Philly area, has been horrible.

Not having Prime has likely saved me hundreds. I will add a sale item to my cart that does not meet the free shipping minimum and not make the purchase. I keep it in my cart and most of the time the price goes up before I find something else to get free shipping. Saving $$$
It is still a value for us: shipping, video, music, books, magazines, and Echo service for $119 per year isn't too bad.
I don't blame them for raising the price. They need to see what the market will bear.
What about rural customers who can not take advantage of some of the benefits in the big cities. They should have different levels of Prime Membership. I felt $99 was a fair price to pay. I basically only use the shipping benefit and sometimes watch the free movies. That is it. Very disappointed in Amazon and this decision. They are making lots and lots of money and could afford to give their customers a break. Why $20 increase why if they really had to a $10 increase at the most? My wife and I will discuss very seriously when it comes time for us to renew. I know this will go to deaf ears but at least I shared my disappointment in this action and Amazon.
I will cancel prime & remove 2 Fire TV boxes next month.
When it was $80 it was pretty good, at $99 I was like "eh, well the music and video is cool, I'll stick with it". But in the last 2 years Ive watch about 3hrs of video, and listened to about 1hr of audio... So, Come August, I'll NOT renew. Hopefully there is enough impact from cancellations that Amazon takes notice. I'll probably spend less too, since the free prime shipping will no longer be an option. Seems to be Win-Win, thanks Amazon.
I guess Bezos decided that making "only" $230,000 PER MINUTE wasn't enough. smh

I'm definitely cancelling Prime before it renews in August. You can bet I'll be hitting up customer service for that extra month of Prime each and every time my shipments are delivered late.
Just wait the extended shipping times... or find a direct seller who supplies the item at a cost without the extra charge for affiliate prices... the trouble is the labels used to what is called is a smart shopper... is just a false sense to a make you feel you're helping yourself in the long run when you really aren't - Amazon wants to go to mars- you are the ticket
$100 (current pre-paid year price) x 100, 000,000 (current Prime members) = $10,000,000,000 anually ; seems like that "should" cover Amazon's "Prime sub" expenses ..... ????

I dont know if I'll re-sub up , even though I do use their Prime shipping (I dont abuse it), video (a major portion of content is not free) and music (dont use it much) .
I personally dont think the overall service has improved enough, if at all over the last 4 years to warrant yet another increase .

Ive been around Amazon since 2000 , a Prime member on and off ,but consistent for the last 6yrs or so .
Been a Prime member for quite a long time...but I think this latest increase tips the scale. Just not enough real value apart from the 2-day shipping, the other so-called perks are all but useless. I'll cancel when membership expires.
Tried to "gift" myself a $99 Prime membership, but it says I already have Prime, and says I can use the credit for a pre-paid gift card.
Price going up because someone has to pay for the discounted Prime Membership folks on welfare get.
Need more funding for his space program
So right now I am on monthly..it says I am save $58 if I grade to annual..I guess if I do I will get the $99 for a year til my next renewal a year from now?
dealnews-jramhold (DealNews)
@ B from C

Amazon certainly doesn't make it easy to find. Try going to "Your Account" and then "Manage Your Prime Membership". From there, you'll select "End Membership". Then you'll have a few options. You can either click "End Membership" again to turn off auto-renew or you can opt to have a reminder sent three days before your membership is set to auto-renew. Hopefully this helps!
This is my first year with Prime but it will also be my last. I find myself buying stuff I really don't need because of it. And the videos are not impressive. I will stick with Netflix but I find myself listening to the radio more at home and only turning on the TV in the evening.......but seriously......the day after the stock market announcement.....WHAT WAS BEZO'S THINKING !!!
B from C
How exactly does one "turn off auto-renew" as mentioned in this article? I have looked for this function many times and am unable to find it. The closest I can find is cancel your membership and have your balance refunded.
I'll still be keeping my Prime membership because it is still a great value! One of the services that I really like the fact that I can backup pictures from on phone in full size, Prime music, and the Prime TV perks (Agreed that their selection is limited but I don't watch that much TV). I order a lot of stuff from Amazon so to me it is totally worth it (I use the slow shipping for the additional $1 digital credit).
Happy Irishman
Nope; I won't be renewing my Prime membership. While Prime comes with all manner of "goodies," I only use a couple of them. To me, I would have to be spending much too much time interacting with Amazon to the exclusion of all of life's other experiences for this price increase to be of value. This may not be of concern to others and is simply my take on the issue.

Additionally, I think Mr. Bezos has got his greed gland stuck!!!
I liked The Tick... but I didn't like it that much. Other than that, Prime Video is the worst video store I've ever browsed and I can happily wait a week or so for pretty much anything I order. This might be the final straw.
Making Wal-Mart's $35 2 day shipping min look a lot better.