Amazon (AMZN) Hikes Prices on Prime

Diposkan oleh silent aja 7:45 PM Post a Comment

Online retail giant Amazon.com (AMZN) announced on Thursday () that it has raised the price of Prime membership by as much as $11, to $99 a year for existing customers.

Prime, which has become very popular since first introduced nine years ago, offers free, two-day shipping on certain items and currently costs $79 a year.

The new pricing will take effect when customers make their annual renewal. According to the company, the Prime Fresh membership will remain unchanged at $299, and student members will pay $49 per year.

The price increase was somewhat expected. Amazon's CFO Tom Szkutak said in late January that growing transportation costs may cause the company to add between $20 to $40 to the subscription fee.

Amazon shares are up around $8 in pre-market hours, trading at $378 and change as of 8:35AM EDT.