Starting October 1, Amazon will limit Prime benefits for consumers
Amazon has announced several changes to its Prime membership and delivery services, aiming to streamline its offerings and cater to the needs of its customers.
In a significant move, the tech giant is ending the Prime Invitee program and focusing its advertising efforts on the Amazon Family program. The Prime Invitee program, which allowed existing Prime members to invite others to join, will cease to exist on Oct. 1, 2023. On the other hand, the Amazon Family program, which allows members to share several benefits with one other adult in their household, will continue to be a part of Amazon's offerings.
Amazon is also expanding its same-day delivery service, now including perishable food items in over 1,000 cities. This move is expected to provide customers with a more convenient shopping experience, especially for essential items.
During its latest earnings call, Amazon didn't disclose specific figures for its Prime membership. However, the annual fee for Amazon's Prime membership in the U.S. has remained at $139 since 2022.
Brenda Spoonemore, Vice President of Amazon Business, revealed that large enterprises are interested in concentrating their purchases through a single platform. This shift in focus could potentially impact the way Amazon conducts its business-to-business transactions.
Looking ahead, J.P.Morgan analyst Doug Anmuth predicts that Amazon could raise the price of its popular Amazon Prime membership in 2026. This speculation comes as the company continues to invest in various areas, including its delivery infrastructure and original content production.
The changes come on the heels of a successful Prime Day event in July 2025. Amazon described the event as its "biggest Prime Day shopping event yet," with more items sold during the four-day event than any previous four-day period that included a Prime Day event. Both Amazon and independent sellers, most of which are small and medium-sized businesses, achieved record sales and a record number of items sold during the event.
Amazon Prime benefits include fast and free delivery, access to exclusive events and deals, Prime Video, Prime Reading, and third-party benefits like Grubhub. With these changes, Amazon aims to continue providing value to its Prime members while adapting to the evolving needs of its customers.
As of the latest data, Amazon's stock (AMZN) had a last price of $225.34, a decrease of 1.60%. These changes and predictions will undoubtedly have an impact on Amazon's future performance, and investors will be keeping a close eye on the company's developments.
