Amazon Prime may become more expensive
February 1 , 2014
Amazon Prime, which comes with a two-day shipping and an access to other perks, may get more expensive.
Reports suggest that the company is looking to increase the subscription fee by $20 to $40 in the future, making it the first increase in the annual membership.
Rising shipping and fuel costs has resulted in a drop in Amazon's profit margin. "Drones aside, they have to find a way to get the package from the warehouse to the user in a timely way but also in a cost-effective way," an analyst said. He believes that customers won't mind the hike in price. "Where are these customers going to go," VentureBeat notes.