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Old 02-02-2014, 06:31 AM
 
Location: The Southern Sac's, NM
1,872 posts, read 3,399,219 times
Reputation: 2898

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Living in a rural area, I order a lot from Amazon and do have a Prime subscription, which is currently $79. a year.

I don't use the Instant Video (netflix-type thing), or the Kindle Library thing, both of which are free with a Prime subscription.

Since shipping costs have risen, Amazon wants to pass that burden on to their customers to the tune of a $20-$40 a year increase.

This article explains it a bit more: Amazon may raise price of Prime program by $20 to $40

My thoughts are that Amazon should absorb the cost their own multibilliondollar selves. They generally have a good rep at this time, much like eBay had a good rep before they started fee-ing anything and everything, and then increasing those fees every year until we now loose approx 20% out of every sale. Sucking more and more profit out of their customers is not going to endear them to anyone, and may **** off enough people that they lose a big chunk of those subscribers.

As an aside, Amazon has quietly been raising selling fees as well. The FBA program (where sellers store their stock at Azon warehouses and Azon ships it for them) fees have also gone up twice recently, once last year and another one pending.

I understand their strategy, suck everyone in, get them used to that nice benefit (free 2-day shipping), and then crank up the fees. It's a common business practice.

But it still irks me. And I don't need the 2-day shipping that bad, I will most likely cancel my Prime Subscription if they do raise it. It's a perk that I enjoy, but it's not a necessity.

Yo Jeff - I have a couple solutions for you...

1) An option to have Prime without the Video and Kindle stuff at a lower cost.
2) Ditch UPS and FedEx and start your own fleet of delivery trucks.
3) Offer free ground shipping instead of the 2-day. I'd go with that.
3) Get them drones going

What do you guys think, should they raise their prices? And if they do, will you keep your subscription?
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Old 02-02-2014, 07:05 AM
 
Location: Sloooowcala Florida
1,392 posts, read 3,117,191 times
Reputation: 1232
I thought about getting Prime, because a friend of mine was raving so much about it, but at that rate, I will not be getting it.
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Old 02-02-2014, 07:06 AM
 
Location: Idaho
836 posts, read 1,655,958 times
Reputation: 1561
Main reason I got Prime was because their new partnership with the post office sux.

I forget the term for it but you Think your package is coming UPS- then it's delayed or sent back because it actually was handed off to the post office who have little stake in delivering a competitor's packages on time.

If they raise the fee I won't renew Prime.
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Old 02-02-2014, 07:53 AM
 
Location: East of Seattle since 1992, 615' Elevation, Zone 8b - originally from SF Bay Area
44,210 posts, read 80,369,332 times
Reputation: 57089
It really depends on how much you use it. We rarely buy from retail stores if it's available for significantly less at Amazon, and with the number of orders they could raise it to $250 and we'd still come out ahead on the shipping and what we save by not buying at stores. Especially when you add in the gas, since the nearest stores are 7-15 miles away.
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Old 02-02-2014, 08:17 AM
 
Location: Tyler, TX
23,532 posts, read 23,863,036 times
Reputation: 14882
$120/year is $10/month. That's about $3.30/month more than their current $80/year charge. If they raise it to $120, and you don't think you're getting a $10/mo value out of it, cancel it. If you think you're getting your $10/mo worth, keep it.

We use the free shipping a lot, and we also use the streaming. I'd have no problem paying $10/mo for it.

Last edited by swagger; 02-02-2014 at 08:40 AM.. Reason: early morning typo
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Old 02-02-2014, 08:31 AM
 
18,837 posts, read 37,239,147 times
Reputation: 26458
If they raise it, I will cancel.

Amazon better not cut this, it would be on the equivalent of the Netflix fiasco.
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Old 02-02-2014, 08:42 AM
 
Location: Tyler, TX
23,532 posts, read 23,863,036 times
Reputation: 14882
Quote:
Originally Posted by jasper12 View Post
Amazon better not cut this, it would be on the equivalent of the Netflix fiasco.
My Netflix stock is up over 60% since I bought it. I'd say they're doing something right.
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Old 02-02-2014, 10:26 AM
 
2,971 posts, read 3,395,666 times
Reputation: 4243
Quote:
Originally Posted by notoriouskelly View Post
Main reason I got Prime was because their new partnership with the post office sux.

I forget the term for it but you Think your package is coming UPS- then it's delayed or sent back because it actually was handed off to the post office who have little stake in delivering a competitor's packages on time.

If they raise the fee I won't renew Prime.
Hmm I work for the post office and , as a carrier, I will get into trouble if I don't deliver your package the day it's given to me.

However, I'm not so sure about the clerk end. I see Amazon packages sitting there with no one to sort them. So I can see your point.

Not faulting the clerks. They just do as they're told.

They're not "competitors" packages. We have what is called the " last mile " delivery agreement.

I will still keep my Amazon prime-just wish there were more free movies, of course, lol.

Besos wants 7-day delivery. It's being tested in some areas, using the post office. Our trucks are getting pretty old...he also wants same-day delivery, possibly using the postal fleet.

The deal with the Post Office is pretty secretive. Wonder what the agreement really is.
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Old 02-02-2014, 10:28 AM
 
Location: League City, Texas
2,919 posts, read 5,919,716 times
Reputation: 6259
Quote:
Originally Posted by swagger View Post
$120/year is $10/month. That's about $3.30/month more than their current $80/year charge. If they raise it to $120, and you don't think you're getting a $10/mo value out of it, cancel it. If you think you're getting your $10/mo worth, keep it.

We use the free shipping a lot, and we also use the streaming. I'd have no problem paying $10/mo for it.
I agree. We purchase a lot on Amazon, as well as streaming. I'd prefer they not raise the price, but it's not going to make me discontinue the service. We've had it since it first started. It seems like it was $50-$60 a month when it was initially available, so this isn't the first increase in price.
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Old 02-02-2014, 10:36 AM
 
Location: Milwaukee Ex-ex-ex-urbs
358 posts, read 510,397 times
Reputation: 725
I have Prime and I like it. I use it as much as I can. For now I will keep it even at the new price.

Supply and demand. The original Prime has been a nice deal. Expenses change, fees change. As time goes by a new niche for a low cost alternative opens and somebody else creates a new company that competes for those people.

Adjust your own situation to the best advantage for yourself until that next business is available.

People constantly complain about change, but it is inevitable. You have to change with it.
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