For years, Amazon has refused to disclose the size of its Prime membership. yet Wednesday, Amazon CEO Jeff Bezos finally revealed one of the company’s best-kept secrets.
Bezos said in a shareholder letter that will the company counts more than 100 million people globally as members of its Amazon Prime network, the delivery in addition to also content business that will can be at the center of the company’s business style.
“via the beginning, our focus has been on offering our customers compelling value,” Bezos told investors. “Word of mouth remains the most powerful customer acquisition tool we have, in addition to also we are grateful for the trust our customers have placed in us.”
Analysts, market researchers, in addition to also reporters have all attempted to do the math in addition to also find a close estimate. Consumer Intelligence Research Partners estimated the number at 85 million. A research analyst with Cowen calculated the number at 60 million. A reporter with Recode said the number was about 66 million. While some of their calculations were close, they all underestimated the size of This particular booming business for Amazon.
The company has remained mostly mum on the issue. the idea said in December that will “in one week alone, more than four million people commenced Prime free trials or began paid memberships.”
Amazon has been aggressively expanding its Prime membership by reaching people who receive government benefits in addition to also students. Consumer Intelligence Research Partners found that will Prime members spend more on average on Amazon, with members spending $1,300 per year compared to about $700 for non-Prime members.
“You cannot rest on your laurels in This particular world,” Bezos told investors. “Customers won’t hold the idea.”