Amazon doesn’t talk about the numbers often. Rather than being very transparent about how specific products are selling or how much you’re streaming, the e-commerce giant usually sticks to general descriptions touting success. So it’s surprising to see CEO Jeff Bezos reveal how many Prime members there are in the world today.
There’s been much discussion about the figure leading up to its confirmation. Last year, analysts estimated there were as many as 80 million subscribers. The company’s only ever said it has “tens of millions” of subscribers in the past. Finally, here we are with an actual number from Amazon.
In his annual letter to shareholders, Bezos said this:
“13 years post-launch, we have exceeded 100 million Paid Prime members globally. In 2017 Amazon shipped more than five billion items with Prime worldwide, and more new members joined Prime than in any previous year — both worldwide and in the US.”
Based on that, it’s obvious Prime is an incredibly strong revenue stream for the company. Amazon sells the membership for $99 per year, with a monthly payment plan available as well, and unlocks access to benefits like free and expedited shipping, Prime Video, Prime Music, and more. Simple math tells you Prime members could give the company around $10 billion in revenue annually.
Amazon is competing against other subscription-based services, and even its music streaming offering is succeeding. The company says Music Unlimited has “tens of millions of paid customers,” which might mean Spotify and Apple Music have to think about another rival coming up.
If you’re wondering how Thanksgiving went for Amazon, Bezos also shared that a record-breaking number of turkeys were sold.
As you can tell, Amazon is killing it. The company is expanding its business worldwide with acquisitions and partnerships. While that takes a lot of money to do, Amazon generates enough revenue to fuel continued rapid growth.