After only launching their new monthly payments subscription as a trial service for Amazon Prime on November 6th, 2012, Amazon has today announced that the trial will be closing, and the monthly pay option will no longer be available for Prime customers.
The handy monthly Amazon Prime subscription service enabled people to pay a set $7.99 a month with a slight premium, rather than the yearly subscription of $79. This option was particularly appealing to those who preferred not to commit to a full year upfront or who found the monthly payment more manageable within their budget.
Amazon’s Decision to End the Monthly Subscription Trial
An Amazon spokesperson confirmed to AllThingsD: “We regularly test new options for our customers. At this time, we’ve completed our test and are no longer signing up new customers for Amazon Prime monthly memberships.” This statement indicates that Amazon is continually exploring different ways to enhance customer experience and adapt to their needs. However, the decision to end the monthly subscription trial suggests that the company may have found the yearly subscription model to be more effective or sustainable in the long run.
It’s still unclear whether or not the option will return to Amazon customers at a later date, but the Amazon Prime service is still available on a yearly subscription. The yearly subscription remains a popular choice for many users, offering a comprehensive package of benefits including free two-day shipping, access to Prime Video, Prime Music, and other exclusive services.
Impact on Customers and Future Prospects
The discontinuation of the monthly subscription option may disappoint some customers who enjoyed the flexibility it offered. For instance, students or individuals with fluctuating incomes might have found the monthly payments more feasible. However, the yearly subscription still provides significant value, often equating to less than $7 per month when broken down, which is a better deal for those who can afford the upfront cost.
Amazon’s decision to end the trial could also be seen as a strategic move to encourage more long-term commitments from its customers. By focusing on yearly subscriptions, Amazon ensures a more stable and predictable revenue stream, which can be crucial for planning and investment in new services and features.
Moreover, the trial’s end does not necessarily mean the end of innovation for Amazon Prime. The company is known for its customer-centric approach and may introduce new subscription models or benefits in the future. For example, Amazon could explore tiered subscription plans that offer different levels of service at varying price points, catering to a broader range of customer needs and preferences.
In conclusion, while the monthly subscription trial for Amazon Prime has ended, the service continues to offer substantial value through its yearly subscription. Amazon’s ongoing commitment to testing and refining its offerings ensures that customers can expect continued enhancements and possibly new subscription options in the future.
Source: AllThingsD
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