BENGALURU: Amazon India is days away from doubling the price for its popular Prime membership service Prime in India to Rs 999 per year. Earlier in July last year, the e-commerce major had launched Prime in India at an introductory price of Rs 499. Since then, the company has said that Prime has been its top selling product during major sale events. Even after the price increase in Prime subscription here, it will be significantly cheaper than Prime subscription price in US– at least by Rs 6,000 a year.
Industry experts say they will watch how Indian consumers react to the price hike and if it would have an impact on Prime membership renewals. Akshay Sahi, head of Amazon Prime in India, does feels the pricing will not have an impact on the purchase of the subscription service. “We started with about 1.3 million products eligible for Prime shipments and that has been scaled up to over 11 million products now. We are going to come up with price update for Prime and we will continue to make Prime even more attractive,'” he said.
According to Amazon, Prime subscribers typically buy more than non-Prime users, and the local arm of the Seattle-based internet behemoth has been focusing on growing this group of customers.
For Amazon, one out of three orders placed on its platform is from Prime subscriber and their purchasing power sees an uptick during the festive season and major sale events. Amazon had launched its content platform in December last year and executives told TOI that the launch of video platform had resulted in doubling the base of Prime subscribers in India.