Even at the higher price, Prime’s still a great deal. You get a streaming video library that’s comparable to Netflix, plus free shipping on just about everything. For those (like us) who live in the sticks, Prime is amazingly convenient.
But why such a big price hike? Why wait so long to pad your margins? Wouldn’t not incrementally increase Prime’s cost, every year or two? Or why not tie the price to the inflation rate?
A sudden $40 increase feels like tossing the frog straight into the boiling pot. Prime members may balk and cancel their subscription. But if you gradually raise the price, the customer won’t know she’s being cooked.