Amazon US Prime sign-ups slow despite expanded promotion, data shows

Amazon US Prime sign-ups slow despite expanded promotion, data shows.(reuters)

Amazon's Prime Day event in July saw a mixed bag of results for the e-commerce giant. While the company reported record-breaking sales and sign-ups during the four-day event, a closer look at the data reveals that U.S. Prime sign-ups fell short of last year's totals and the company's own targets.

According to internal company data reviewed by Reuters, Amazon registered 5.4 million U.S. sign-ups over the 21-day run-up to Prime Day and its four-day sales event from July 8 to July 11. This figure is around 116,000 fewer than the same period a year earlier and 106,000 below Amazon's own goal, representing a roughly 2% decline in both metrics [1].

The data provides a rare glimpse into Amazon's closely guarded Prime business, a paid subscription service that offers fast delivery and access to streaming content. Amazon seldom discusses details of its Prime program.

During Prime Day, Amazon signed up 1.6 million Prime U.S. subscribers, exceeding an internal target by about 6%, or 87,000. However, in the three weeks prior to Prime Day, a closely-watched internal metric, Amazon registered 3.9 million new U.S. Prime members, 185,000 fewer than during the same period in 2024 and 193,000 below its goal, about a 5% miss in each case [1].

The slowdown in sign-ups comes despite Amazon's efforts to expand Prime Day and rural delivery to boost memberships. The company has also widened its discounted student program to individuals aged 18-24 and offered a six-month free trial. Additionally, Amazon plans to invest over $4 billion to grow its rural delivery network in the U.S.

Wall Street had expected a duller Prime Day than usual due to the Trump administration's tariffs, which have bitten into importers and consumers alike. However, Amazon's CEO Andy Jassy described Prime Day as the company's "biggest ever," citing record sales, items sold, and sign-ups in the lead-up to the event [1].

Prime is strategically very important to Amazon. People on Prime spend more on Amazon and are less likely to be enticed by competitors' offers of lower prices. Prime members in the U.S., its largest single market, spent an average $1,170 with Amazon in 2024 compared with $570 for non-members, according to Consumer Intelligence Research Partners [1].

Amazon introduced Prime in 2005 for $79 per year and has steadily increased subscription fees, most recently to $139 in 2022. The program drove $23.9 billion in subscription revenue in the first half of this year, making it a key growth driver for the company [1].

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_L6N3UL0PS:0-amazon-us-prime-sign-ups-slow-despite-expanded-promotion-data-shows/