This move brings Amazon's video service into more direct competitor with services like Netflix and Hulu.
But a little simple math shows that it actually isn't a great deal unless you plan on canceling soon. Here's the breakdown:
- Prime Video as a standalone service will cost $8.99 per month, coming out to $107.88 per year.
- The complete Prime "bundle" will cost $10.99 per month, coming out to $131.88 per year.
- Amazon Prime, the whole package, costs $99 per year.
The benefit is that you can cancel any time you want, and are only committed on a month-to-month basis. This might serve as a good move for Amazon, allowing people to dip their toes into the Prime water before upgrading to the yearly plan. It also serves to underscore how great a deal Prime is.
But if you are already familiar with Prime, these new plans only really make sense if you see yourself canceling in the near future. 19% of Prime's current subscriber base has canceled in the last year, according to research by Parks Associates.
From the article "Amazon's New Netflix Competitor Is A Bad Deal For Most People" by Nathan McAlone.
Nearly 35% of US broadband homes watch user-generated video on sites like YouTube, Vimeo, and Dailymotion at least 10 days per month, according to Parks Associates. The firm’s new OTT research clai...
“Importantly, all of these services have increased their subscriber base over the past year. The top five OTT services have stayed consistent, primarily through maintaining or growing the massive user...
This is according to Parks Associates’ latest ‘OTT Video Market Tracker’ stats, which said that overall churn rate for OTT services has been roughly stable for the past year. At the end of 2015, 20...
And speeds appear to matter. Parks Associates reported way back in 2015 that fully one quarter of Americans who switched to a new ISP "did so in order to obtain a faster service at a comparable price....
