Amazon is discontinuing its Prime Invitee program, which allowed Amazon Prime members to share shipping benefits with one non-household adult. Launched in 2009, this program will end on October 1st, after stopping new sign-ups in 2015. Current users who enjoyed a limited version of Prime will be affected, as Amazon transitions to a stricter sharing policy, similar to recent consolidations seen in streaming services like Netflix.
Analyst Dan Ives noted that Amazon’s decision reflects a broader trend seen in streaming, where password sharing has become a significant revenue issue. Despite concerns that such changes might drive away customers, Ives believes many will continue their subscriptions, viewing services like Prime as essential.
With a large user base, Amazon’s membership options now focus on in-house sharing through the Amazon Family program, which still allows multiple benefits, including access to digital content. A recent survey highlighted the importance of free shipping for U.S. consumers, indicating potential risk for Amazon if perceived value declines. A limited 12-month contract is available for users transitioning from the Invitee program, but the overall impact of these changes on membership numbers remains to be seen.
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