Just a sliver of information about Amazon Prime members is enough to throw the business media into a frenzy.
Case-in-point: Last week my inbox blew up with reports that Amazon had finally revealed the total number of Amazon Prime members—well, kinda-sorta.
In truth, the online retailer had filed a form 10-K which, for the first time, detailed revenue from “retail subscription services,” a category encompassing Prime membership fees, digital video and music, audiobooks, and the like.
The company pegged this number at $6.4 billion for 2016. A bit of 3rd Grade division later—$6.4 billion divided by the conventional $99 Prime fee—and we at least know the ceiling for how many Prime accounts there may be: 65 million.
But Who are Amazon Prime Members? No, Really.
This weekend, mobile solutions firm Field Agent surveyed 587 bona fide Amazon Prime members to explore their shopping and spending behavior.
We knew we were surveying actual Prime members with active memberships because each respondent submitted a photo of their Prime membership status (as pictured). Respondents were also required to submit screenshots/photos of their Amazon purchase history from the preceding 6 months.
Based on the results, here are 5 important insights into Prime members that go well beyond what a basic 10-K filing can show.
1. What benefits do Prime members actually use?
Free two-day shipping, Prime Video, and Prime Music are clearly—and not surprisingly—the most-used benefits among Prime members, both overall and on a week-in, week-out basis. The chart shows how other Prime benefits stack up against the "big three."
2. How much did Prime members buy/spend over the last 6 months?
Overall, Prime members reported spending a total of $678 on 32 different purchases, or $21.19 per purchase, over the last six-month period (including the holiday season). The infographic below displays how much Prime members bought/spent both overall and in two specific categories: electronics and homes goods.
Note: Respondents were instructed to count the total number of Amazon purchases associated with their Prime account over the past six months. As you'll see below, many Prime members say they share their accounts with other members of the household and even other households. Our agents also calculated the total amount (in $) of Amazon purchases from the previous six months. The figures in the infographic below describe the average Prime member in the survey. Numbers are based off the total number of respondents who made purchases in the category over the last six months.
3. How many monthly Prime members are there?
Amazon offers a $10.99 monthly Prime membership for customers who may not want the $99 fee and year-long commitment of an annual membership. In our survey, 11% of respondents identified themselves as monthly subscribers.
4. Do Prime members share their accounts?
Field Agent also asked respondents to identify all those who use their Prime account to make purchases (i.e., not just watch streaming movies or listen to music). Only 29% answered, "I'm the only one who uses this Prime account to make purchases." Who do the others share their account with?
- My spouse/"significant other" (in the household): 56%
- My kids (in the household): 19%
- Other households: 17%
- My business/company: 5%
One Prime account does not equal one individual. Thus, the whole question of "How many Prime members are out there?" may need clarification. What do we mean by "Prime member" anyway?
5. Are Prime members making food and beverage purchases through Amazon?
Just how common are food, snack, and beverage purchases among Prime members? In the Field Agent survey, a modest-yet-attention-worthy 33% said they had purchased food and/or beverages from Amazon over the past six months. Compare this to 78% who made electronic/electronic accessory purchases and 54% who purchased home goods.
Get the Inside Track with Field Agent
What do you need to see?
- Inside shoppers' online purchase histories?
- Inside stores where your products and displays are located?
- Inside homes as customers use your products?
Field Agent crowdsources one million smartphones across the United States to capture fast, affordable, location-specific insights and information, whenever, wherever. With Field Agent, you have a ready, reliable source for answering your most pressing business questions.
Download the infographic, “Bridge the Knowledge Gap,” to learn how Field Agent gives you the inside track.