Amazon Prime prices are going up, leaving some to wonder whether the deals still outperform those of the company’s biggest competitors.
Amazon announced on Feb. 3, via its fourth-quarter results, that the company will be raising the prices for Prime membership from $119 to $139 for an annual membership or $12.99 to $14.99 for those paying monthly. Amazon last raised the price of Prime in 2018.
“As expected over the holidays, we saw higher costs driven by labor supply shortages and inflationary pressures, and these issues persisted into the first quarter due to Omicron,” Amazon’s CEO, Andy Jassy, said per the release.
The Wall Street Journal reported that while this 17% price jump is significant, Amazon has also expanded its selection of free music, videos, games and books over the years — as well as increased the number of items available for one-day and same-day delivery.
Walmart, Amazon’s closest retail competitor, released its version of Amazon Prime — Walmart Plus — in September of 2020. A Walmart Plus subscription offers benefits such as unlimited free delivery, discounts on gas and prescriptions and scan-and-go purchasing at any of its physical stores. Walmart Plus costs $98 a year or $12.95 a month.
Both Amazon Prime and Walmart Plus offer free one-day or two-day shipping and delivery services. Same-day delivery is available to Prime members for orders $35 and up and Walmart Plus members can get same-day delivery on grocery orders $35 and up, or for free on other products. While a Walmart Plus subscription costs less, Amazon has significantly more products available for same-day delivery — 3,000,000 items versus Walmart’s 160,000, CNET reported.
Amazon and Walmart also offer savings on prescriptions. Amazon Prime members can enjoy free two-day delivery on prescriptions from Amazon Pharmacy, plus exclusive savings when paying without insurance. Business Insider noted that Walmart’s “Rx for less” program lists some prescriptions at up to 85% off, but the company estimates the average savings are closer to a 65% discount.
There are other services that aren’t offered by both Prime and Plus membership subscriptions. One benefit of Amazon Prime that you won’t recieve with Walmart Plus is all of its streaming services, such as Prime Video, Prime Music and Prime Gaming.
Walmart Plus stands out from Amazon with its focus on in-person shopping experiences and benefits. Two of the biggest benefits not available with Amazon Prime are gas savings and mobile scan-and-go for in-store shopping. According to Walmart, Plus members can get $.05 off per gallon at Walmart and Murphy’s gas stations, plus access to member prices at Sam’s Club fuel centers.
More From GOBankingRates