
Ask HN: How does Amazon Prime allow users to have so much and pay so little? - good_vibes
I understand economies of scale but it&#x27;s still a lot of value for $10.
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mattbgates
I think when you have millions of people paying you all at once, you can drop
your prices to be competitive. There are many people who would rather pay the
membership fee for the year in order to have access to: Free 2 Day Shipping
and Amazon Prime Video and whatever else they offer.

It is a win for Amazon: People who get free shipping are probably making more
purchases on Amazon than those who hesitate because of a shipping cost.

