Why the Amazon Prime Price Increase is Good for Retailers

Retailers should treat the announcement as good news too. Why? Because it clearly shows that Amazon believes consumers value fast delivery enough to pay more for it. Consumers’ expectations of what they pay for delivery should start to shift from the "giveaway" model. There's another reason why the Prime price increase is good for retailers, and it's not so obvious. To understand it, we need to dig deeper into how Amazon has avoided raising the price of Prime until now, and consider what it will do with Prime next.