In the fourth quarter alone, Amazon’s sales across all their media properties resulted in an increase of 11% of their company’s sales, which translates to nearly a 4 billion dollar surplus ($3.93 billion) in revenue. A primary reason that Amazon’s client base is increasing so rapidly is the way in which this media company is able to supply their consumers with top of the line Golden Globe or Oscar winning entertainment in countries spread through several continents. In this sense, Amazon has the capability to share critically acclaimed entertainment sometimes even within a month after said award show occurs, which is why the company continues to exhibit a higher retention, subscriber and renewal rates.
The release of Amazon prime video streaming has no doubt skyrocketed in terms of both domestic and global reach in their approach to engage an increased number of users across the board. Dominating in expanding economic development, various sources of statistical data on a global basis have concluded that these prime video streaming hours will not be slowing down in encompassing more of the media market. Within the 2014 to 2015 fiscal year alone, the subscriber base for video streaming through this media giant grew around fifty percent, therefore highlighting how influential this branch of Amazon is currently demonstrating.
Interestingly enough, the overall increase in amazon prime video subscribers has doubled in several countries in Europe and Asia. More established western European countries such as the United Kingdom, Germany and Austria have been reported to show a stark increase in engagement along with Asian economic powers like Japan and South Korea. Amazon Prime customers also have the option to use their membership to include other third party streaming partners that may offer more exclusive or lesser known shows. One of the key moments to point out in last year’s fourth quarter is the fact that the original series called “The Man in The High Castle” generated more than 450% than the last top streaming show in the third quarter.
CFO Brian Olsavsky reaffirms that this growth in relation to Amazon’s video streaming has and will continue to pull in customers while focusing on new ways to intrigue both current and potential consumers. Olsavsky states that “We’re very thrilled with the customer response to Prime Video. Again, Prime Video is used by our Prime members, it drives adoption and retention, higher free-trial conversion rates and higher renewal rates for subscribers.”
Amazon Prime Video’s user engagement is only expected to grow further, while exerting a fair amount of fiscal prevalence in the coming year. As this media company’s membership is gaining a customer base that outshines any other deal of this nature, competition will for sure be on the rise as we delve deeper into the first quarter. To learn more about this media giant’s prime membership please click here.