In a 10-K filing summarizing performance throughout 2016, Amazon did something that drew the attention of Wall Street analysts. It designated a category entitled “retail subscription services” that refers, in part, to Prime. Morgan Stanley’s analyst Brian Nowak that roughly pegs there to be 65 million Prime members worldwide.
I roughly sketched my own model on an office whiteboard and ended up with a subscription number just over 70 million, likely the result of weighting Amazon penetration in Asia more heavily. I also think it might not be generous enough to assume that 90 percent of retail subscription revenue comes from Prime. Somewhat outdated estimates of Amazon music subscriptions indicate that only a few million users have subscribed to the service, which, ranging from $48 to $180 per year, doesn’t quite account for 10 percent of sales — though things get more complicated when you add in other subscription services, so it’s hard to say for sure.