Jeff Bezos: Raising the price of Amazon Prime was a great decision

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Raising the price of Amazon Prime to $99 from $79 was the right decision, Jeff Bezos crowed in the company’s Q4 2014 earnings report released Thursday.

“The data is in and customers agree,” Bezos said:

On a base of tens of millions, worldwide paid membership grew 53 percent last year — 50 percent in the U.S. and even a bit faster outside the U.S. Prime is a one-of-a-kind, all-you-can-eat, physical-digital hybrid — in 2014 alone we paid billions of dollars for Prime shipping and invested $1.3 billion in Prime Instant Video. We’ll continue to work hard for our Prime members.

Of course, if you want to know the actual number of Prime subscribers you’re out of luck.

Revenue was $29.33 billion for the fourth quarter, up 15 percent over the same period last year, and a total of $88.99 billion for 2014, up 20 percent over 2013.

Amazon Web Services appears to be growing, and my colleague Barb Darrow has more on that here. The “other” category of the earnings report, which includes AWS, pulled in $1.67 billion for the quarter, up 43 percent over the same time last year.

Amazon is holding an investor call at 2 p.m. PT and I’ll be on the call.

This post was updated several times on Thursday afternoon.

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Amazon is amongst the top businesses globally. Consumers will continue to pay the price for a service that is both effective and efficient offering top of the line customer service.

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