38% of Connected Homes are Amazon Prime Members
Amazon Prime is in nearly 41 million U.S. households. That means about 2 of every 5 U.S. homes connected to the web have Amazon Prime subscriptions, a new estimate says. Approximately 10 million U.S. households joined Amazon.com Inc.’s Prime program between December 2014 and December 2015, pushing total U.S. subscribers to nearly 41 million, according to a new estimate from Cowen & Co. investment bankers.
That’s equal to approximately 38% of all U.S. households connected to the Internet, or 2 in every 5 such households. Cowen’s estimates are based on a monthly survey it conducts of 2,500 U.S. consumers.
Cowen estimated a million new members joined the service in a single month, with 41 million members in November compared to October’s 40 million.
The survey sheds light on who exactly is joining Amazon Prime — and they’re younger and wealthier than the average shopper.
Cowen & Co revealed that Prime members have an average household income of $69,300, reports Fortune, in “Amazon Prime Is Gaining Steam, Posing an Even Bigger Threat to Walmart, Target.” The Prime customer is also younger than the average Walmart shopper, averaging 36.5 years old versus 42 at Walmart.
An estimated 15 percent of U.S. adults are considered “cord cutters,” according to a Pew Research Center report in December.
Another growing group — a younger-skewing crowd known as “cord-nevers” — represents approximately 9 percent of U.S. adults. They have never subscribed to TV channels offered by a cable, satellite or telecommunications provider.
The Pew study found that young adults, those ages 18 to 29, are the least likely to pay for cable or satellite TV.
With 2 in 5 connected homes “Priming” the pump for free 2-day shipping, you can bet those subscribers will start consuming more and more videos and movies. This could lead to more cord cutting. It also could lead to more shopping while watching. Having the scoop on Prime Watchers NOW will give you competitive edge. According to AudienceSCAN, 16.2% of U.S. adults use Amazon Prime for television programming. They are 62% more likely than average to have children aged 2-5. 40% are cat people. 40% are using iPhones and 33% are using eReaders (like Kindles). Keep in mind that 40% of Amazon Prime Watchers still get most of their local news from TV.