Amazon Prime Subscribers Aren’t Watching Much Video

By Karen Fratti 

Amazon is good at being the best at a lot of things: like shipping, making seamless payments, and even having a huge catalog of videos to watch, for a price. But apparently, people aren’t really watching them.

According to a study done by Strategy Analytics Consumer Metrics, most Americans think of Amazon as a good way to shop and use Netflix for video.

amazonnetflixstudyTwo thirds of Prime subscribers use Netflix for streaming video instead of Amazon’s Instant video. In other countries surveyed, Germany and Britain, Prime subscribers are more likely to use Amazon for video than for shopping. Leika Kawasaki, an analyst for Strategy Analytics says in a statement that:

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Amazon is needlessly ‘losing’ users to Netflix when, in fact, it should be eating into their user base. Amazon Prime offers subscribers multiple benefits, there are more Amazon-capable devices and the subscription is slightly cheaper. Yes, Prime Instant Video has been lagging behind Netflix in original programming but it’s been making significant moves to address this recently. One avenue is to entice more people to use Amazon devices, such as the Kindle and Fire TV, as owners of these are 10% more likely to use Prime Instant Video regularly. However, this won’t be easy, Amazon has not had the same level of success as Apple in creating a unified ecosystem of device and services.

amazonnetflixstudy2This could be in part because the offerings on the European Netflix’ vary from the U.S.. Maybe there’s more to watch? Or Amazon’s original content really isn’t that good. Or simple brand recognition in America: Amazon is for consuming products, Netflix for content.

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