Amazon's earnings shift to services

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Feb 2019
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A recent report on Amazon's Q4 earnings showed a fall in online sales from 17% to 14% of the total. Although more customers signed up for Prime in 2018 than ever before, the rate of growth fell 21 percentage points.  Prime now includes Prime Wardrobe, Prime Video, Twitch Prime, Audible Channels, Prime Reading, Prime Now, and Amazon Key In-Home and In-Car Delivery. Will the price of Prime continue to increase?


The services business is booming with AWS up 46%, third-party seller services up 28% and advertising up 97%. The revenue from physical stores declined by 3%. This was, however due to the fall in orders placed online and picked up at Whole Foods. Whole Foods as a business was up 6%.