Introduction to the Shift in Services
When Netflix and other streaming giants found themselves in need of more cash, they cracked down on viewers who shared passwords. People grumbled, but the gambit worked. Now, the same principle is being applied to another service we use every day: Online shipping. Amazon is discontinuing a popular service that allowed Amazon Prime members to share fast, free shipping privileges with people outside their household, marking a major shift in how Amazon orders are fulfilled and potentially raising costs.
The End of Prime Invitee
The program, Prime Invitee, will vanish in less than a month. Through the program, which started in 2009, an Amazon Prime member could share their shipping benefits with one other adult, even if that person used a different address. The invitee got a limited Prime account with the free two-day shipping perk. Prime Invitee stopped taking new enrollees in 2015 — but legacy users have been able to continue to enjoy the perk. The Invitee program is ending Oct. 1.
Introduction of the Amazon Family Program
Taking its place — for the estimated 240 million Prime subscribers worldwide, more than 180 million in the U.S. alone — is the Amazon Family program, where shipping and other benefits can be shared as long as the members live at the same address. “Amazon Family enables Prime members to share a range of benefits with one adult — whether that is a spouse, family member, or roommate — and Prime Video and additional digital content like Kindle eBooks, audiobooks, and games, with up to four children in their household,” Amazon said in a statement.
Analysis of the Decision
Dan Ives, an analyst at financial services firm Wedbush Securities, said Amazon’s decision to change its subscription policy is a “sign of the times.” He said the e-commerce giant was taking a page from Netflix. The problem that streamers such as Netflix wrestled with was customers sharing or selling information for entire accounts. These streamers previously turned a blind eye to password sharing, seeing it as a way of growing their audience. The practice was complicated for online providers by illicit marketplaces that popped up selling account passwords. Streamers and pay-TV providers lost $9.1 billion in revenue in 2019 to account sharing and piracy.
Impact on Customers
Some experts thought the shared password crackdown was risky, but it turned out to be a big success for Netflix and other streamers like HBO Max launched their own efforts. A crackdown on password sharing followed. Now, Amazon is cracking down, too. Although the Prime program doesn’t involve password sharing — rather, the invitee has a stripped-down version of a Prime account — it does spread the perk across households. According to Reuters, which cited internal company data, Amazon’s recent Prime Day (which this year was extended to four days for the first time) failed to meet last year’s total U.S. sign-ups.
What Does the Amazon Family Program Offer?
Benefits for Members
The Amazon Family program gives Prime members the opportunity to share membership benefits with one other adult in their household, up to four teens (who were added before April 7, 2025) and up to four profiles for children. Additional adult members and any former invitees who don’t live with the account holder will need their own Prime membership. For a Prime member to share a benefit with another adult, the address must be one “you consider to be your home and where you spend the majority of your time,” according to Amazon.
Shared Benefits
Shared benefits from the program include:
- Free delivery on Prime-eligible items.
- Access to exclusive Prime events and deals.
- Prime video (with ads).
- Prime Reading, which includes e-books and audiobooks but a smaller library than Amazon’s Kindle Unlimited service.
- Access to third-party benefits (for example, Grubhub with no delivery fees).
- Amazon Music Prime can be shared with one other adult in the Amazon family. This allows both adults to access ad-free listening on shuffle.
Conclusion
The shift from Prime Invitee to the Amazon Family program marks a significant change in how Amazon approaches shared benefits. By limiting benefits to those within the same household, Amazon aims to increase revenue and reduce the spread of benefits across non-household members. While this change may inconvenience some users, it aligns with the company’s efforts to manage and monetize its services more effectively, similar to Netflix’s approach to password sharing.
FAQs
- Q: What is happening to the Prime Invitee program?
- A: The Prime Invitee program is being discontinued as of October 1.
- Q: What is the Amazon Family program?
- A: The Amazon Family program allows Prime members to share benefits with one other adult and up to four children in the same household.
- Q: Can I still share Prime benefits with someone outside my household?
- A: No, with the Amazon Family program, benefits can only be shared with individuals living in the same household.
- Q: How will this change affect my Prime membership?
- A: If you were using the Prime Invitee program, you will need to adjust to the new Amazon Family program rules. Additional adult members not living with you will need their own Prime membership.
- Q: Is Amazon offering any deals for those affected by the change?
- A: Yes, Amazon is offering a limited-time deal of 12 months of Prime for $14.99 for those affected by the switch, valid until December 31.
