Amazon's recent introduction of discounted gasoline savings for Prime members is a strategic move to compete with Costco and enhance the value of their membership.
Jamil Ghani, Amazon's vice president of Prime, stated, 'We're constantly looking to add more value for Prime members... the broadest and most popular additional benefit we could offer is fuel savings.'
With a current annual price of $139, Amazon Prime's benefits now include not just delivery and streaming, but also significant gasoline savings of about $70 annually.
The new gasoline deal positions Amazon advantageously against Costco, which currently offers fuel discounts but at a slightly lower rate than Amazon's upcoming program.
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