Watch a cooking show on Prime Video — Amazon recommends kitchen gadgets. Watch a documentary about anxiety — Amazon suggests supplements. Watch a pregnancy movie — baby products appear in your feed. Amazon is the only streaming service that can sell you what you just watched. Your viewing habits are a shopping signal, and Amazon connects every screen to your cart. You paid $139/year for Prime. That included ad-free streaming. Then Amazon added ads and charged you $2.99/month extra to remove them. 200 million people were downgraded overnight. The ad-free experience you paid for became a premium add-on. Amazon didn't add a cheaper tier — they made the existing tier worse and charged you to restore it.
What they claim: Amazon Prime Video described as a premium streaming benefit of Prime membership
What we found: Amazon uniquely combines streaming viewing data with the most comprehensive consumer profile in existence: purchase history, Alexa voice commands, Ring doorbell footage, Whole Foods purchases, Kindle reading habits, and browsing history. Watching a documentary about insomnia on Prime Video can influence the sleep products recommended on Amazon.com. No other streaming service has this cross-domain data advantage.
What they claim: Amazon describes ad targeting as based on broad interests and content genre
What we found: Amazon's advertising division generated $46.9 billion in 2023, making it the third-largest digital ad platform after Google and Meta. Prime Video ads leverage Amazon's first-party purchase data — the most valuable ad targeting data in existence because it shows what people actually buy, not just what they click. Advertisers can target viewers based on real purchase behaviour.
What they claim: Amazon Prime Video was marketed as an ad-free streaming experience included with Prime
What we found: In January 2024, Amazon inserted ads into Prime Video by default, requiring an additional $2.99/month for ad-free viewing. 200 million Prime members who had been paying $139/year for ad-free streaming were switched to an ad-supported tier without opt-in consent. Existing subscribers had to pay more to keep what they already had.