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Report: Amazon Prime has 26 million video subscribers

Photo by Ant Palmer/Getty Images

The video audience for Amazon Prime, Amazon's subscription service, is roughly 26 million people, according to documents obtained by Reuters. It's top video shows drew more than 5 million viewers, per the files.

Why it matters: It's the first time any numbers around Amazon's media audience have been reported. The Seattle-based tech giant has been building a robust video business, spending upwards of $7 billion dollars on original content to compete with the likes of Netflix and Hulu. The numbers show that their efforts are paying off.

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The numbers also mean that more consumers are spending time with Amazon, which is increasingly becoming an engagement-driven advertising business.

Sources tell Reuters that Amazon uses a specific metric, internally called "first stream," to measure the success of on-boarding viewers to its video business. (Prime members can subscribe for a variety of reasons that don't include consuming video.)

  • According to the report, Amazon calculates the cost per viewer acquisition by the dividing the show's cost by the number of "first streams."
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