How Amazon and Prime make everyday life more affordable for American families
Amazon's ecosystem is driving significant consumer savings, including $650 per Prime member annually and $11 billion in fuel savings via avoided trips. Features like Subscribe & Save and Amazon Pharmacy are central to this cost-reduction strategy.
Amazon makes life more affordable by offering the lowest prices every day across the widest selection of groceries, everyday essentials, and millions more products across 35 categories.
Last year alone, U.S. customers avoided more than 4 billion trips to the store and over $11 billion in fuel costs—with Prime members each saving on average over $650 on delivery fees and fuel, 64 shopping trips, and 55 hours of time.
Amazon customers on average saved over $230 from discounts, coupons, and Subscribe & Save on everyday essentials and other products last year.
Tens of millions of Amazon customers saved hundreds of dollars more on average on fueling up, food delivery, and everyday purchases through Prime benefits last year.
Customers using eligible manufacturer-sponsored coupons through Amazon Pharmacy saved on average over $800 on medications last year.Amazon's mission has always been to make customers’ lives better and easier every day, and a big part of that is making life more affordable for Americans on the purchases that matter most—such as groceries and household essentials, gas, and healthcare. In fact, Amazon and Prime deliver billions in savings every year—averaging over $1,000 per customer for 100+ million customers—meaningful savings in relation to the U.S. median household income of approximately $87,000.
Amazon’s commitment to low prices every day
Amazon offers the lowest prices every day across the widest selection of products—plus extra savings for Prime members.Amazon has a longstanding commitment to low prices, broad selection, and convenience—helping customers save money and time while discovering new brands and supporting thousands of small businesses. Amazon offers the widest selection of products at everyday low prices that meet or beat other retailers, including quality fresh food, pantry staples, and everyday essentials—with Same- or Next-Day Delivery that helps families save money and reduce costly store trips. Prime members saved an average of over $650 last year on delivery fees and fuel. Amazon customers saved an average of over $230 with discounts, coupons, and Subscribe & Save on everyday essentials and other products last year. Plus, tens of millions of customers also save hundreds of dollars more on average with Prime’s $0.10 gas discount, free Grubhub+, and everyday purchases by using Prime Visa or Prime Store cards. Amazon is also making healthcare more affordable—since 2023, Amazon Pharmacy has saved customers over $400 million on prescription medications by automatically applying eligible manufacturer-sponsored coupons, with customers using these coupons saving on average over $800 last year.“For more than 30 years, Amazon has worked to make life more affordable for customers—through low prices and free delivery that saves time and money on the things they need most,” said Doug Herrington, CEO of Worldwide Amazon Stores. “We're proud of the billions of dollars Amazon helps Americans save each year on groceries, household essentials, gas, medications, and more, and we're going to keep finding ways to lower prices where families feel it most.”Here's how American families save money and time every day with Amazon:
Analysis & Recommendations
Why This Matters
The shift toward automated replenishment and price transparency via Alexa for Shopping forces sellers to stabilize pricing and prioritize Subscribe & Save to maintain market share against Amazon's private labels.
Key Takeaways
Amazon maintains an average retail price 14% lower than major U.S. competitors.
The Subscribe & Save program offers customers up to 15% off standard retail prices.
Amazon Pharmacy has facilitated over $400 million in savings since 2023.
Consumers use Alexa for Shopping to monitor 365-day price histories to avoid market spikes.
Recommended Actions
→Enroll high-velocity household products in the Subscribe & Save program to capture recurring revenue.
→Analyze product price history trends in Seller Central to ensure pricing remains stable and competitive against Alexa-monitored fluctuations.
→Develop unique value propositions for products in categories where Amazon Basics and Amazon Grocery are dominant.
Everyday low prices averaging 14% less than major U.S. retailers—including on groceries and household essentialsAmazon consistently delivers everyday low prices that meet or beat competitors across our vast selection, including fresh groceries. Amazon’s wide selection of hundreds of millions of products at everyday low prices means all customers can shop at the price point that fits their budget and save on what they buy most—including produce, dairy, meat, and pantry staples. Today, more than 2,300 cities and towns can get fresh groceries at consistently low prices through Same-Day Delivery—and perishable items now make up nine of the top 10 most-ordered products.Third-party research has named Amazon the lowest-priced online U.S. retailer every year since 2017—with prices averaging 14% less than major U.S. retailers in 2025 and up to 5% lower than the next closest competitor on frequently purchased items such as baby products, beauty items, health and personal care, household supplies, and more.
Prime members save on average over $650 a year on delivery fees and fuel with unlimited, fast, free deliveryAmazon keeps delivering faster, reducing the hidden costs of shopping for busy American families—including the time and cost of getting to a physical store. U.S. Prime members saved an average of over $650 on delivery and fuel fees alone last year—over four times the cost of an annual membership. Many Amazon deliveries replace trips to the store, and those trips add up. Customers avoided more than 4 billion store trips in 2025—and saved over $11 billion in filling up on gas to drive to the store—by shopping with Amazon, saving more than 3.5 billion hours. Prime members save the most, avoiding an average of 64 trips to a physical store last year—equating to over 55 hours each year.*In addition to serving tens of thousands of cities across the country, Amazon has expanded the money-saving benefits of fast, free delivery to rural communities across America. Same- and Next-Day Delivery on everyday essentials with low, competitive prices is now available at no additional cost to Prime members in over 4,000 communities and rural areas across 44 states—the result of a $4 billion planned investment in Amazon's rural delivery network.
365 days of product price history and money-saving price alerts with Alexa for ShoppingAmazon makes it easy for customers to shop with confidence and find the best price across our wide selection. Alexa for Shopping—Amazon's AI shopping assistant—shows up to 365 days of price history so customers can track product prices over time and feel confident they're getting a great price. More than 350 million shoppers have used Alexa for Shopping over the past 12 months, with tens of millions checking price history and setting price alerts to be notified when a product hits their desired price point. The typical Alexa for Shopping user checks product prices three times a month—making price history a regular part of the shopping journey for everything from everyday essentials to bigger purchases.
How to use Alexa for Shopping to compare products, check price history, auto-buy items at target prices, and more
From price tracking to automated purchases to new release alerts, here's how to get the most out of Amazon's AI shopping assistant.
Convenient discounts that save customers on average over $230 a year on groceries, essentials, and moreIn addition to everyday low prices, Amazon helps all customers save even more on what they buy most through convenient programs to shop and save. Customers saved an average of over $230 on groceries, household essentials, and other products last year through Subscribe & Save (up to 15% off through auto-delivery), coupons, and deals with validated savings throughout the year. Customers also receive extra discounts during Amazon’s sale events that offer millions of deals and billions of dollars in savings each year—such as Prime Day, Prime Big Deal Days, Black Friday, and Cyber Monday.
Thousands of private-brand products that deliver high quality at lower pricesAmazon offers tens of thousands of high-quality, low-priced private-brand products across groceries, home, electronics, fashion, and more—helping all customers save without sacrificing quality. Amazon's grocery private brands—Amazon Grocery and Amazon Saver—offer more than 1,200 products, with the vast majority priced under $5. Beyond groceries, brands such as Amazon Basics and Amazon Essentials deliver savings on frequently purchased household essentials and clothing staples for the whole family. Customers are increasingly choosing private brands to stretch their budgets—Amazon private-brand purchases continued to grow year over year in 2025, and private-brand grocery growth doubled compared to national brands across the industry.
Amazon Pharmacy: How to order prescriptions online, save money, and get fast delivery
Amazon Pharmacy offers same-day medication delivery, upfront pricing, savings options, 24/7 pharmacist access, and a full Spanish-language experience.
Prime benefits that add hundreds of dollars more in savings on gas, food delivery, and everyday purchasesPrime members also receive additional savings on many of the costs that add up for American families—gas at the pump, food delivery, and everyday purchases. Prime members receive $0.10 off per gallon at more than 7,500 bp, Amoco, and participating ampm and Thorntons locations across the U.S.—saving nearly $70 a year based on average U.S. driver statistics.** Two adults living in the same household can share a Prime membership through Amazon Family at no additional cost—doubling their combined fuel savings. A Grubhub+ membership is also included with Prime at no extra cost—a $120 annual value—saving members on food delivery and other essentials. Prime Visa and Prime Store Card offer eligible Prime members rewards on their essentials, with unlimited 5% back at Amazon.com and Whole Foods Market, upon approval—with cardmembers averaging nearly $200 in earnings a year.
Affordable prescriptions with Amazon PharmacySince 2023, Amazon Pharmacy has saved customers over $400 million on prescription medications by automatically applying eligible manufacturer-sponsored coupons at checkout. Last year alone, customers using these coupons saved on average over $800. Additionally, Prime members typically pay less than $10 for a month’s supply of medication through PrimeRx, which offers discounts of up to 80% on generics—and RxPass members pay just $5 a month for all their eligible medications, regardless of how many prescriptions they need. A study published in JAMA Network Open found RxPass enrollment was associated with 30% lower out-of-pocket costs, 27% more days of medication on hand, and 29% more refills.
Additional savings on groceries and essentials for income-eligible customersBeyond Amazon's everyday low prices, Amazon Access helps qualifying government assistance recipients and income-verified customers save even more by offering deeper discounts when customers pay with SNAP, Cash EBT, and other benefits. With Access Discounts, qualified customers save 15% to 20% on select groceries and everyday essentials—and enjoy the same fast, convenient delivery. Those savings are extended further with Prime Access, which provides all the benefits of a regular Prime membership to eligible customers at half the cost—from delivery to grocery and pharmacy savings.*Average time savings calculation is based on each day a Prime member places at least one qualifying order on Amazon, saving an average of 51 minutes that would otherwise be spent on a physical store shopping trip. This estimate is derived from data in the American Time Use Survey conducted by the U.S. Bureau of Labor Statistics (2024).**Savings calculation is based on an average of 675 gallons used per year, and an average of 21.5 miles per gallon used on light-duty economy cars. This data is sourced from the Department of Transportation. Individual member savings may vary based on fuel usage and purchasing activity, among other factors.Next, find out how to sign up for a Prime membership.
Trending news and stories
Prime Big Deal Days is back October 6-7: Here’s what to expect
Amazon invests $20 million in the Colorado River as part of a coalition to mobilize $100 million for water conservation
Amazon is giving every US employee a discount on groceries
Amazon raises minimum starting pay for full-time core operations employees to $20/hour, with average pay reaching nearly $24/hour
Key takeaways
Amazon makes life more affordable by offering the lowest prices every day across the widest selection of groceries, everyday essentials, and millions more products across 35 categories.
Last year alone, U.S. customers avoided more than 4 billion trips to the store and over $11 billion in fuel costs—with Prime members each saving on average over $650 on delivery fees and fuel, 64 shopping trips, and 55 hours of time.
Amazon customers on average saved over $230 from discounts, coupons, and Subscribe & Save on everyday essentials and other products last year.
Tens of millions of Amazon customers saved hundreds of dollars more on average on fueling up, food delivery, and everyday purchases through Prime benefits last year.
Customers using eligible manufacturer-sponsored coupons through Amazon Pharmacy saved on average over $800 on medications last year.Amazon's mission has always been to make customers’ lives better and easier every day, and a big part of that is making life more affordable for Americans on the purchases that matter most—such as groceries and household essentials, gas, and healthcare. In fact, Amazon and Prime deliver billions in savings every year—averaging over $1,000 per customer for 100+ million customers—meaningful savings in relation to the U.S. median household income of approximately $87,000.
Amazon’s commitment to low prices every day
Amazon offers the lowest prices every day across the widest selection of products—plus extra savings for Prime members.Amazon has a longstanding commitment to low prices, broad selection, and convenience—helping customers save money and time while discovering new brands and supporting thousands of small businesses. Amazon offers the widest selection of products at everyday low prices that meet or beat other retailers, including quality fresh food, pantry staples, and everyday essentials—with Same- or Next-Day Delivery that helps families save money and reduce costly store trips. Prime members saved an average of over $650 last year on delivery fees and fuel. Amazon customers saved an average of over $230 with discounts, coupons, and Subscribe & Save on everyday essentials and other products last year. Plus, tens of millions of customers also save hundreds of dollars more on average with Prime’s $0.10 gas discount, free Grubhub+, and everyday purchases by using Prime Visa or Prime Store cards. Amazon is also making healthcare more affordable—since 2023, Amazon Pharmacy has saved customers over $400 million on prescription medications by automatically applying eligible manufacturer-sponsored coupons, with customers using these coupons saving on average over $800 last year.“For more than 30 years, Amazon has worked to make life more affordable for customers—through low prices and free delivery that saves time and money on the things they need most,” said Doug Herrington, CEO of Worldwide Amazon Stores. “We're proud of the billions of dollars Amazon helps Americans save each year on groceries, household essentials, gas, medications, and more, and we're going to keep finding ways to lower prices where families feel it most.”Here's how American families save money and time every day with Amazon:
Everyday low prices averaging 14% less than major U.S. retailers—including on groceries and household essentialsAmazon consistently delivers everyday low prices that meet or beat competitors across our vast selection, including fresh groceries. Amazon’s wide selection of hundreds of millions of products at everyday low prices means all customers can shop at the price point that fits their budget and save on what they buy most—including produce, dairy, meat, and pantry staples. Today, more than 2,300 cities and towns can get fresh groceries at consistently low prices through Same-Day Delivery—and perishable items now make up nine of the top 10 most-ordered products.Third-party research has named Amazon the lowest-priced online U.S. retailer every year since 2017—with prices averaging 14% less than major U.S. retailers in 2025 and up to 5% lower than the next closest competitor on frequently purchased items such as baby products, beauty items, health and personal care, household supplies, and more.
Prime members save on average over $650 a year on delivery fees and fuel with unlimited, fast, free deliveryAmazon keeps delivering faster, reducing the hidden costs of shopping for busy American families—including the time and cost of getting to a physical store. U.S. Prime members saved an average of over $650 on delivery and fuel fees alone last year—over four times the cost of an annual membership. Many Amazon deliveries replace trips to the store, and those trips add up. Customers avoided more than 4 billion store trips in 2025—and saved over $11 billion in filling up on gas to drive to the store—by shopping with Amazon, saving more than 3.5 billion hours. Prime members save the most, avoiding an average of 64 trips to a physical store last year—equating to over 55 hours each year.*In addition to serving tens of thousands of cities across the country, Amazon has expanded the money-saving benefits of fast, free delivery to rural communities across America. Same- and Next-Day Delivery on everyday essentials with low, competitive prices is now available at no additional cost to Prime members in over 4,000 communities and rural areas across 44 states—the result of a $4 billion planned investment in Amazon's rural delivery network.
365 days of product price history and money-saving price alerts with Alexa for ShoppingAmazon makes it easy for customers to shop with confidence and find the best price across our wide selection. Alexa for Shopping—Amazon's AI shopping assistant—shows up to 365 days of price history so customers can track product prices over time and feel confident they're getting a great price. More than 350 million shoppers have used Alexa for Shopping over the past 12 months, with tens of millions checking price history and setting price alerts to be notified when a product hits their desired price point. The typical Alexa for Shopping user checks product prices three times a month—making price history a regular part of the shopping journey for everything from everyday essentials to bigger purchases.
How to use Alexa for Shopping to compare products, check price history, auto-buy items at target prices, and more
From price tracking to automated purchases to new release alerts, here's how to get the most out of Amazon's AI shopping assistant.
Convenient discounts that save customers on average over $230 a year on groceries, essentials, and moreIn addition to everyday low prices, Amazon helps all customers save even more on what they buy most through convenient programs to shop and save. Customers saved an average of over $230 on groceries, household essentials, and other products last year through Subscribe & Save (up to 15% off through auto-delivery), coupons, and deals with validated savings throughout the year. Customers also receive extra discounts during Amazon’s sale events that offer millions of deals and billions of dollars in savings each year—such as Prime Day, Prime Big Deal Days, Black Friday, and Cyber Monday.
Thousands of private-brand products that deliver high quality at lower pricesAmazon offers tens of thousands of high-quality, low-priced private-brand products across groceries, home, electronics, fashion, and more—helping all customers save without sacrificing quality. Amazon's grocery private brands—Amazon Grocery and Amazon Saver—offer more than 1,200 products, with the vast majority priced under $5. Beyond groceries, brands such as Amazon Basics and Amazon Essentials deliver savings on frequently purchased household essentials and clothing staples for the whole family. Customers are increasingly choosing private brands to stretch their budgets—Amazon private-brand purchases continued to grow year over year in 2025, and private-brand grocery growth doubled compared to national brands across the industry.
Amazon Pharmacy: How to order prescriptions online, save money, and get fast delivery
Amazon Pharmacy offers same-day medication delivery, upfront pricing, savings options, 24/7 pharmacist access, and a full Spanish-language experience.
Prime benefits that add hundreds of dollars more in savings on gas, food delivery, and everyday purchasesPrime members also receive additional savings on many of the costs that add up for American families—gas at the pump, food delivery, and everyday purchases. Prime members receive $0.10 off per gallon at more than 7,500 bp, Amoco, and participating ampm and Thorntons locations across the U.S.—saving nearly $70 a year based on average U.S. driver statistics.** Two adults living in the same household can share a Prime membership through Amazon Family at no additional cost—doubling their combined fuel savings. A Grubhub+ membership is also included with Prime at no extra cost—a $120 annual value—saving members on food delivery and other essentials. Prime Visa and Prime Store Card offer eligible Prime members rewards on their essentials, with unlimited 5% back at Amazon.com and Whole Foods Market, upon approval—with cardmembers averaging nearly $200 in earnings a year.
Affordable prescriptions with Amazon PharmacySince 2023, Amazon Pharmacy has saved customers over $400 million on prescription medications by automatically applying eligible manufacturer-sponsored coupons at checkout. Last year alone, customers using these coupons saved on average over $800. Additionally, Prime members typically pay less than $10 for a month’s supply of medication through PrimeRx, which offers discounts of up to 80% on generics—and RxPass members pay just $5 a month for all their eligible medications, regardless of how many prescriptions they need. A study published in JAMA Network Open found RxPass enrollment was associated with 30% lower out-of-pocket costs, 27% more days of medication on hand, and 29% more refills.
Additional savings on groceries and essentials for income-eligible customersBeyond Amazon's everyday low prices, Amazon Access helps qualifying government assistance recipients and income-verified customers save even more by offering deeper discounts when customers pay with SNAP, Cash EBT, and other benefits. With Access Discounts, qualified customers save 15% to 20% on select groceries and everyday essentials—and enjoy the same fast, convenient delivery. Those savings are extended further with Prime Access, which provides all the benefits of a regular Prime membership to eligible customers at half the cost—from delivery to grocery and pharmacy savings.*Average time savings calculation is based on each day a Prime member places at least one qualifying order on Amazon, saving an average of 51 minutes that would otherwise be spent on a physical store shopping trip. This estimate is derived from data in the American Time Use Survey conducted by the U.S. Bureau of Labor Statistics (2024).**Savings calculation is based on an average of 675 gallons used per year, and an average of 21.5 miles per gallon used on light-duty economy cars. This data is sourced from the Department of Transportation. Individual member savings may vary based on fuel usage and purchasing activity, among other factors.Next, find out how to sign up for a Prime membership.
Trending news and stories
Prime Big Deal Days is back October 6-7: Here’s what to expect
Amazon invests $20 million in the Colorado River as part of a coalition to mobilize $100 million for water conservation
Amazon is giving every US employee a discount on groceries
Amazon raises minimum starting pay for full-time core operations employees to $20/hour, with average pay reaching nearly $24/hour
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