Subscription service Amazon Prime, costing $79 per year, was launched with free two-day shipping as its only perk, but Amazon has been adding services including video streaming and e-book lending. The additions aim to cement customer loyalty and drive more repeat business. "They're going deeper [with Prime] on the thesis that if they can make [customers] more loyal, they can make more profit, even if they have to subsidize," said former executive David Selinger.

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