We’ll be looking at two important aspects of Amazon (AMZN) when it reports earnings Thursday April 28th after the bell.

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The two drivers on the earnings call are Amazon Web Services (AWS) and Amazon Prime.

The most recent research report reveals that Amazon has 54 million Prime members in America.

That’s 38% of American households.

Amazon Prime members spend twice as much money as non-Prime members.

And this is in addition to the $99 Prime membership fee collected by Amazon annually.

Prime equals $70 billion of the $107 billion revenue generated by Amazon if you count the money spent by Prime members shopping on the site.

On Monday, the day Netflix (NFLX) released earnings, Amazon revealed two new ways people can sign up for Prime.

One option is a monthly $8.99 service for stand-alone Amazon streaming.

The second option is $10.99/month for the entire Prime service.

Both monthly options can be cancelled anytime without penalty.

Signing up for the $99 annual fee gives you a 25% discount.

The flexibility of monthly fees may attract lower income families to sign up.

And it comes at the right time since rival Netflix (NFLX) is raising their monthly rates.

AWS accounts for 50% of Amazon’s operating income.

It pioneered public cloud services over 10 years ago.

It runs 10 times the computing capacity of the next 10 cloud providers, even as Microsoft (MSFT) Azure and Google (GOOG) Cloud become formidable competitors.

Amazon’s stock could propel higher if Prime and AWS continue to show excellent growth on the earnings call Thursday April 28th.

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