Amazon is raising the price of Prime

Amazon has launched a new service in 37 US cities that delivers packages to the trunks of cars for free. The catch? You need to be a Prime member.

(CNN Money) — Amazon is raising the price of Amazon Prime from $99 to $119 per year.

The company announced the price hike for its membership program during a call with investors Thursday. The change will go into effect May 11, and it will apply to Prime renewals beginning June 16.

“We continue to increase the value of Prime,” Amazon CFO Brian Olsavsky said on the call, adding that the company has added “digital benefits,” like Prime Video.

He noted that the company is seeing “rises in cost” for providing Prime services, which include shipping perks and video streaming.