The largest U.S. online retailer, which also reported a larger-than-expected second-quarter loss Thursday, is beefing up its digital content. It recently approved pilots for a number of original television shows for its Prime Video service.

Szkutak told analysts during a call that members of Amazon's Prime membership program are increasingly streaming free videos online. Eventually those customers buy digital videos and other digital content as well, he added.

(Reporting by Deepa Seetharaman; Editing by Jan Paschal)

By Deepa Seetharaman