They can’t compete during the event itself. Competitors might have a limited upside by hosting an event prior to Prime Day, enticing consumers to cross off items on their wish list before they see the deals on Amazon.

It’s a losing proposition to attempt to compete with Amazon head-to-head on Prime Day in terms of pricing, promotions and the vast assortments. What retailers should focus their energies on is to strategically ensure that they are providing the best customer experience year-round, across all the shopping channels. It’s the long-term relationships between the consumer and store associates and the ties to the local communities, as well as the transporting in-store experiences that will need to be the ongoing strategy for retailers.

This year’s Amazon’s Prime Day will be 20 percent longer and I expect will generate between $1.4 to $1.5 billion in sales, a 40 percent to 50 percent increase over 2017’s performance. In addition to a longer “day,” Amazon has maintained, through 2017, an impressive Prime member compounded annual growth rate of 29.2 percent over a five-year period. The adoption of Alexa combined with the usual deep discounts and general excitement leading to Prime Day will attract new members as well as turning the event into a semi-official shopping holiday for Prime members and deal seekers. If I were competing against Amazon during Prime Day, I’d recognize that many of my customers are ready and willing to spend money on attractive deals. My main advantage will be my ability to provide immediate gratification, something that Amazon cannot do except at Whole Foods. So for 36 hours, I’d be guiding my customers to my own online deals, linking these to future incentives designed to bring my customers back, and prominently communicating the ease of in-store purchases… Read more »

Amazon is shifting the tilt of earths axis. It has changed the dynamic of grocery shopping in my small town (Amherst, MA). Whole Foods used to be the occasional visit for specialty items. It is now the mainstay of our grocery shopping, and the sole driver of that has been Prime membership. The parking lot of my former grocery store is noticeably emptier that it used to be. And the lines at Whole Foods are noticeably longer and slower. This morning I ordered a new portable computer monitor on Prime. And this afternoon is Fourth of July shopping at Whole Foods. For everything from computers to corn and cucumbers, Prime is now the first stop.

Amazon will continue its winning streak. They have momentum and a decent economy. How does an independent retailer (or even a chain) compete against Prime Day? They can’t. You have to work around it. One small glimmer of light. Not everyone is a Prime member.

Amazon never ceases to amaze customers and frustrate retailers. With the added perks and extended hours of Amazon’s Prime Day 2018, there is no doubt it will far exceed the $1 billion in sales from last year.

During Prime Day, retailers will have a difficult time competing with Amazon. The best bet is to offer special deals right before Prime Day to inspire consumers to make their purchases from your brand before they shop on Prime Day. Good luck retailers!

Just when I think I’m my getting my head around the brilliance of Amazon, I get surprised again! Amazon knows it’s in the retail business, and retailers must constantly reach out and create excitement. This is now a national event, with its own legs! Will it be a success? Hold on to your hats, it’s going to be crazy!

So how to compete? It’s not about just pleading “buy local,” but giving customers a compelling reason to buy with excitement. I would fight back with a 36-hour sale featuring great deals for an hour or two, and then another category or item for an hour or two, for the duration of the 36-hour period. I’m not saying brick-and-mortars should be open 36 hours straight, but they should focus on driving traffic during that period by offering ongoing incentives.

Amazon is a master of free publicity, and the extension of Prime Day hours is a key example. It isn’t “news,” but they’ll make it news. Amazon’s competition should study these tactics and steal them.

My predictions:

1. We will be bombarded with stories about how much was sold on Amazon Prime Day-and-a-half.
2. We’ll never learn how much more profit Amazon lost by shipping products out the increased rate.
3. The products that ship in the largest quantity won’t be retail competitive — but will be Amazon’s own tech products like Alexa.
4. In the end, it will be declared a massive victory. In reality, who knows. Primarily it will have been a huge PR coup — although it’s not clear Amazon needs yet another PR coup.

Let’s face it, if you’re a retailer, with over 100 million Prime members, odds are your customers are Prime members. For that matter, most retailers I know are Prime members, too, and they’ll be shopping on Prime Day just like the rest of us! What should other retailers do? Ride the wave, and treat this just like Black Friday. Create sales and promotions that run before, during, and after Prime Day while consumers are in a shopping mood. You won’t beat Amazon during those 36 hours, but you could at least gain some sales before and after. Don’t try to win on price alone, focus on your core products and deliver value against those. Try to leverage your loyalty program as Amazon does and offer special perks for those customers on these days. I’m sure we can expect record sales this year far eclipsing last year’s Prime Day. I also expect that the most popular products will all be Amazon devices (Echo, Fire TV, tablets, etc) and private label apparel products. That’s what this is… Read more »

For Amazon this would be a great opportunity for personalizing messages to consumers based upon the kind of products they search for and purchase. Last year, I quit looking for deals because it took too much time and effort to find something of interest.

Other retailers will have sales just like on Black Friday. However, summer may not be as good a time for people to focus on shopping. If it is, the sales will continue and the number of players will increase.