Inflation didn’t slow Amazon’s Prime Day roll – or its rivals’ either
Amazon.com is officially calling this week’s Prime Day sales event a success.
The retail and technology giant said that shoppers purchased more items in what it has labeled as the “biggest Prime Day event” in its history.
Prime members in the U.S. purchased more than 60,000 items per minute during the 48-hour event. Worldwide, shoppers scooped up more than 300 million items during Prime Day, up from over 250 million last year.
Amazon said that third-party sellers were big winners during Prime Day with marketplace merchants’ sales growth outpacing its own retail business. The company said that its “Support Small Businesses to Win Big” sweepstakes was successful, as well. Members spent over $3 billion on more than 100 million items purchased from its small business sellers in the three weeks leading up to Prime Day.
The company didn’t provide Prime Day dollar sales but others have taken a stab at it. Adobe Analytics estimates that Prime members in the U.S. spent $11.9 billion ($6 billion on the first day and $5.9 on the second). That represents a dollar sales gain of 8.5 percent from Prime Day 2021.
Numerator said that the average order during Prime Day was $52.26, up from $44.75 in 2021. Sixty-two percent of those shopping on Amazon during the event placed two or more orders and 16 percent made five or more purchases, according to their research.
Sixty-two percent of those making purchases only shopped on Amazon during the two-day sale, Numerator found. Sixty-six percent did not compare Amazon’s prices with deals offered by other retailers.
This year’s Prime Day took place against a backdrop of Amazon posting its first loss in seven years as the result of higher fuel, transportation and other costs. Amazon’s seven percent year-over-year sales growth was its smallest quarterly increase in 20 years.
Amazon was not alone in running a sales promotion this week. Best Buy, Target and many others offered competing deals online and in stores for consumers to consider.
Adobe said that the average online revenue lift for July 12 and 13 was 141 percent compared to an average June Day. Brick and mortar stores offering online ordering and in-store or curbside pickup saw a 20 percent jump in conversion rates during the two days compared to June.
- Prime Day 2022 was the Biggest Prime Day Event Ever – Amazon.com
- Prime Day Delivered the Two Biggest Days Ever for Small & Medium-Sized Businesses in Amazon’s Stores Worldwide, Growing Even More than Amazon Retail, and Members Saved More than Any Previous Prime Day – Amazon.com/Business Wire
- Does Amazon need a great Prime Day now more than ever? – RetailWire
DISCUSSION QUESTIONS: Did anything around Amazon’s sales performance this week or that of its rivals surprise you in any way? What do you think Amazon and others learned from this past week’s sales promotions and how will it inform their marketing and operational decisions going forward?