What is Amazon Prime Day?
Amazon Prime Day is an annual shopping event that gives Amazon’s 100 million Prime members exclusive access to over one million deals. Even if consumers aren’t yet an Amazon Prime member, they can take advantage of a 30-day free trial to gain access to Prime Day deals.
Revenue from Prime Day plays a significant role in Amazon’s third-quarter results, and Internet Retailer estimated that Amazon took in $4.2 billion during last year’s 36 hour event.
This year, Prime Day 2019 is a two-day event scheduled for July 15 and 16, and is available in eighteen countries.
Do consumers look at other retailers on Prime Day?
New research from Bazaarvoice, Inc.
- 44% of shoppers
indicatethat Amazon’s recent issues with fake product reviews will impact their participation in Prime Day shopping. 37% will be more cautious when they shop at Amazon.
- 32% of shoppers said they shop outside of Amazon because they find better sales, and 31% shop at other brands because they have physical stores nearby.
How are top retailers competing with Prime Day?
Other retailers are launching similar summer deals
Their survey also highlights that 64% of shoppers
McKinsey’s analysis of Prime Day 2018 shows that retailers must have a plan to compete against Amazon. They found that “retailers without a bold Prime Day plan saw a very limited increase in conversions on Prime Day compared with the prior week–10 percent or less–and some even experienced declines.”
Here are some of today’s top retailers who have already put their hat in the ring for “Black Friday in July.” According to Bazaarvoice’s research, Walmart is the top alternative destination at 44%, closely followed by Target at 40%.
eBay Crash Sales
eBay and Amazon have a similar customer base, according to
eBay recently announced its competing
"eBay's hottest deals offered during prime summer shopping season - with even better deals if Amazon crashes again," an eBay press release reads.
The release also points out that eBay shoppers always get free shipping
eBay’s sales start July
Target Deal Days
Target recently announced Target Deal Days, two days of online sales that fall at the same time as Prime Day.
Target’s release emphasizes that shoppers have several ways to shop, with delivery options like same-day delivery, in-store pickup, drive up pickup, and free 2-day shipping. Like eBay, Target also emphasizes that you
Target competed against Amazon’s 2018 Prime Day with a one-day
Only time will tell if Target will see
Walmart’s discount frenzy will
Walmart and Amazon competed closely last year, and analysts noticed that both brands changed prices daily on some top items to beat one another. Will there be another price battle this year?
How can you compete?
1. Announce discounts in advance to
be included in press coverage
We’ve all seen the articles titled “Top 10 gadgets on sale this week” or “The best smartwatches are 50% off this week.” When you announce your top sales in advance, you stand a chance to
2. Bulk up reviews across your top sale items
3. Keep sales active after Prime Day ends
Attract late shoppers who missed Prime Day by keeping your
According to Bazaarvoice, there was a halo effect that occurred for brands that offered sales at the same time as Prime Day. These stores saw sales increase for the entire week after their discounts ended.
4. Use influencers
When using social media to announce deals, your reach
5. Offer in-store appointments
31% of consumers in Bazaarvoice’s survey say they shop at other brands because they have physical stores nearby. Besides being a great location to make returns, the physical store is a huge part of building great customer experiences.
In fact, our Consumer Behavior survey found that 64% of respondents said they typically spend more on products/services after an in-person appointment or face-to-face meeting.
1) Electronics consultation (TV, laptop, phone)
2) Back to school shopping
3) College dorm shopping
Though Amazon recently overtook Google and Apple to become the world’s most valuable brand, consumers are still interested in shopping elsewhere. To compete with Amazon, and to capture market share this July, consider our top 5 tips above. For more information about appointment scheduling, check out any of these resources:
June 24, 2019
12 minute read