Prime Day is now bigger than Black Friday and Cyber Monday combined
In the fast-paced world of online retail, Amazon’s latest Prime Day is already a distant memory. But while shoppers are moving on to other things, investors and analysts still have one eye on the extravaganza just gone. And those figures are impressive: this year, the ecommerce titan shifted so many products that it outsold its own Black Friday and Cyber Monday performance combined!
Amazon’s share price has appreciated by 33% so far this year
Source: Yahoo Finance
This year, Amazon saw a record number of Prime members buy 175 million goods. What’s more, everyone else tried to get in on the game too, with rivals like Walmart and Best Buy offering their own deals. The haul was massive – Prime Day became the third and fourth days this year (Prime “Day” is, in fact, a 2-day event) to see more-than $2 billion in online sales in the US.
One question that observers have is how “sticky” Prime will continue to be. Amazon said that it saw more sign-ups on Monday than ever before. And Tuesday was, apparently, no slouch in that department either. But Captify, which studies consumer behaviour, said that searches for “cancelling Amazon Prime” also hit a peak. We’ll see how that pans out – but it’s worth remembering that Prime Day is about getting people who aren’t already members into the scheme. The company is making a play for people who haven’t already bought in, and is betting that the Prime offering is so good they change their minds about not being a member.
So in a sense, we shouldn’t be surprised to see people looking for ways to get in and out quickly – those are exactly the people Amazon is hoping to capture. Whether they change their minds and hang around, of course, is the real question.
Dominion holds Amazon in its Global Trends Ecommerce Fund.
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