Amazon.com Inc. offers shoppers the best deal on several key products during its third annual Prime Day.
E-commerce pricing analytics firm Boomerang Commerce reports that for the same products sold on their respective sites, Target Corp., No. 20 in the Internet Retailer 2017 Top 500, had that were 72% higher than prices at Amazon (No. 1). While Target did offer a one-day sale Tuesday on bedding and bath products, it opted not to compete head to head with Amazon by holding a broader sale on Prime Day.
Wal-Mart Stores Inc. (No. 3) and Best Buy Co. Inc. (No. 10) fared a bit better when it came to competing on price against Amazon on Prime Day. Median prices on products sold directly by Walmart (not including its marketplace sellers) were 38% higher than Amazon, while Best Buy’s median prices were 31% higher than Amazon’s. Walmart did not offer a competing sale on Prime Day, and Best Buy ran a one-day Big Deals Day sale with discounts on an assortment of electronics.
Internet Retailer projects that Amazon will generate $2.18 billion in sales globally on Prime Day, up 21% from an Internet Retailer-estimated $1.80 billion on Prime Day last year. Amazon does not release exact Prime Day sales figures.
Market research firm Market Track found similar results. Market Track compared prices on more than 50 items that were featured in Prime Day deals and also sold on Target.com, BestBuy.com and Walmart.com. Market Track found that Amazon’s prices were, on average, 40% lower than Best Buy and Target, and 15% cheaper than Walmart.
“Amazon offered compelling discounts on Prime Day this year, offering an average savings of 40% off, according to an analysis on a sampling of Prime Day deals,” says Ryne Misso, director of marketing at Market Track. “Amazon maintained a distinct competitive price advantage on Prime Day deals, even against retailers that attempted to match their price.”
Boomerang’s data shows that shoppers who bought from third-party sellers on Amazon on Prime Day got better deals than those who bought directly from Amazon itself. Marketplace sellers offered an average discount of 45%, compared with 35% for products sold directly by Amazon.
Shoppers who bought from Amazon on their desktop or mobile devices got a better deal on average than those who bought through Alexa, according to Market Track.
Market Track analyzed 120 Prime Day deals and found that shoppers who made a purchase via one of Amazon’s Alexa voice-operated devices saved an average of 33% off, compared with a 39.7% discount on purchases completed on Amazon via any other method. Market Track says this does not include deals that were Alexa-specific; the company looked at Prime Day deals across a variety of categories.
Deal distribution was balanced across product categories, Market Track finds, but home and do-it-yourself deals accounted for nearly 20% of the total. Market Track extracted the 5,906 Prime Day Deals available starting Monday night and analyzed what percentage of the deals fell into each Prime Day Deal category.
Amazon worked back-to-school deals into Prime Day, with 7% of deals categorized as “Off to College,” 6% as “Fashion Forward,” 6% as “Bookworms” and 3% as “Back to School”—for a total of 22% on school-related categories. Gamers had fewer deals to toy with this year as just 1.2% of Tuesday’s deals were categorized as “For Gamers,” Market Track says.