Digital Commerce 360 surveyed 530 shoppers immediately after Prime Day. While the pundits had many predications in terms of volume, our focus was more on behavior. This quick read identifies five key takeaways from Prime Day buyers and those who opted out. Periodically, we ask our team to weigh in and it looks like early numbers and buying activity indicate similar patterns to those found in our survey. Some, like me, didn’t care or even look, while others took advantage of what Amazon had to offer. Probably the most interesting story was one woman who favors Amazon. She bought clothes, a silk pillow cover and an Amazon gift card (they had a promotion if you bought a $40 gift card, you got $10). Had I known, I would certainly have gone for the gift card. Lesson learned: Always check out the deals, even when you don’t need anything.
82% of online shoppers were Prime members post the 2020 holiday with 9% joining when making their Prime Day purchases this year. 58% of online shoppers made purchases during the Prime Day event on Amazon. Given the high Prime member status, I might have guessed it would have come in even higher.
Most shoppers were deliberate in their purchasing
Buyers purchased on average two to three items. My sense is that shoppers zeroed in on items that were on their shopping list. If the price was right, they pounced on them and, if not, they knew there would be another day. Our shoppers differed in their styles. Most were item-driven based on current circumstances. These items ranged from blu rays to a coffee maker to a queen-size box spring.
Budgets were in place with spending kept in check
Three in four (74%) online shoppers spent up to $250 on Prime Day, though the $100 and under segment received the greatest attention with 42% spending in that range.
Online holidays continue to gain ground year after year
I was working in the industry when Cyber Monday was invented, and we all wondered what shopper behavior might be and if anyone would care. 2019 saw $9.4 billion being spent, so that’s what can become of these holidays.
79% of Amazon buyers spent the same or more in 2020. Impressively, 41% spent more. Amazon continues to flourish and competitors keep stepping up to the plate to try and hold their own. It is those who aren’t or lack the budgets that may find themselves in dire straits for surviving another year.
Prime Day buyer generosity finds gift-givers on the hunt
Out of the gate, 62% of Amazon Prime Day buyers bought a gift. One in three (32%) spent at least 25% of their Amazon Prime Day budgets on gifts. This was all about keying in on particular items, despite the fact that in a later question, only 17% said that they focused on gift purchases rather than making purchases for themselves. One can conclude that despite not being a focus, dollars were still spent.
While my office peers leaned towards the personal, gift-giving was in play for a few. One took advantage of Prime Day to buy gifts for all the kids on her list.
The trickle-down effect is in place as key competitors also benefit
When asked if they made any purchases on Amazon Prime Day from other retailers, Walmart and Target rose to the top at 18% and 15%, respectively. With consumer electronics always a winning category on these types of holidays, it wasn’t a surprise to see Apple and Best Buy in the top five at 13%.
Our internal poll also saw similar findings, though one gentleman found a deal on HP after scouring Amazon. Another cited her desire to leave the house and do a store pickup at Target, buying even more upon arrival. A third bought several items at Amazon, but ultimately bought a vest at Dick’s Sporting Goods as she trusted its apparel more.
The best is yet to come
One trend of the 2020 season seems to be that deals will be endless and available throughout the holidays. So, no need for shoppers to rush if they’re not ready or the deal doesn’t suit them. 29% of online shoppers surveyed didn’t make any purchases or made fewer purchases because they expect better deals will come on Black Friday and/or Cyber Monday. I’m confident they will be there and for the remainder of the year.
I tried to read into some of these other findings, but I can only conclude that for Amazon shoppers and the fact that the majority were Prime members, they know the Prime Day drill. They put their items in their carts and some comparison-shop. They assess whether it is a good deal or not. They make their decisions and move on. Life circumstances dictate their needs and interest in buying. The deal is not always the driver. The right item usually prevails, and if it’s at the right price? Even better. At the same time, they are not shy about shopping one of their favorite retailers. There is plenty of business to go around during Amazon’s Prime Day event and throughout the 2020 holiday season.Favorite