Amazon Adds Six Hours to Prime Day, Poised to Pass $3.4 Billion Globally
Six hours may not seem like a lot of time, but conservative predictions for Amazon's 36 hour Prime Day note that the e-commerce giant could reach $3.4 billion globally, a 40% increase over last year.
The report comes from RetailDive who spoke with think tank Foresight Research who points to things like the Echo and private labels in furniture, home, grocery, and apparel making a huge splash for Amazon. Their private labels include Rivent, Stone & Beam, Presto!, and, of course, Amazon Basics - all of which are predicted to have exclusive discounts that range from 20% to 30%.
Many of these brands came to fruition hoping to increase holiday spending, but of the 41 private labels already accounted for, seven more have already been flagged by Morgan Stanely. However, analytics firm Jumpshot accounts AmazonBasics for 88% of its private label conversions. Without that, Amazon is only 7% of conversions market share. "Amazon doesn't have private labels cracked," the report noted.
But what else is making Prime Day so deadly beyond the products? Well for one, the number of people who never shop on Amazon is down 98% YoY. That means almost everyone is buying from Amazon these days, and another 18% of consumers are ready to spend, while 47% are interested if the deal is right.
Using a broader stroke, this means that every retailer has the opportunity to jump on this mentality, and many already have.
"Prime Day is no longer about Amazon, even though Amazon is a primary beneficiary of Prime Day," said Steve Barr, PwC's consumer markets leader, points out, to RetailDive. "For retailers, you either pay to play or lose short-term sales and consumers and run the risk of further eroding their relationship with consumers as they get pulled more and more into the Amazon ecosystem."
Retailmenot also notes that retailers offering deals has increased 340% from last year - 27 to 119 between 2016 to 2017. It's about taking advantage of a fake holiday and letting consumers know you want to participate in their feeding frenzy. Among all this data, there is still the wild card in Whole Foods, who has been offering Prime Rewards Visa and a host of promotions for Amazon Prime members.
It's a little unnerving how fast Amazon grew this project in just four years, but now is the time to start taking advantage of this new spending holiday less you get lost in the commotion.