Third parties estimate that Amazon’s annual Prime Day sales event has generated over $12 billion in sales. From July 13 to 15, the retailer held a popular shopping event in the US and more than 15 other countries around the world. It was the first Prime Day event under the new CEO Andy Jassiwho succeeded Jeff Bezos last year after Amazon founder resigns.
The company was optimistic about Prime Day’s results and called them “the best ever”, noting that consumers around the world earned $1.7 billion. Amazon said it sold more than 300 million items during these sales, but did not disclose any revenue figures.
He also noted that he sold “more devices than any other Prime Day”, but declined to give a number. The firm said shoppers bought more than $3 billion worth of merchandise from more than 100 million items from small businesses over the two-day event.
In the weeks leading up to Prime Day, Amazon has been betting on influencers to drive sales with QVC-style live shopping. The firm has collaborated with celebrities such as TikTok creators Joe and Frank Mehle, The Real Housewives of Atlanta’s Porsha Williams, Sunset Sale star Chrischel Staus, comedian Kevin Hart and Australian model Miranda Kerr. The company stated that these live streams had amassed over 100 million views, but did not emphasize how much sales they brought in.
Report from Information paints a different picture: it says that some of the videos of some of its top influencers failed to reach more than 4,000 live viewers. Amazon isn’t the only one struggling with live commerce. Earlier this month Financial Times reported that TikTok is cutting back on its plans for online video purchases in the US and Europe.
Amazon has not commented on earnings or sales data recorded during Prime Day or Amazon Live.
Because Amazon doesn’t disclose sales data for Prime Day, we have to rely on analysts and third-party data to paint a picture of how sales have been for this event.
Analysts rated that Amazon sold between $12.09 billion and $12.59 billion in gross merchandise from Prime Day sales worldwide. It is important to note that some countries, such as India, Saudi Arabia, Egypt and the United Arab Emirates, have not had their Prime Day sales yet.
In addition, the report sales department noted that global sales of on-site retailers rose 8% year-on-year on Tuesday and Wednesday of the second week of July. But sales figures for non-Amazon sites worldwide have dropped 12% since Prime Day 2021.
As usual, major U.S. retailers have taken advantage of Amazon’s prime day to offer their own discounts, encouraging consumers to spend more in an inflationary market that has seen the prices of various items rise of late.
The Adobe Digital Economy Index study showed that total online spending by online retailers in the US reached $11.9 billion, up 8% from last year’s spending of $11 billion. He noted that Prime Day’s second day of sales brought in more than $5.9 billion, up 9.2% from the second day last year, which brought in $5.4 billion.
“Because the second Prime Day also showed significant growth, retailers were able to earn around $12 billion in online spend for the two-day event. Clearly, consumers are very price sensitive and it will be important for retailers to use price effectively to unlock new growth potential online,” said Pat Brown, vice president of Adobe.
In addition, the data group Numerator published its own research based on nearly 59,000 Prime Day orders and a survey of over 4,800 shoppers, which says the average order size has risen from $44.75 last year to $52.26 in Prime Day sales. It is noted that 65% of buyers who made purchases on both days spent the same amount or less than last year.
The firm’s research has unearthed some numbers indicating that Amazon’s influence on Prime Day sales may have waned slightly. 24% of shoppers have purchased from another retailer, up from 20% last year; 44% of people only considered Amazon this year, compared to 52% last year; and 34% of people checked prices at other stores before making a purchase, up from 33% of people last year.
These studies indicate that inflation has affected Prime Day sales and retailers may not have seen a significant increase in their sales compared to last year.
Amazon has had a rough year as its share price has fallen from about $181 a year ago to $110 at the time of writing. It is important for the company to stimulate sales so that it can keep one more Prime Day later this year. This year, the company’s employees also raised questions about Workplace safety as well as wage during Prime Day sales.
Credit: techcrunch.com /