Most of the retail world is aware by now that Amazon Prime Day begins on July 16 at 3:00 EST and ends on July 17. In its fourth year, the hallmark event, which posted a record 2017, will now run for 36 hours.
Based on our Shopping Index, an analysis of activity from over 500 million online shoppers every quarter, we determined that Prime Day 2017 established a new American shopping holiday for ALL retailers.
Let’s take a look at what we should expect for Prime Day 2018. Or to be more accurate, Prime Day and a half.
Evolution of Prime Day
|2015||July 15||24 hrs|
|2016||July 12||24 hrs|
|2017||July 10-11||30 hrs|
|2018||July 16-17||36 hrs|
Promotions will spike: Retailers will be generous with free shipping and discounts in North America on this day, taking advantage of shoppers’ high buying intent. We expect to see a 26% discount rate (3% more than last year on the holiday) and 73% of orders will be shipped for free (similar to last year).
Mobile will be at the forefront: Mobile has become the remote control of our daily lives, and it won’t be any different on Prime Day. As with any usual weekday, we expect to see peaks in visits and sales from 7 to 9 pm. Retailers will experience 65% of visits and 42% of orders coming from mobile phones.
A rising tide lifts all boats: Sales growth for all retailers will be driven primarily by additional orders rather than additional traffic. Last year, retailers enjoyed 23% higher revenue on Prime Day compared to the two weeks prior. We anticipate more than 30% revenue growth across the board on Prime Day this year.
There is a lot of buzz, understandably, in the run up to Prime Day. We predict this manufactured holiday will bring riches not only to Amazon, but to other brands willing and prepared to ride the wave.