“Amazon has been getting more and more help hyping the event every year, as other retailers — seeing both opportunities and risks in being left behind — chase after deal-hungry shoppers in cyberspace with their own discounts.” – Retail Dive
It’s all going down on July 16.
The explosion of the unofficial, e-commerce, midsummer holiday is exceeding expectations since its initial launch only a measly, three years ago! It’s pretty absurd looking at the jaw-dropping stats behind the growth Amazon Prime Day continues to garner:
According to the Goliath, Prime Day sales increased 60% year over year.
However, it’s clear that the attention around the event isn’t just fueled by Amazon themselves. Retailers of all shapes and sizes are jumping in the ring to get a finger in their consumer’s wallets. Here’s why Prime Day 2018 isn’t just about Amazon anymore:
Retailers "Pile On" Prime Day with Their Own Deals
While Amazon’s Prime Day is just five days away, it isn’t the only retailer offering major deals this summer. Companies like Best Buy, Dell, Wal-Mart, and Macy’s are capitalizing on this event with deals of their own, despite the lack of success of last year’s piggybacking strategy.
"Prime Day is no longer about Amazon, even though Amazon is a primary beneficiary of Prime Day," Barr said. "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." – Retail Dive
Prime Day Revives Retail’s Midsummer “Dead Period”
While some retailers will feel the burn from Prime Day 2018—which is now 6 hours longer than previous years—others might actually benefit from it. The opportunities and activity initiated by Amazon’s “Black Friday” event may have a positive effect for some during the notoriously slow summer months:
“This is a little gift that Amazon has given the retail industry [...] It’s a random day in July when there isn’t a huge burst of demand, so any increase you’re going to see, even if it’s 3 or 4 percent lift [in sales], is a good one for a lot of retailers.”- Forrester
Prime Day Success Inspires Retailers to be Proactive
If one good thing came out of the explosive Prime Day growth for any retailer not Amazon, it’s how it inspired brands to look beyond the status quo and truly get creative when it comes to differentiating themselves among consumers:
“The huge success of Prime Day has inspired other retailers to create their own “holidays.” […] Retail has always been dependent upon promotional days, but retailers are no longer relying only on established industry-wide sale days like Black Friday. Following Amazon's lead, retailers have found that taking a proactive, exclusive approach and hosting a sales promotion day is an effective way not only to drive more traffic but also to differentiate their brands.” - Forbes
Prime Day Growth Reflects the State of E-Commerce
An interesting –and arguably one of the most important—takeaways from Prime Day’s exponential growth is how the event, to a certain extent, reflects the rapid growth of e-commerce:
"While overall, many in retail expected digital to continue to grow … the velocity at which that is occurring is at a pace that far exceeds expectations[…] The way I like to think about it is — you think about its trajectory, think about how fast it's going, it's going far faster than anybody's estimates. As a result, brands are having to adapt very quickly." – Steve Barr, PwC’s Consumer Markets Leader
A day and a half packed with more than one million deals from one giant, retail Goliath isn't enough to stop retailers from looking for ways to stand out and deliver on expectations consumers desire.