This year will see new competition and transactions with lasting effects on the future.
Amazon Prime Day is coming next week (July 15-16) and things are really starting to heat up. Last year’s event saw over 100 million products sold in 36 hours, and this year’s event is set to be even bigger with Prime Day being extended to 48 hours. Furthermore, a recent survey found 76% of Amazon’s 100 million Prime Members were planning on participating in Prime Day this year, up from 63% a year ago.
So, what will happen with this monumental mid-summer sale? Who will come out as the winners and losers? And what lasting effects will it have on the future? Let’s take a look at 4 big predictions for next week’s event!
- Target, Walmart and eBay Will Cash In
Our first prediction isn’t for Amazon at all, but for its competition. Target, Walmart, eBay and other retailers have announced big sales to compete with Prime Day, and as you can expect, they’ve put Amazon’s membership-based model firmly in the crosshairs.
Target ran an opposing sale against Prime Day last year and had one of their biggest days of the year in terms of sales volume, so they are hoping to repeat or top that success. They, along with Walmart, will be leveraging their same day/next day and store pickup options, giving customers a lot more choices and, no doubt, boosting sales numbers substantially over Amazon’s member-only sale.
Online retailer eBay has also jumped into the fray this year with their “Crash Sale”, poking fun at Amazon’s technical difficulties on Prime Day 2018. eBay will be offering deals on a wide variety of items and are promising even better deals, should Amazon crash again this year.
- Alexa Will Find Many New Homes
Amazon will no doubt be peddling devices empowered with their Alexa voice assistant left and right on Prime Day. Not only are these devices in-house products that are easy to discount, they enable voice ordering and give Amazon the visibility to bring A-commerce a step closer to reality.
The dream of automated fulfillment – when your refrigerator automatically orders you milk and your bathroom mirror automatically orders you new razorblades is a dream future-state for megaretailers. Until appliances can be replaced with next-gen “smart” versions, building a sort of retail superpanopticon with Alexa bridges a critical gap that puts Amazon at a massive advantage it will be difficult for competitors to overcome.
- Online Grocery’s Coming Out Party
The growth of online grocery has been one of 2019’s biggest ongoing stories. Prime Day 2019 will likely be a key event in the history of this growing sector. According to a recent study, 24% of Prime Members are planning to make a grocery purchase on Prime Day, and 56% plan to try a product they don’t normally buy, if it is discounted. These could add up to big impact when it comes to bringing new online grocery customers into the fold.
The competing sales from Target and Walmart may also have a huge impact. The option to buy online and pick-up in the store may shake loose some of even the most stubborn consumers if the price is right.
- Whole Foods Will Have A Big Week
Also along the grocery front, Amazon is also extending Prime Day specials into Whole Foods, a move which could have long term implications. In spite of offering discounts to Prime Members, 70% “rarely to never” shop there, according to a study by Wolfe Research.
Offering deep discounts on Prime Day could reinvigorate Whole Foods. Reintroducing the brand to even a fraction of those 70 million Prime customers could have a tremendous impact on the grocer’s bottom line next week, and if their experience is good, perhaps they can sustain some of that business going forward.
What big predictions do you have for Amazon Prime Day? Do you think more retailers will continue to enter the fray next year? How big can this event get? We’d love to hear what you think. Sound off on social media now and join the conversation.