As Amazon Prime Day continues through Wednesday competing retailers are launching their own unique sales to tap into what’s fast become one of the busiest e-commerce days of the year.
The Prime Day event, reveals Coresight Research, will spur $3.4 billion in worldwide sales — a robust spike over last year’s estimated $2.4 billion, according to an AP report. Amazon, for the record, has never released any sales data since launching the event in 2015.
Competitors have begun hosting their own special sales events in response to Prime Day, notably Wayfair.com’s Way Day event this past April. The furniture retailer’s event was one of its biggest sales day to date.
While Target launched a special sales event for today, other retailers are driving big sales moves as well, including Macy’s, Kohl’s and eBay. Macy’s, for example, held a Black Friday in July sale Tuesday and Target held its own one-day online-only event.
One industry watcher predicts all the July-based e-commerce sales could eventually eclipse long-standing sales days such as Black Friday and Cyber Monday, according to a CNBC report.
Some retailers, including Kohl’s, even launched preemptive sales a week prior to Prime Day and eBay has updated its price-matching offer to include anything on Amazon.
In fact Amazon’s big event is proving to benefit all retail even if no unique sales events are taking place, according to CNBC. The report points to Adobe research that stated big retailers enjoyed a 35 percent spike in sales during last year’s Prime Day event.
“We can see the halo effect Amazon Prime Day has on the retail industry at large,” Dominic Joseph, Captify co-founder and CEO, told CNBC. “The hype created around Prime Day is one of the biggest opportunities and unintended advantages for other retailers get their skin in the game, especially as consumers search for Amazon’s competitors to compare prices and deals.”
Prime Day is proving to be an overall e-commerce lure, noted another industry expert.A recent Avionos consumer study reveals 38 percent of consumers begin searches on Amazon when looking to buy a particular product.
“With Amazon Prime Day today, consumers are flocking online to find the best deals. Amazon was and continues to be a pioneer in the digital commerce space and, despite what critics think, is helping retailers with digital transformation,” Alex Soncini, North American general manager at VTEX, told RetailCustomer experience in an email note. “More so than Amazon, the fall of traditional retail is due to the slow adoption of digital transformation. Brands that want to survive in a world dominated by Amazon and digitally native retailers will have to develop customer loyalty through massive investment in omnichannel and digital commerce, obviously always offering quality products that customers advocate for.”
Nicolás Ávila, vice president of technology at Globant, told Retail Customer Experience that Amazon Prime Day is a “symbol” of how Amazon is transforming a great customer experience into a loyalty program and badge of excellence.
“Instead of building a loyalty program that is based on points, Amazon decided to charge a premium for clients willing to pay for a premium offering. Companies like Amazon, Apple and Disney have shown that building an emotional connection with customers comes from not focusing on the conversion, but instead improving the overall customer journey and removing friction points through new products and technology.”
Smaller retailers, said Ryan Lester, director of customer engagement technologies at LogMein, can be successful on Prime Day as well if they focus on creating exceptional VIP customer service.
“While Amazon provides a one-stop solution for everything shoppers might need, they don’t focus on creating a personalized experience. That’s where Amazon falters. Today’s consumers are looking for seamless, 24/7 customer experience, and in many cases, are willing to pay more for it,” he shared in an email note with Retail Customer Experience.
Posted with permission from www.RetailCustomerExperience.com
Photo Credit: iStockPhoto.com
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