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How Amazon Benefits from Prime Day

Over the past three years, Amazon turned the seemingly boring July into another crazed shopping event. See how the marketplace benefits from Prime Day and take notes for yourself:

Increase Sales

Summertime is often a slower sales period for most retailers compared to the holiday season. However, Amazon turned Prime Day into their biggest sales day of the year. It really is Christmas in July!

Increase Prime Memberships

While increasing sales is great, it’s not the real goal of Amazon Prime Day. The event is exclusive to Amazon Prime members. So, to take part in the holiday, you must sign-up for a Prime membership if you don’t already have one.

Amazon itself won’t disclose how many Prime members they have. There’s reportedly around 85 million U.S. members, according to a report by the Consumer Intelligence Research Partners (CIRP). Memberships have doubled in the past two years.

The online sales event is a great incentive for someone to try out Amazon Prime for the first time, especially since they offer a free 30-day trial for sign-up. Another CIRP report estimates that 73% of first-time users elect to continue their membership, who then become loyal shoppers. So, if Amazon can get new members in the door during the event, they’ll most likely stay new members.

Prime members are more loyal shoppers than non-members. According to the first CIRP report, U.S. Prime members spend on average about $1,300 per year, compared to $700 per year for non-members. They also shop more often, 25 times per year compared to 14 times.

Showcase Own Products

While there are plenty of great deals on all types of products, some of Prime Day’s best are for Amazon’s own products. Shoppers find reduced prices on products such as the Amazon Echo, Kindle, Fire Tablet, Pantry, and Unlimited Music. This encourages consumers to try out more of their offerings.

So it is not only the amazon FBA seller benefit from it ,but also Amazon benefit lot from it. Keep an eye on the amazon’s change, learn more from it.