The annual sales event offered marketers a treasure trove of data to observe a nation at nest
Prime Day aka “Black Friday in July” began six years ago as a way to reward Amazon Prime subscribers with a day of deals. For 2020, a year with more horrifying twists than HBO’s new science fiction hit series, “Raised by Wolves”, Amazon’s annual event shifted to October 13-14 to help smooth out the already heavy demands being placed on its delivery and fulfillment infrastructure. The move also unofficially marked a new start to the Holiday shopping season, setting in motion competing online sales events with other retailers and revealing much about the current mindset of consumers who are hunkering down for their first full winter with the pandemic – and all its attendant psychological baggage.
Mother, what did you find for the children? This year’s Prime Day purchase data mostly reflects the emergence of a more practical era, as American consumers prepare for the winter ahead.
A Nation at Nest
Since the pandemic and cold weather will force most inside (but apart) for the winter, it wasn’t surprising that nesters and nurturers were busy scooping up deals. Many consumers started shopping as early as 4 a.m., a time period that saw order volume double compared to last year. The Home Improvement category helped lead the biggest Prime Day ever, but not necessarily the most successful, as Amazon again played coy about revealing final sales figures. Rather than touting it as the “company’s biggest shopping day ever” as it has in the past, it instead focused on its role in generating $3.5 billion in sales for third-party small businesses.
All of those home improvement purchases support a macro DIY trend that dovetails with America’s minor exodus from major cities to the burbs, which consequently has increased interest in renovation projects. For those who’ve remained in city centers, the impulse to nest and nurture is just as strong, as items like planting kits and doggy DNA kits stood out as big hits. Pet adoptions inspired by the pandemic led to a 16,760% rise in dog DNA kits during this year’s Prime Day. Less adorable, but equally important to the event’s success was the outsized role that consumer goods company Procter & Gamble played as one of its largest advertisers, helping to drive sales of toothbrushes, razors and other essentials (masks are still Amazon’s number #1 seller outside of Prime Day) in preparation for the extended hibernation.
If anything, Prime Day confirmed that the primal urges to protect, preserve and even hoard prevail eight months into the pandemic.
Virtual Assistants and Computer Accessories
“Raised by Wolves” stars a post-apocalyptic android known as Mother who takes protective parenting to new heights. Even her android partner, Father – an older “male” model android who lacks the processing power and fierce maternal instincts of Mother but can still deliver jokes better than Alexa – makes today’s virtual assistants appear laughably inept by comparison. For the fourth year in a row, the Amazon Echo was the best-selling Prime Day item. And for only $49, perhaps the fact that this puck-like virtual assistant can play music, turn on the lights and tell a joke without being able to simultaneously obliterate humans to shreds with a shrill, high-pitched scream is a fair tradeoff until more advanced virtual assistants become available to raise our children the right way.
A week before Prime Day, Amazon also presented an IIoT virtual event for those more interested in building and remotely controlling the virtual assistants of our manufacturing future.
Back in the real world, computer accessories stayed hot. Telecommuters purchased record numbers of web cameras, monitors and other accessories, much of which used to be readily available in offices. Companies like Logitech are enjoying a renaissance and, according to Barron’s, posted blow-out earnings, as “…demand skyrocketed for computer peripherals amid the work-from-home trend spurred by the Covid-19 pandemic.” The big question for many of these Prime Day accessory purchases is whether or not workers will try to expense them.
Seasonal Commerce Changes
Although not generating the same buzz as previous Prime Days, this year’s event is making a major impact on seasonal commerce. Already, big-box retailers have had to play catch-up, as Amazon continues to outmaneuver them and re-formulate the conventions of commerce. According to CNBC, here are sales tactics already accelerated due to a re-scheduled Prime Day:
- Walmart will kick off Black Friday online and in-store as early as Nov. 4 with a three-part event called Black Friday Deals
- Best Buy has already released some Black Friday-level pricing on TV sets, laptops, headphones and home theater equipment
- Target is extending its Black Friday into a month-long sale with deals both in-store and online throughout November on home, electronics and clothing
- Even Amazon is impacted, as its Holiday Dash deals event is already underway
