Prime Day 2019: AU Analysis

Prime Day 2019: AU Analysis

Has Amazon cracked Australia? 

In our last article, Prime Day 2019 Wrap Up, we showed how Amazon is rapidly expanding in Australia. Visits and transactions to Amazon’s local site grew by +50% compared to the previous year. Over 300K Aussies visited Amazon each day over Prime Day, and a further 40K people made a purchase.

Which categories and brands drove Amazon’s growth? How do these figures compare against other retailers? Is Amazon a true threat, or are other retailers capitalising and fighting back with their own mid-year sales?

Read on as Hitwise takes a deeper look at the AU Market. 

All Amazon categories grew by over +100%, except for Books

Amazon’s uplift was seen across the majority of key categories, from Home & Garden, Clothing &Accessories to Food & Grocery.

Electronics & Computers grew by over +300% week-on-week to reach 1.6 million page views on Amazon. With over 50%+ discounts offered on their top sellers, Amazon Devices also jumped by an incredible +1,200% week-on-week.

AU Prime Day  
Category Page Views (K)

Source: Hitwise, AU. www.amazon.com.au. July 15/16 2019 vs. July 9/10 2019. Results shown by parent category, for the top 120K products on Amazon.

Electronics, headphones & gaming brands skyrocketed +700%     

The Nintendo Switch has been the most searched-for product for Prime Day this year and last, so it’s no surprise that Nintendo was the second-most viewed brand after Amazon, rising by +300% week-on-week. Gaming accessories and wireless headphones also dominated, with SoundPEATS, Corsair, and TaoTronics all rising by over +700%. 

AU Prime Day
Top Brands

RankBrandPage ViewsWoW Growth
1Amazon155.0K+1,288%
2Nintendo99.5K+298%
3Samsung95.3K+520%
4SoundPEATS80.7K+1,956%
5Sony69.2K+500%
6SandDisk60.0K+677%
7Corsair57.8K+962%
8TaoTronics55.2K+762%
9Neewer48.3K+314%
10Philips45.6K+384%

Source: Hitwise, AU. www.amazon.com.au. July 15/16 2019 vs. July 9/10 2019. Results shown by brand, for the top 120K products on Amazon. 

eBay Plus Weekend vs. Prime Day – which event was bigger?  

Amazon has been able to generate a significant spike in activity but initial figures show that this was short-lived. The number of transactions on Amazon, both on their local and international sites, rose +34% in the week of Prime Day (ending 20 July) to 413K. This then dipped -26% to 307K transactions the following week (ending 27 July).

This wasn’t the case for eBay’s first Plus Weekend, eBay’s response to Prime, launching their own 48-hour exclusive event on 22-23 June. In the week ending 29 June, eBay’s transactions rose +28% week-on-week to over 1 million. The e-tailer then maintained this volume throughout July, seeing over 1 million transactions each week.

eBay vs. Amazon
Weekly Transactions

Source: Hitwise, AU. www.ebay.com.au vs. Amazon (combined) = www.amazon.com.au and www.amazon.com. Weekly transactions. 

Retailers have gained from Prime Day, especially Big W

And it wasn’t just eBay that fought back and succeeded. Other top retailers, including JB Hi-Fi, Harvey Norman, and Kmart, have also benefited. Over the full week of Prime Day, 159K people bought on Amazon’s site, but an additional 1.7 million people only “browsed”, so visited Amazon’s site and didn’t transact.

With double the volume of transactions, eBay naturally had the largest overlap with Amazon. Big W saw the greatest uplift in both Amazon Buyers and Browsers compared to last year’s Prime Day, thanks to their own Click Bonanza sale.

Amazon’s Audience
Visiting Other Retailers

Source: Hitwise, AU. Amazon Buyers = made a purchase on www.amazon.com or www.amazon.com.au. Amazon Browsers = visited but did not make a purchase. 1 week ending 20/07/2019 YoY. Number of Buyers/Browsers visiting other sites and YoY change shown.

Prime Day can’t be ignored, others can and have benefited

The uplift achieved by Amazon on their second Prime Day can’t be ignored. Over 50% jumps in transactions, and 100%+ uplifts across the majority of their categories, are impressive feats. Hitwise figures do show that others have played Prime Day to their advantage. In particular, eBay and Big W saw the most success through counter offers and flash sales.

Amazon’s growth in Australia, at least for now, should be put into context. But their performance in other countries should also be watched closely. Even in their own mature markets, like the US and UK, Amazon continues to grow and grab more online share.

So, what will they have in-store for the second half of the year, and how can retailers and brands prepare?
   

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– Prime Day 2019: A Global Record Breaker (Again!)