Amazon Analytics [On-Demand Video]

Amazon Analytics [On-Demand Video]

Prime Day 2018 and Amazon’s Impact on the Retail Industry

Amazon is trailblazing the e-commerce spectrum and beyond.

The $13.7 billion acquisition of Whole Foods signified Amazon’s serious bid into the brick-and-mortar space. The $1 billion acquisition of Pillpack has shaken up the pharmaceutical industry.

Prime Day 2018, which covered 36 hours of exclusive deals on July 16/17, was another display of Amazon’s dominance. Over 17 million transactions were processed on Amazon’s site in just two days, accounting for 86% of all transactions among top retailers.

In this on-demand presentation, Hitwise partnered with leading agency Spark Foundry to examine Prime Day and the impact of Amazon on the larger online retail industry. We uncovered top stats from the day, the rise of Prime memberships, and more.

  • Prime Day’s best selling and fast-moving products, brands, and categories
  • Prime Day’s impact on the online retail industry 
  • The rise in Prime Memberships and the profile of Amazon-exclusive buyers
  • The role of Amazon as an online search engine
  • Tactics for combat or collaborate with Amazon, as a retailer or brand

Amazon vs. Top 50 Retailers: Visit Share

The US retail landscape is dominated by a handful of players. Over the past year, the top 50 online retailers drove 73% of Hitwise Retail 500 traffic. Amazon alone generated 44% of traffic share among the top 50 retailers; this visit share was larger than the next 14 retailers combined! 

Visit Share to Top 50 Retailer Sites:
How much does Amazon dominate online?

Amazon dominated with 44% of retail traffic over the past year.
Source: Hitwise, Share of total visits among Retail 50, August 2017-July 2018.

Prime Day Highlights

Increasing Prime Day hours from 30 (in 2017) to 36 (in 2018) led to a 16% increase in transactions. Transactions on 2018 Prime Day itself were slightly below Prime Day 2017. However, with a significant increase the day before, the combined total of transactions over the two days (PD-1 and PD-2) reached an impressive 17.2 million.

Transactions on Amazon
Prime Day YOY (in millions)

Amazon processed 17.2M transactions over Prime Days.
Source:  Hitwise. YoY = Prime Day 2017 (10-11 July) was six calendar days earlier than Prime Day 2018 (16-17 July). YoY dates are lined up by the number of days leading up to Prime Day.

Tactics for Retailers and Brands: Track customer demand through internal search

Retailers and brands need to understand what Amazon’s customers are purchasing and how to track demand through internal search. Product searches within Amazon provide key insights into customer intent. By zooming into the Clothing category, results show that generic searches still dominate, but demand for branded items like Adidas is growing. Companies can then leverage these takeaways to determine which products to push on Amazon (as a brand) or how to compete (as a retailer).

Amazon Internal Searches for Clothing, Shoes & Accessories
June 2018

Top searches for Amazon's clothing category were clothing basics.
Source: Hitwise, Internal Searches on Amazon’s Clothing, Shoes & Accessories category, June 2018.

Watch the video to learn about Amazon’s impact on the retail industry

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