A new market research survey predicts Amazon will lead the holiday shopping season among U.S. households.
Data researcher, Numerator, released the findings in their Prime Day 2020 retail market survey.
Numerator says historically ‘big box’ retailers led in household penetration over the five days from Thanksgiving to the following Monday, including Black Friday and Cyber Monday. However, the survey data suggests the online retailer, Amazon will lead in household market penetration.
Meaning more households will shop the online retailer more this season than brick-and-mortar stores.
Numerator says, in 2019 Walmart led the market with 39% over Amazon’s 29% household market research. This year, Amazon is expected to close Walmart's 10-point lead, in part because of the success of Prime Day 2020.
Here are some key elements form the survey:
PRIME DAY EXPANDED ITS INFLUENCE IN 2020
- Based on an analysis of more than 43,000 verified Prime Day purchases:
- More households shopped Amazon on Prime Day:
- More than 1 in 3 US households (36%) shopped Amazon on Prime Day 2020, up from 23% in 2019. Survey data of verified Prime Day buyers further indicates that nearly one-third (31%) reported they were doing it for the first time.
- While individual order sizes were down, consumers spent more, and placed more orders in total, on Prime Day:
- Average spend per order was $54.64 in 2020, down from $58.91 in 2019.
- Consumers spent $7.4B at Amazon on Prime Day, up from $4.5B in 2019.
- More than 135 million Amazon orders were placed on Prime Day, up from 76 million in 2019.
- More consumers were multi-trip Prime Day participants:
- More than 3 in 5 Prime Day buyers (61.8%) placed 2+ orders on Prime Day 2020, up from 57.6% in 2019.
HOLIDAY GIFTING WAS A KEY ELEMENT IN 2020 PRIME DAY
- Amazon anticipated the importance of holiday buying on its rescheduled Prime Day:
- Amazon dedicated 25% of its advertising budget to gift cards, compared to only 1.6% in 2019 -- which appears to have worked.
- Gift card reloads and new Amazon gift cards landed on the list of the top six most-purchased items on Prime Day 2020. On last year's Prime Day, new gift cards did not make the top items list.
- Prime Day gift buyers were more valuable shoppers than the average Prime Day buyer. These gift buyers:
- Spent an average of $286.79, nearly twice that of the typical Prime Day buyer.
- Placed an average of 5 separate orders throughout Prime Day.
- Were 3.6x as likely to purchase Toys and Video Games, 1.9x as likely to purchase Baby items, and 1.7x as likely to purchase Books & Videos
A survey of verified Prime Day buyers shows that 9 in 10 Prime Day buyers plan to shop on Amazon again before the holidays.
