Retail is still feeling the aftershock of the cataclysmic event that was Amazon Prime Day. The e-tailer’s sales shattered its own company records, with numbers climbing by more than 60% from last year and surpassing its Black Friday and Cyber Monday sales. In an article for Edited, author Katie Smith details which retailers sponsored competing sales and those who decided to opt out.
While retail ramped up sales for the July 4 weekend (Smith cites a 34% increase in sales over last year, largely on tops, accessories and footwear), many stores scaled back on July 10 and 11, which boasted 62% fewer sales than the day before and Prime Day last year, according to the article. Retail giants including Walmart, Target and Lord & Taylor all cut back on sales, and Edited reports that some smart companies cut back on adding new product knowing consumers would be scouring deals.
Still, there were many retailers who did participate, fighting Amazon on price with aggressive discounts. Smith cites Macy’s Black Friday in July sale, running through July 17, and JC Penny’s Cyber in July event that wrapped up yesterday. Macy’s is offering reduced merchandise at an average of 48% off plus an additional 25%-off discount code, and JC Penny also touted an extra 30% discount.
Smith notes that for many retailers, it didn’t make sense to participate in Prime Day, which Amazon uses as a marketing initiative to drive membership. However for those most affected by the e-tailer’s drive into fashion, the timing makes sense. Kohl’s used the event to offer 30% off summer stock that needed clearing anyway, she writes.
Other brands seized the opportunity to plant keywords into e-blasts that would come up in inbox searches looking for sales. The article names Lane Bryant, which included, “You might say it’s a prime time to start shopping these deals,” in its newsletter, along with DSW and Woman Within who also snuck in the keyword.
Overall, industry experts seem to agree that Amazon Prime Day is here to stay and retailers should find their place in the micro holiday.