Amazon Prime Day, the two-day members-only sales event being held 11 and 12 July, is expected to reach new heights in 2023, with more than four in 10 (43%) Australians now having access to Amazon, according to new research from Pattern.
The Marketplace Consumer Trends Report 2023 revealed home and kitchen products as the top category consumers are most likely to consider purchasing on Amazon (58%), followed closely by electronics and computer equipment (57%) and books or e-books (55%). This was ahead of sports, fitness and outdoor products (47%) and toys, kids and baby products (44%).
“In spite of ongoing cost-of-living pressures impacting household budgets, it’s not expected that Amazon Prime Day will feel the force of reduced consumer spending,” Pattern Australia general manager, Merline McGregor said.
“Our research shows 84% of consumers expect to spend more or the same amount shopping on the marketplace, and only 16% of consumers are planning to reduce their spend. This bodes well for local brands participating in Prime Day, as it is expected there will be strong consumer participation and opportunity for sales.
“The popularity of these product categories across the Amazon Australia marketplace can (in part) be linked to the fact that there are a large and growing number of sellers within these categories, leading to wider ranges of products for consumers to choose from and competitive pricing.”
While shoppers participating in Prime Day sales will be eager for bargains, high value goods will also attract interest due to Amazon’s shopper demographic. High income earners are most likely to shop on Amazon compared with any other online marketplace – 36% of Amazon shoppers are high income earners, versus 21% for marketplaces overall.
Australian businesses have significant opportunities for brand exposure and growth with 30% of consumers stating they are open to buying from new brands on Amazon if they can’t find the brand they are looking for.
For brands considering listing on Amazon, consumers are becoming increasingly loyal to shopping on the marketplace, with 91% of shoppers indicating they had purchased multiple times from Amazon over the last 12 months, up from 82% in the previous year. Research also indicates those purchasing at least monthly had doubled in the past 12 months, and Prime deliveries are up 60% over the past year.
“Prime membership is growing strongly in Australia. As Prime members rise, so too will the number of shoppers taking part in Prime Day and businesses looking to sell on the Amazon marketplace. Brands should proactively and strategically prepare for Prime Day by aligning their offerings with key categories for the opportunity to attract the most attention,” McGregor added.