Amazon already touted the success of this year’s Prime Day with its own numbers, but Periscope By McKinsey released research today it conducted in the U.S., UK, France, Germany, and Italy to highlight consumer behavior on that day.
The survey of 3,000 consumers found awareness of Amazon Prime Day is very high with all countries in the survey reporting over 80% awareness with the exception of France at just 63 percent.
Looking at the continued decline of purely offline shopping, the U.S. trails other countries in its adoption of the online experience with 10 percent saying they only shop offline. This is more than double other countries, where the average is 4.5 percent.
All countries reported that a mix of online and offline was their dominant way to shop but an average 16 percent stated they mostly shop online.
Germany and the UK led the way in this regard with 21 percent and 17 percent respectively.
More Consumer Participated in Amazon Prime Day
According to the McKinsey & Company survey, the US (41 percent) and Italy (39 percent) showed the greatest shopper participation in this year’s event.
Based on previous annual surveys conducted by the company, Amazon Prime Day participation has multiplied year on year in every country across 2015-2018.
Participation increased a typical 4-5 times, with the greatest increase in the UK with a multiple of 6.8.
According to Amazon, Prime members worldwide purchased more than 100 million products during this year Prime Day event.
Spending on Prime Day increased in every country over 2017. The largest increase was in the UK where 59 percent of shoppers spent ‘a bit more’ or ‘much more’, this was closely followed by France (57 percent) and Germany (54 percent).
There are also signs the U.S. is becoming more constrained in its spending as the top country where shoppers say they ‘spent the same’ at 40 percent.
Shoppers are also buying more items with a majority in every country stating they bought “a bit more” or “much more” product than in 2017.
The greatest shift was in France with 62 percent falling into these categories, followed by the UK (57 percent), Italy (54 percent), Germany (49 percent) and the US (46 percent).
The Sales Competition
While Amazon Prime Day may be going from strength to strength, it has lots of online competition when it comes to other sales events.
For respondents, Cyber Monday is widely regarded as the top named sale event competitor with an average 44 percent saying they participate, though it was as high as 65 percent in the U.S.
In Germany, Mega Monday was the next most participated event (10 percent), but in the US (30 percent), UK (21 percent), Italy (9 percent) and France (8 percent) it is Free Shipping Day, which celebrates its 10th anniversary in 2018.
Many consumers feel they get a great deal at Amazon Prime Day. But the results show a sophistication in some markets where the convenience of using a single marketplace, and low prices, is not enough to keep them from shopping in ‘other’ places.
Shoppers Are Getting Smarter
‘Consumer Electronics’ was the number one shopping category this Amazon Prime Day with an average 48 percent of shoppers buying these goods.
Certainly, the heavy discounting on Amazon-branded devices helped this category gain the top spot.
‘Books, Movies and Music’ (34 percent), ‘Clothing and Accessories’ (37 percent) and ‘Toys’ (28 percent) also featured highly in all countries.
‘Beauty and Fragrance’ also performed well with an average 28 percent, followed by ‘Kitchen Appliances’ at 26 percent.
Looking at how consumers shopped, those in the UK, U.S., and Italy described themselves as being more planned in their approach to Amazon Prime Day 2018.
But 53 percent of shoppers in France and 48 percent in Germany considered themselves to be more spontaneous.
Despite some spontaneity, consumers are getting smarter about checking prices outside Amazon before committing to their purchases.
On average 62 percent of shoppers now check ‘a couple’ or ‘several’ of their prices.
European countries were much more likely to check prices, with France recording the most consumers likely to check several prices (44 percent).
“There is no doubt that Amazon Prime Day keeps gaining in popularity with huge global awareness and multiplying participation every year. Shoppers are spending more at Prime Day but they are getting smarter, they are becoming increasingly price aware, and more willing to see what else is available elsewhere online.”
Channie Mize, Senior Vice President and Global Sector General Manager, Retail at Periscope By McKinsey
The complete study is available here from Periscope By McKinsey.
The survey was conducted in July 2018 by Periscope By McKinsey targeting consumers in France (500), Germany (500), Italy (500), the UK (500) and the U.S. (1,000).
Respondents were aged between 18 and 70+ and responses were selectively evaluated by age category and gender.
What do you think about this data from Periscope By McKinsey on Amazon Prime Day? Head over to our Facebook Discussion Group or use the comments section below.
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