There are few, if any, things that the pandemic did not impact negatively this past year – but one area that experienced a definite boon was ecommerce. And a company that became a global go-to for homebound consumers was Amazon. Its Prime products seem to be pandemic proof. Let’s explore!
When COVID hit and places began to shut down, Amazon was optimally positioned. And it was ready with a last-mile infrastructure that helped it pull out far ahead after an initial hiccup affecting its superfast delivery times.
It also served as a lifeline for many, as mom and pop shops found new life selling via its storefront, offering them a way to stay financially afloat during hard times. And Amazon’s profits reflect this reality: In April of 2021, it reported “$108.5 billion in sales in the first three months of the year, up 44 percent from a year earlier. It also posted $8.1 billion in profit, an increase of 220 percent from the same period last year.”
Many businesses selling via its storefront are experiencing record sales as well. And when it comes to its much anticipated “Prime Days,” the top contenders have little complain about. It’s a good time to be a technology company or an ecommerce company. Or, like Amazon, a little bit of both, as we see Amazon Echo and Kindle as top consumer picks amongst other technologies below:
Let’s explore how the conversation has shifted each year, from 2019 through to 2021.
2019 – Parents Loved Pampers
In July of 2019, Amazon Prime surpassed both Black Friday and Cyber Monday sales combined. The excitement over sales was palpable, with parents posting about a variety of Pampers offers, including one supporting the March of Dimes with every sale.
But even though sales for items soared, sentiment was pretty low, with people complaining about our over commercialized life and vowing to “not buy” anything this Prime Day. Apparently, many shoppers didn’t get the memo though, as Amazon still did very well with sales.
2020 – Technology Takeover
In 2020, Prime Days were delayed until October due to COVID. No one was in the mood for a spending spree in July of 2020, so this was wise planning on Amazon’s part. Also, its positioning was on-point.
Not only did it frame the event as “just in time for the holidays,” but also took extra care to highlight cost savings, as well as its commitment to promoting small businesses. This all contributed to its amazing growth amidst such stunning losses experienced by other retailers during this unexpected year. And it helped turn around sentiment shared in the previous year. As we can see, Net Sentiment increased from 21% to 58% and there’s lots of appreciation for the ecommerce giant. Saving the day seems to have that affect!
2021 – Tech Has Taken Hold
This year’s Prime event happened in June and its sales were soft compared to 2020, but that doesn’t mean it was a bad year. As mentioned at the outset, Amazon is experiencing exceptional growth overall, with Prime serving as just another feather is its ornately plumed cap.
Also, softer sales could be due to this event coming only eight months after last years October event, as compared to the 15-month span between the 2019 and 2020 Prime Day events, which was delayed due to the pandemic.
Either way, we see lots of technology products dominating sales – and we also see home cooking appliances and fitness apps rating top mentions as well, as just one day’s worth of posts demonstrates:
We see TechRadar links to posts about the iPad Pro, Vitamix’s promotion of its FoodCycler is winning lots of attention, as is Amazon’s Fire Tablet, the Nintendo Switch Lite and Le Creuset’s Dutch oven to name a few. And sentiment overall for the day(s) was pretty good, coming in at 64%, with some room for improvement on Amazon’s PR front.
Amazon has solidified its standing as the online go-to for most things, so its Prime Day events are certainly a thing for brands to prepare for each year. And it will require consumer understanding to do so, as competition there, as it is elsewhere online, is fierce.
Moving forward, any company that doesn’t have one ear to the technological superhighway, monitoring it for emerging trends and shifting sentiment, is playing with fire. Digital acceleration due to COVID has brought everyone and everything online to some extent – and it was where everything was naturally headed anyway.
Holdouts will be forced to create robust ecommerce and promotional outreach capabilities eventually, or close up shop entirely in the coming years. Consumers want their needs met right now, and they have little patience for brands with no understanding of that fact. Reach out for a demo and we’ll show you how to get there!