Over the past seven years, Amazon’s (AMZN) highly anticipated Prime Day has transformed from a company-manufactured event into an annual nationwide holiday celebrating what Americans truly love to do most: consume.
Since its inception, Prime Day has generated more revenue every year, topping $11 billion in 2021.
But with mentions of inflation fears (+481%), food price concerns (+245%), and gas price concerns (+659%) soaring on a year-over-year (YoY) basis… could this year break the trend?
Consumers are signaling that they’re stressed — loud and clear.
Yet, according to LikeFolio data, Amazon’s Prime Day event just had a blockbuster year.
Amazon Prime Day Sales Soared in 2022
Despite the economic pressure squeezing consumers, 2022 Prime Day activity made 2021 look like a blip on the chart.
Mentions from consumers indicating they shopped a Prime Day deal surged 74% higher YoY.
And Amazon confirmed what LikeFolio data was capturing in real time: 2022 was its biggest year ever, with more than 300 million items purchased.
What’s going on here? How can consumers strapped for cash increase their consumption?
This is where LikeFolio data can offer some unique insight.
Deal Discovery Is Driving Consumer Spending
Amazon is tapping into the psychological reward system at the root of bargain hunting.
Consumers are addicted to the “thrill of feeling like they scored a big victory,” according to consumer psychologist Dr. Kit Yarrow.
Pair this perceived win with a weakened economic state, and you’ve got a perfect storm.
Knowing this, it’s no surprise that deal discovery mentions are near all-time highs at +44% YoY.
And it also makes sense when you consider how Amazon reported Prime Day results: The company didn’t disclose total sales — it disclosed the number of items sold.
Perhaps the bargain-hunting consumer really did win.
But consumers (and Amazon) weren’t the only winners on Prime Day.
At LikeFolio, we’re also listening for which products were flying off e-commerce shelves — and 2022 had five big winners.
Prime Day Winners: Electronics, Appliances, and a LikeFolio Favorite…
By utilizing a short-term lens (seven-day moving average), we can quantify the impact of Prime Day sales on a company’s typical demand growth.
These were the biggest winners among consumers:
- Garmin Ltd. (GRMN): Big discounts on wearables resulted in a significant demand spike for this tech company, adding to recent strength, with mentions of its Fenix brand of smartwatches up 177% on a seven-day moving average.
- Whirlpool Corp. (WHR): Prime Day deals on KitchenAid appliances (a Whirlpool-owned brand) are driving a big uptick in purchase intent volume.
- iRobot Corp. (IRBT): This perennial Prime Day favorite enjoyed a YoY demand boost.
- Crocs (CROX): Crocs are back in. Purchase intent volume stayed relatively in line with last year’s Prime Day sale but built on broader strength for the company.
- Levi Strauss & Co. (LEVI): Denim classics from Levi were available as much as 40% below traditional retail value… and consumers gobbled them up.
This data is incredible because we can see in real time exactly when and where consumers are spending their increasingly precious money.
While this report zooms in on a single event, we’re also zooming out — WAY out — to see how consumer spending is shifting in the big picture over time.
And it’s certainly shifting.
We’re expanding on the drivers and beneficiaries of consumer spending in our July edition of MegaTrends — hot off the presses early next week.
The report will feature five major retailers who are gaining the upper hand on key competitors.
We can’t wait.