Home & Kitchen, Electronics, Books, Sports and Fitness Predicted to be Popular
Amazon Prime Day, the two-day members-only sales event being held from 11-12 July, is expected to reach new heights in 2023. New research within Pattern’s fifth annual ‘Marketplace Consumer Trends Report – 2023’, shows 43% of Australians now have access to Amazon this year, presenting local brands with significant opportunities for revenue.
“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. 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,” said Merline McGregor, General Manager of Pattern Australia.
To assist local brands in planning their Prime Day activities, the shopping categories Australian consumers indicated they would most likely consider purchasing on Amazon are:
- 58% would consider buying Home & Kitchen products
- 57% would consider buying Electronics & Computer Equipment
- 55% would consider buying Books or eBooks
- 47% would consider buying Sports, Fitness and Outdoor Products
- 44% would consider buying Toys, Kids and Baby Products
- 44% would consider buying Luggage and Travel Gear
- 37% would consider buying Skin Care and Make-up.
“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,” McGregor explained.
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 through Prime Day, 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. This also presents a risk for brands not present on Amazon or participating in Prime Day, who may lose customers if they aren’t providing consumers the products they are looking for on the platform, at the right time.
Importantly 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 twelve 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,” concluded McGregor.
Download the full ‘Australian Marketplace Consumer Trends Report – 2023’ report HERE