As mentioned in a previous letter, we just had Amazon Prime Day on the 21st and 22nd of June. I thought it would be worthwhile to delve into some more details of what Amazon Prime Day actually is.
The 48 hour sale was started in 2015 and it allows only Amazon Prime members to access amazing sales. Of course the main incentive is to get people to become Amazon Prime members. Prime members on average spend a lot more with Amazon than non-members. Currently, there are 200 million Prime members, 150 million of those are from the US.
In 2020, Prime day sales jumped 45% to $10.4 billion. That is huge in just two days. Items like AirPods, Dyson vacuums and KitchenAid mixers were huge hits. Small businesses made $3.5 billion from sales in 2020.
Long story short, Americans love to consume and Amazon has given them exactly what they want. Convenience, choice and affordability. Every year that Prime membership grows.