While the interest of sales is questioned by traders, the Seattle giant is pleased with the exceptional results recorded this year by its Prime Day operation.
Do the sales still have an interest? In view of the results of the summer of 2022, the question arises more and more bitterly for most French traders who deplore a mixed, even very disappointing season. A feeling attested to by the figures communicated by the Alliance du Commerce (professional federation bringing together the Union du grand commerce de ville centre, the federation of clothing brands and the federation of shoe brands, i.e. a total of 27 000 stores and 180,000 employees).
These figures are crystal clear: during the 2022 summer sales, clothing and footwear retailers recorded a 10 percent drop in in-store sales compared to those achieved during the 2019 summer sales, with a very bad start: in the first five days, turnover was 19 percent lower compared to the same period in 2019. Decline in sales correlated with a drop in footfall which fell 21 percent from its level of 2019. National figures including local disparities since the main shopping streets of Paris rejoiced in an increase in business sometimes exceeding 10 percent.
“Biggest Prime Day Event Ever”
Another downside: the increase in online sales, which increased by 60 percent during the 2022 summer sales compared to 2019. While this increase only very partially offsets the loss of activity recorded in stores, it reveals a change in habit that makes Amazon happy. The titan of the web is indeed announcing dazzling figures. “Prime Day 2022 was the biggest Prime Day event ever,” the company emphatically proclaimed in a euphoric statement.
As a reminder, Prime Day is a commercial operation initiated each year by Amazon since 2015 for a handful of days in July. It consists of offering its prime members (i.e. customers who have subscribed to a subscription of 49 euros per year) special offers on a wide selection in all categories – high-tech, clothing and accessories – from “essential products from major brands”, and premium services. The first purpose of this operation lay in the desire of the American giant to increase its subscribers.
The figures communicated by the company (which was discreet during the sales to better prepare upstream for this operation) indicate that 300 million articles (100,000 per minute) passed during Prime Day 2022, thus saving more $1.7 billion to Prime members. Three billion dollars in sales were generated for small businesses that sold more than 100 million products. Among the popular items in France are high-tech products (security camera, Kindle e-reader, Bluetooth speaker and headphones), the home as well as everyday essentials. The beauty products offered by Laneige and NuFace have also found their audience. Clothing, with the notable exception of Levi’s products, however, did not arouse the enthusiasm of the crowds, confirming consumers’ lack of interest in textiles in a period of inflation.