Client Letters: 2025 Prime Day Reminders
Tomorrow is the first day of Prime. We anticipate Amazon 1P earning preferential slotting and a somewhat muted response from Amazon 3P sellers versus prior years. A few reminders to consider as you digest results and news:
Extended Duration: Prime Day expands from 2 days last year to 4 days this year, while Walmart runs for 6 days. Will this longer timeframe lead to higher total cumulative sales?
Calendar Shift Impact: Last year, Prime Day occurred on July 16th and 17th, influencing month-to-date comparisons. True comparable insights will be available only after July 19th.
Hourly Parting: All accounts will leverage hourly parting for keyword bidding to control increased advertising costs. Historical Prime Day data guides spending, ensuring strategic allocation of advertising budgets.
Data Delays: Seller Central data updates nearly in real-time, whereas Vendor Central data experiences delays of 48-72 hours. Data will be shared with your accounts and our portal as soon as Amazon provides it.
Unique Annual Factors: This year features inventory accumulation, increased tariffs, improved conversion despite lower site traffic, and notably, slower growth in Amazon’s Online Store sales in the most recent quarter.
Lastly, and perhaps most importantly, keep perspective and avoid getting swept up by all the hype. While Prime Days 2024 delivered sales growth of 172% compared to the average day, they represented only 1.3% of total retail sales for the full 2024 calendar year. Prime Day is significant, but its impact on overall annual performance remains limited. Sustainable success comes from consistent growth and a long-term strategic mindset among vendors and sellers.
Please reach out if you have any questions and thank you for your continued partnership,
Ryan
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