Chris "Coz" Costello, Senior Director of Marketing Research @ Skai
Once again, Prime Day, the year’s biggest shopping event outside of Q4, outdid itself versus the previous year.
According to an Amazon press release:
Prime members purchased more than 300 million items worldwide during Prime Day 2022, making this year’s event the biggest Prime Day event in Amazon’s history. And, more shopping means more savings—Prime members saved over $1.7 billion, more than any previous Prime Day event.
News outlets reported that “total U.S. online spending across retailers reached $11.9 billion (including $6 billion on day one and $5.9 billion on day two), representing 8.5% growth compared to $11 billion in Prime Day’s total online revenue in 2021.”
Prime Day Day 2022 – Skai Analysis
While the consumer data is interesting, we’re here to share some of the big day’s marketing results. As a leading omnichannel platform for retail media advertising, we have been able to sift through the numbers and show you just how well marketers were able to drive sales via the channel.
(Note: All analysis is for all Amazon advertisers on the Skai platform, unless otherwise stated.)
Advertisers spent 4X as much as the days leading up to Prime Day
Daily ad spending on Amazon for the two days of Prime Day was up 4X from the daily average for the previous 30 days.
Prime Day 2022 results: Ad-supported sales revenue up 4.5X!
Ad-supported sales revenue on Amazon for the two days of Prime Day was up 4.5X from the daily average for the previous 30 days.
Advertisers were willing to spend more per click to take advantage of the event
The average cost-per-click (CPC) on Amazon for the two days of Prime Day was up 50% from the daily average for the previous 30 days.
Amazon Ads ROAS up—but varied by category
Return on Ad Spend (ROAS) on Amazon grew 12% in aggregate for the two days of Prime Day compared to the daily average for the previous thirty days, but this varied considerably by category.
Advertisers learned from previous years to drive Prime Day 2022 results
Overall, the increase across all metrics tracked very closely with what Skai measured for Prime Day 2021.
Year-over-year (YoY), same-advertiser spending on Prime Day 2022 was up 19% over Prime Day 2021, although same-advertiser spending for the thirty days before Prime Day was also up 16%.
Note: For this analysis, only Skai accounts with spending in the Prime Day period for both years were included.
The “halo effect” of Prime Day helped Target.com advertisers
Target advertising saw a modest increase in daily spending (+8%) for their competing “Target Days” event from July 11 through July 13 compared to the thirty days prior, but saw a bigger uptick in ad-supported revenue (+28%). For this analysis, we took the average of the three days versus the previous 30 days, making the full analysis period one day longer than the comparable Prime Day analysis.
Prime Day 2022 results across categories
Prime Day continues to be perhaps the biggest boon for the Computers & Consumer Electronics category, which saw spending increase 820% (or 9.2X) over the previous 30 days and ad-supported sales revenue increase by more than a factor of 10. As a result, the technology-heavy category is one of very few that see an increase in ROAS over Prime Day. Other categories, particularly CPG categories with lower price points, make large gains in volume over the two-day period but at a cost of lower return.
Skai can help you with Prime Day and the other 363 days of the year
As part of Skai’s intelligent marketing platform, our Retail Media solution empowers brands to plan, execute, and measure digital campaigns that meet consumers when and where they shop. Built with best-in-class automation and optimization capabilities, our unified platform allows you to manage campaigns on 30+ retailers, including Amazon, Walmart, Target, and Instacart, all in one place. Client results include:
- 461% increase in Amazon Ads ROAS and 57% increase in page traffic for Bondi Sands
- 92% increase in share of voice on Amazon for a Fortune 500 CPG brand
- 72% increase in revenue for VTech
- 1,390% year-over-year sales growth for Kamado Joe
Strengthen your online retail programs with the leading omnichannel platform for retail media advertising plus paid search and paid social. See our cutting-edge platform today for yourself by setting up a quick demo.
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