Amazon may have created Prime Day, but today it’s now far from an exclusive event. In the wake of another year of record-breaking success, other retailers rallied around this sale with offers of their own. Whether it’s Target’s Deal Days, Best Buy’s Flash Sale, or the Beyond Big Savings Event from Bed Bath and Beyond, businesses are now treating Prime Day as a major shopping holiday. In fact, some companies, like Walmart, even take it a step further – doubling Prime Day’s 48-hour window to a full four-day shopping extravaganza.
Part of what fuels Prime Day’s success is its ability to offer deals on just about everything. Regardless of who you are or what you need, chances are there’s something that will catch your attention. Over the last two years, that “something” has increasingly become an Amazon marketplace item from a third-party seller. This year third-party marketplace sales grew at more than double the rate of Amazon’s own products (12% vs 5%) according to Digital Commerce 360.
This trend is, in fact, far larger than Amazon: Mirakl’s Enterprise Marketplace Index found that marketplaces grew by an astounding 81% year over year in the fourth quarter of 2020, double the rate of overall eCommerce.
The hunt for new deals leads consumers to fresh destinations
Already online, customers are using this shopping window to explore what else is available. For example, loyalty provider Clarus Commerce found that 58% of people planned to price check Prime Day deals. As shoppers move from site to site, events like this are a chance for businesses to attract new customers.
At Mirakl, it’s no wonder that our customers were beneficiaries. During Amazon’s two-day event, Mirakl-powered Marketplaces in North America saw a 15% growth in gross merchandise value compared to the previous week. In their search for the best deals, shoppers were inspired to look beyond Amazon’s website, even during the retail giant’s signature sale.
Our customers actively leveraged the momentum to further their own success. Click Frenzy, an iconic Australian eCommerce site, elected to launch their online marketplace – Click Central – during this year’s Prime Day event in order to capitalize on the eagerness of shoppers. The site is a showcase for local merchants and features more than 120,000 products. Powered by the Mirakl Marketplace Platform, Click Frenzy was able to develop, launch, and scale the site in just three months.
“Launching a marketplace as an extension to our events allows us to reach and reward our loyal shoppers year-round and opens up a new avenue of brands and products,” says Grant Arnott, Managing Director of Click Frenzy.
Delivering when others can’t
So, how do you take advantage of this trend – and use it to your advantage – for the next eCommerce event: whether that’s Prime Day, back-to-school shopping, Single’s Day, or even Black Friday? The answer lies in the marketplace model, and its ability to offer customers exactly what they’re looking for as they shop around. Furthermore, you have the ability to provide a curated selection of items your customers actually want, at scale, beyond the constraints of owned inventory and with greater speed and customization than has ever been possible.
First impressions are critical, so when someone visits your site are they easily able to find what they’re looking for across the entire assortment? By incorporating online marketplace offers into your eCommerce presence, shoppers can quickly and effectively browse your full selection, comparing items by what’s most meaningful to them – whether that’s price, color, shipping time, or something else.
The marketplace model offers another, unique advantage as it allows you to pull from an entire ecosystem of sellers. Rather than relying on a single supplier, you have an army of high-quality sellers ready to meet customers’ demands. Utilizing this ecosystem affords your business the flexibility to deliver exactly what your customers are searching for, even when your competitors are struggling with shortages or supply disruptions.
While Amazon Prime Day is one of the first hyper-successful digital-native online shopping events, it won’t be the last. By embracing the marketplace model, you’re setting up your business to successfully navigate this changing eCommerce environment - maximizing not just today’s opportunities but also avoiding future challenges in the race to win shoppers' hearts and wallets.
Interested in learning how an online marketplace can elevate and scale your business? Schedule a time to speak with a Mirakl marketplace expert.
Written by Joe Sawyer
Chief Marketing Officer at Mirakl