Amazon’s Prime Day in 2022 & fewer private label Amazon brands

However, in the US, the number of Prime subscribers has stopped growing in the first half of 2022 – which is the first time in years. With a recent investment in food delivery service Grubhub and a free subscription to its premium member service being included in Prime, Amazon has come up with another incentivation for new users though.

In Europe, Amazon has signaled a willingness to make a compromise to end the antitrust dispute with the EU. The suggested actions to be taken by the Seattle-based company include no longer using insights from seller data for its own products, amongst other things. Almost at the same time, it was announced that the range of Amazon’s own brands will be reduced – the company seems to be serious about its intentions after all.

Updates: Amazon

How successful was Amazon’s Prime Day in 2022?

The “biggest Prime Day event ever” – what’s the truth to this yearly recurring announcement from Amazon? This year, it seems like Amazon’s sales during the membership event grew once again though: According to the company, Prime customers around the globe purchased more than 300 million products and saved $1.7 billion thanks to discounts on July 12 and 13 – more than on any Prime Day before. However, Amazon still does not publish exact sales figures. In the US, Amazon extended its Prime Day reach with its “Buy with Prime” integration for third-party online stores for the first time. The halo effect apparently benefited the entire US e-commerce market, generating $11.9 billion in sales during the two event days – which is an increase of 8.5% compared to Prime Day in 2021.

Amazon offers a compromise in antitrust dispute with EU

Amazon has made concessions in the antitrust dispute with the EU to end the proceedings, which have been ongoing since 2020. For example, the company is now offering to stop using sellers’ data for its retail business, to let Prime sellers choose a logistics provider themselves, and to treat all sellers equally when it comes to profit in the Buy Box. In some cases, there will even be a second Buy Box. Amazon competitors have time to comment on the proposed compromise until September.

Fewer private labels by Amazon

Amazon is planning to drastically reduce its range of own brands, according to concurring media reports. This action is being taken due to the ongoing criticism that the company was using Seller Insights for its own products (see previous news) and because of poor sales figures. If the offering of the 45 company-owned private labels gets actually reduced, this could mean a boost in visibility for many other products and brands that were previously at a disadvantage against the group’s strong own brands.

Amazon takes a stake in Grubhub

Amazon is investing in food delivery service Grubhub, expanding its Prime offering in the US. Prime subscribers can now sign up for a year-long “Grubhub+” membership for free as part of the partnership. After its investment in Deliveroo in the UK, this arguably is Amazon’s next attempt to finally gain a foothold in the competitive food delivery market.

The number of Prime memberships stagnates in the US

After announcing an increase of its monthly fee, the number of Prime memberships in the US failed to grow in the first half of 2022 – for the first time in several years. In 2020 and 2021, a total of 60 million new Prime subscribers was added. Higher prices combined with the current inflation and a return to old shopping habits from before the COVID-19 pandemic appear to have noticeably cooled demand in the United States at the moment.

Updates: E-Commerce

Walmart announces higher logistic fees

Walmart has announced it will start charging a fee for transporting goods to its warehouses and stores in August. Increased transportation and fuel costs were cited as the reason. The fee is to be prorated based on a product’s value and fuel prices. Walmart says the move will help the company keep consumer prices down. Amazon already raised its fees by 5% in the spring.

Big e-commerce potential for the grocery industry in the US

In the US, digital grocery is becoming increasingly important and already accounts for 11.2% of total grocery sales. According to Insider Intelligence, a growth of 20.5% (reaching a total market volume of 147.51 billion $) is possible this year. By 2025, this figure is expected to be as high as 243 billion $. With market shares of 28.9% and 23.8%, Walmart and Amazon are the most dominating players in the country.

What caught our attention

Within the “Home, Garden & Pets” category, we have discovered a new feature called “Showroom”. The new functionality makes it possible for customers to choose between different rooms and furnishing styles and then place the desired products in them for illustration purposes. In some cases, selected pieces of furniture are integrated in a “Showroom” directly on the PDP as a Gallery Image.

Remdash: Vendor & Seller Central Revenue

Remdash enables the tracking of own revenues from Vendor Central and Seller Central. Among others, users can:

• Filter Ordered Revenue vs. Shipped COGS
• Compare product groups with each other
• Compare individual ASINs with each other
• Compare global sales with sales on individual national marketplaces

Interested in Remdash?
Just click here to schedule a personal product demo with our team.

Top 5 Amazon Keywords

Besides the effects of the current heat wave in Europe, it is easy to spot the most popular category on Prime Day: Electronics. German Amazon customers recently also searched specifically for bargains by Makita, a tool brand. In Italy and the US, Apple products were also very popular in during the past week.