Restaurants Don’t Miss Out on Amazon’s Prime Day

 

Regular readers of this blog know that Amazon has now invested in GrubHub and Amazon Prime members can get one year of GrubHub+ for free. Yes, free restaurant meal delivery. Branded, full flavored, craveable menu items delivered to their home. 

If you are not offering your meals on GrubHub you just might want to consider it becaue Amazon Prime Day is a big thing according to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.  Johnson, stated, Prime Day edifies Amazon Prime with consumers and a year of GrubHub+ reinforces the ‘halo’ of all things Amazon does that consumer’s like.”

Here is some of what you should know, it's not just electronics, and gifts that Amazon customers will be looking for during this summer's Prime Day event, happening July 12–13: Data tracker,  Numerator says that for the first time, Amazon is "poised to capture a record-high 20%-plus CPG share this Prime Day." More than half of U.S. households—53%—have an Amazon Prime membership, according to Numerator, and in a survey, 65% of Amazon customers said they plan to shop on Prime Day.

Think about this, Amazon’s CPG share has grown across every Prime Day event in the past three years, Numerator reported, from 16.2% on Prime Day 2019 and 18.3% on Prime Day 2020 to 19.1% during Prime Day 2021. Additionally, according to Numerator, Amazon’s CPG share increases four to five times on Prime Day: In 2021, it was 4.7% the month before Prime Day, 5.7% the month of Prime Day, and 19.1% during the two-day Prime Day event.

In a trend accelerated by the COVID-19 pandemic, consumers today "are more accustomed to buying their everyday goods online," Numerator CEO Eric Belcher said in a statement. "This year on Prime Day, consumers will be looking for deals on essential goods in addition to electronics and gifts," he stated.

Prime Day also has an impact on in-store sales for both small and large retailers. In 2021, smaller retailers experienced a 10.5-point CPG share decline from the prior month while Prime Day was taking place. Walmart saw an in-store sales share decline of 2.1 points; Kroger and Costco saw smaller share-of-sales declines of 1.4 percentage points and 1.2 percentage points, respectively.

Within the household and baby product sectors, Amazon sees share gains of 3.8 points in household and 3.7 points in the baby on Prime Day, taking share of sales primarily from Walmart, which sees its share of sales decline 1.4 percentage in household goods and 1.7 percentage points in baby products during Prime Day. 

Amazon leads Walmart in awareness of its members-only deals event, too: In Numerator's late June poll—still weeks ahead of this year's Prime Day—47% of Amazon shoppers said they were aware of Prime Day 2022, with more than a quarter saying they found out about it the day the event was announced. That compares with 33% of Walmart.com shoppers who said they knew about the Walmart+ Weekend sale event as it was taking place June 2–5.

Amazon’s Prime day will be top of mind for well over 50% of Americans.  Fresh Meals are top of mind for all Americans daily and with Amazon Prime you get a year of GrubHub+.  Think about it.

For international corporate presentations, regional chain presentations, educational forums, or keynotes contact: Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions.  His extensive experience as a multi-unit restaurant operator, consultant, brand / product positioning expert, and public speaking will leave success clues for all. For more information visit GrocerantGuru.com, FoodserviceSolutions.US or call 1-253-759-7869