Amazon’s Prime Day happened this week and it was a great success for third-party sellers. The e-commerce giant revealed that third-party sellers on its platform had made more than $3.5 billion during the annual shopping event.
Amazon said the small and midsize businesses that sell on its marketplace saw a 60% increase from last year’s sales.
While total Prime Day figures were not disclosed, the company said that third-party sellers’ sales grew more year over year than Amazon’s retail business. In 2019, third-party sellers saw more than $2 billion in sales during Prime Day. This year, top-selling categories for third-party sellers included bedding, wireless accessories, nutrition and wellness, arts and crafts, as well as health care, Amazon said.
Prime Day, which launched in 2015, is now one of the company’s most important retail and marketing events where it can collect new Prime subscribers.
The event was expected to happen in July but due to the coronavirus had been pushed back to October. This has prompted the holiday shopping season to kick off earlier than ever.
Third-party sellers accounted for about 58% of the company’s total merchandise sold this year. At that percentage, Amazon in total may have generated at least $7 billion in sales during this year’s Prime Day. JPMorgan had projected this year’s event could bring in revenue of $7.5 billion, while eMarketer expected sales of close to $10 billion.
Amazon is expected to exceed $100 billion in quarterly revenue for the first time ever in the fourth quarter, according to analysts surveyed by FactSet.
Less than 48 hours after wrapping up Prime Day, Amazon has already moved on to offering early deals ahead of the holidays and launched its Holiday Dash deals event on Friday. The event will feature a range of new discounts each day.
To compensate for the earlier start to holiday shopping, Amazon has also extended its returns window, so that most items shipped now through Dec. 31 can be returned until Jan. 31, 2021.
Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.