Amazon Prime Sales Plummet on First Day of Prime Day 2023, Bloomberg Reports

Amazon's Prime Day sales fell 41% on the first day compared to last year, according to Momentum Commerce. CEO John Shea attributed this to Amazon's four-day strategy, saying the company sacrificed sales on Day 1 for a potentially successful campaign. This marks a wild and uncertain year for Amazon's sales.

Amazon's Prime Day sales experienced a notable dip on the first day of the event, according to Momentum Commerce, a leading sales management company. The company reported a 41% decrease in sales compared to last year, marking a significant shift in consumer behavior [1].

Momentum Commerce, which manages sales for popular retailers accounting for $7 billion in spending on Amazon, attributed the slow start to Amazon's extended four-day Prime Day strategy. The company projects a 9.1% growth in sales for the entire event, down from an earlier 14% growth projection [1].

Despite the initial slowdown, Momentum expects the extended event to drive overall sales growth. The company noted that sales for their 30 million products on Amazon were still up 477% compared to an average day over the past month, indicating potential for increased spending in the remaining days of the event [1].

The extended Prime Day event is part of Amazon's strategy to capitalize on increased competition from other retailers, such as Walmart and Target, which are also running promotions during the same period. Adobe Analytics predicts that the four-day event will generate $23.8 billion in sales, a significant increase from last year's $14.2 billion in two days [2].

The clothing sector is expected to see the largest discounts, with an anticipated 24% off, compared to 20% last year. Other categories such as appliances, toys, and computers also have price reductions, ranging from 12% to 16% [2].

The extended Prime Day event coincides with the back-to-school season, which is likely to drive increased demand for school supplies, clothing, and electronics. Additionally, the use of Buy Now, Pay Later (BNPL) services is expected to account for 8% of spending, up from 7.6% last year [2].

In summary, Amazon's Prime Day sales saw a significant drop on the first day, but the extended event is poised to drive overall sales growth. The shift in consumer behavior and increased competition from other retailers are key factors influencing this year's sales performance.

References:
[1] https://www.forbes.com/sites/zacharyfolk/2025/07/09/amazons-day-1-prime-day-sales-dropped-41-report-finds/
[2] https://lnginnorthernbc.ca/2025/07/09/amazon-prime-day-equals-two-black-friday-says-adobe/