Feedvisor study on E-Commerce Shopping Trends finds, three-fourths of consumers go to Amazon when they are ready to make a purchase
Most e-commerce trends come and go. However, the latest e-commerce shopping trends would be incomplete without the mention of Amazon and their efforts in driving engagement and incentivizing conversion. Amazon continues to delight and surprise consumers and sellers with their powerful customer experience and optimized buying cycles. Compared to any other competitive e-commerce website platform, Amazon shoppers are more likely to choose products from Prime and Go shops than ever before. Holding a great deal of influence over the decisions that consumers, especially from the millennial population, make during browsing and buying on its platform, Amazon truly rules the roost.
In the latest report from Feedvisor, we found some compelling findings related to the Amazon consumer behavior and the connection between millennials and Amazon Prime shopping trends. Feedvisor is the “AI-first” optimization and intelligence platform for large sellers and brands on Amazon released the in-depth analysis in a report titled “The 2019 Amazon Consumer Behavior Report.”
Here are the key findings from the report that demonstrate the relationship between millennial e-commerce shopping trends with Amazon Prime:
Amazon Shopping Is Great for Loyal Consumers
One of the report’s most compelling findings is that shopper loyalty to Amazon is at an all-time high — a large majority of consumers (89 percent) and nearly all current Prime members (96 percent) are more likely to buy products from Amazon than other e-commerce sites.
Amazon shoppers are delighted about the seamless experience, driving them to purchase from the platform almost daily. A majority of buyers on Amazon are satisfied with the number of brands and their names they know on Amazon.
Read More: Inventory Management In E-Commerce: Improve Your Multi-Channel Strategy
Search and Purchase with a Flick of a Click
According to the report on the latest e-commerce shopping trends, Amazon is the go-to destination for search and purchase.
“For retailers and brands, a critical part of demand generation on the
platform is product advertising — both within the Amazon marketplace
and across Amazon’s programmatic DSP network. This becomes
increasingly important as nearly half of consumers (44%) are not
generally going past the second page of search results.” –Dani Nadel,
President and COO at Feedvisor
[Source: The 2019 Amazon Consumer Behavior Report]
Two-thirds of consumers (66 percent) typically start their search for new products on Amazon, and nearly all (95 percent) are satisfied with Amazon search results. When consumers are ready to buy a specific product, nearly three-fourths (74 percent) go to Amazon to do so.
Amazon Prime Reigns Supreme
Three out of four Prime members search specifically for Prime-eligible items on Amazon.
Amazon’s Personalization Engine and Ad Experiences technology are so effective that they help drive add-on purchases. Nearly 50% of the buyers notice other product suggestions and click on those to read about product detail page.
Among all the purchasing trends on e-commerce, Amazon Prime reigns supreme, especially among the millennial buyers. Of the consumers who make a purchase on Amazon daily or almost every day, a large majority (89 percent) are Prime members. Moreover, Prime eligibility is a significant factor for most consumers (67 percent) when choosing to purchase a product on Amazon.
Ad Experience on Amazon is Seamless and Disruption-Free
Millennials are easily distracted with website ads that impact user experience. Clearly, these consumer group prefers to skip ads and bounce off from the website. Some never return due to bad, disrupted ad experience during the purchasing journey. Amazon has mastered the art and science of keeping the consumer glued to the website, despite tons of advertisements running on the website.
Nearly three-quarters (73 percent) of daily or almost daily online shoppers have clicked on an Amazon product ad while browsing the web, and 83 percent ultimately purchased the product. Three-fifths (60 percent) of daily shoppers found those ads to be helpful. Moreover, when browsing on Amazon specifically, more than three-fourths (76 percent) of daily Amazon shoppers have clicked on a product ad.
Read More: Is Voice-Enabled Shopping Retail’s Missing Link?
Private Labels – A Popular Choice
Yes, a large number of online buyers on Amazon are now aware of the in-private labels offered by the e-commerce website. Majority of consumers have tried products from an Amazon-owned brand.
More than three-fifths of consumers (61 percent) are aware that Amazon has its own brands, and 60 percent of consumers have purchased a product from one of those brands before. Of those who are unaware or unsure of Amazon’s private label brands, 62 percent said that they would be interested in trying one of these products in the future.
Dani Nadel, President and COO, Feedvisor, said, “Our study confirms that Amazon is at the center of the customer’s purchasing journey, so it should be at the center of every seller and brand’s e-commerce strategy.”
Dani added, “Today’s consumers actively seek brands they know, are heavily influenced by price, rarely search past the first two pages of search results, and frequently buy the first product listed. With these evolving behaviors and expectations, brands and retailers need to optimize their content, strategically advertise, and price competitively. With a holistic Amazon strategy, they can connect and engage with high-value prospects and loyal consumers.”
Although consumers are drawn to the convenience of Amazon and the breadth of its inventory, the research reveals that access to brand names is critically important — and there is room for improvement.
Loyalty Stick Out with Brand Specificity
Consumers are eager for more brands to have a presence on Amazon.
Of the consumers who shop on Amazon daily, all of them (100 percent) at least occasionally go to Amazon in search of products from specific brands. However, less than half of consumers (41 percent) strongly agree that they are satisfied with the number of brands they know on Amazon.
Looking ahead, consumers are also open to trying many of Amazon’s newer technologies and experiences. As Amazon leverages tactics like free shipping during its annual sales events, many consumers are already planning to make a purchase during the 2019 promotions.
Read More: 5 Strategies To Boost Online Post-Holiday Sales
Holidays and Sale Event Swing In Amazon’s Favor
Come holidays and millennials and older buyers spend 10x times more on Amazon to purchase their gifts and grocery items. Many consumers plan to shop during Amazon’s 2019 sale events. This year, two-fifths of consumers (41 percent) are planning to make a purchase during Black Friday, followed by Cyber Monday (40 percent), and Prime Day (31 percent).
Another startling e-commerce shopping trend — nearly half (48 percent) of current Prime members plan to make a purchase during this year’s Prime Day event.
Majority of frequent shoppers will try voice and other Amazon experiences: Nearly two-thirds (63 percent) of shoppers who purchase on Amazon daily are likely to get a voice-assistant device (VAD) in the future. Similarly, 70 percent of those who make a purchase on Amazon daily or almost daily are very likely to visit an Amazon Go store in the future.
Product Segmentation, Fake Products and Review Section: Where to Draw the Line
Between website and mobile, millennials are more likely to choose the latter, clearly driving the focus toward mobile commerce. As other technologies in e-commerce such as Voice Search, IoT, and AR/VR experiences come of age, we can expect Amazon shopping trends to further explode. The current pain points lie with the inadequate product segmentation, fake items and ingenuine product reviews provided from the consumers or paid syndication sources.