Amazon Prime Cancellation Queries Spike On Prime Day
As a shock to some, internet searches for ‘Cancelling Amazon Prime’ were reportedly eighteen times higher on Monday – coinciding with its annual ‘Prime Day’ discount bonanza.
Reported by Fortune, Captify data suggests Amazon customers are scoping for short-term deals, without wanting a long-term membership commitment:
“If Amazon is hoping to use Prime Day as a way to sign up and retain new Prime members, they might need to rethink their retention plan”
According to search, consumers are signing up for Prime, getting their deals, and then cancelling membership shortly after.”
The news comes as Amazon’s PR continues to take a hit, amid rampant staff protests over unfavourable working conditions.
Analysts forecast Amazon’s Prime member retention rate to be over 90%, featuring a slew of options (e.g. monthly memberships versus annual).
According to Consumer Intelligence Research Partners, the average Prime member spends more than double a year than non-members.
Amazon Prime Day launched in Australia in July 2018, with Prime members receiving several exclusive discounts and shipping offers, plus video streaming via Amazon Prime Video.
Australians will get access to an unprecedented 65-hour Prime Day this year, with access to many products from the US Global store via Amazon.com.au.
The promotion has seen several local retailers offer flash sales, with retail price competition intensifying during the period.