Breaking: Amazon Prime Day Traffic Drops 41% on Opening Day

Amazon's Prime Day, once considered a benchmark for consumer confidence and online retail strength, is off to a rocky start in 2025. According to new data reported by Bloomberg, first-day website traffic for Amazon Prime Day has plummeted by 41% compared to last year. This decline marks a sharp departure from the platform’s previous momentum and raises serious questions about shifting consumer behavior and economic sentiment.

A Slower Start Than Expected

Despite expanding Prime Day into a four-day event from July 8 to July 11—the longest in its history—Amazon is seeing far less engagement than anticipated. Data from Momentum Commerce also shows that sales during the first four hours of the event were down approximately 14% year-over-year.

Historically, Amazon’s Prime Day generated a surge of online traffic and spending in its first few hours, making this drop-off a notable departure from previous trends.

Why the Drop?

Extended Format Reduces Urgency

By stretching the sale across four days instead of the usual two, Amazon may have diluted the urgency that typically fuels a rush of early purchases. Shoppers no longer feel the pressure to act immediately, and the "limited-time offer" energy may be waning.

Economic Headwinds and Cautious Spending

Consumers are facing higher prices, student loan repayments, inflation concerns, and uncertainty around global economic conditions. These pressures may be causing people to tighten their wallets—even for deeply discounted products.

Fewer Deals and Tariff Concerns

Several vendors are reportedly less aggressive with discounts this year, largely due to inflation and tariff concerns that are impacting electronics and imported goods. The result: fewer doorbuster deals and less excitement among early shoppers.

What This Means for Amazon and Retailers

This steep decline in traffic and slower sales growth on Prime Day may signal broader issues in the e-commerce and consumer retail sectors.

• Investor Confidence: Amazon’s stock saw minor fluctuations following the Bloomberg report. A prolonged drop in performance could lead to reevaluated forecasts.

• Retail Strategy: If Amazon can't regain momentum over the next few days, it may be forced to rethink how it structures and markets future Prime Day events.

• Competitor Advantage: Walmart, Target, and other major retailers are also running sales during this week. If Amazon fails to dominate traffic and sales, it opens the door for competitors to grab market share.

  
  

What to Watch Moving Forward

The next few days will be critical. Amazon still has time to turn things around with stronger deals, targeted email marketing, and homepage takeovers. If traffic continues to slump through Days 2–4, it could confirm a fundamental shift in consumer habits—or a need for Amazon to significantly revamp its approach.

Key areas to watch:

• Mid-week sales performance

• Consumer sentiment and media response

• Competitor pricing strategies

• Post-event analysis and revenue reporting

While it's too early to call this year’s Prime Day a failure, the numbers so far are alarming. A 41% drop in first-day traffic is not a minor fluctuation—it’s a red flag for retailers and investors alike. The next 72 hours will be critical not just for Amazon, but for the broader retail ecosystem that often follows its lead.

As more data becomes available, we’ll continue to analyze and break down what this means for e-commerce in 2025.