75% of Shoppers Hit Prime Day, Walmart+ Sales Looking for Deals

A recent PYMNTS Intelligence report, “BNPL Fuels Essential Spending Surge on Amazon Prime Day, Walmart+ Week,” compares data from this year’s Amazon Prime Day and Walmart+ Week special sales events. PYMNTS Intelligence has tracked evolving consumer behaviors during these major sales, shedding light on key insights for executives, merchants and consumers alike.

Sales Events: A Membership Perk, Not a Subscription Driver

Amazon Prime Day and Walmart+ Week are seen by most consumers as opportunities to snag good deals on frequently purchased items rather than motivators to join these paid memberships. Data reveals that about 75% of shoppers participated in these events primarily to find deals on products they regularly buy. These sales, however, are not the primary reason consumers subscribe to Amazon Prime or Walmart+.

According to the report, 80% of Amazon Prime subscribers cite free shipping as their main reason for joining, with 57% specifically highlighting it as the most important factor. Similarly, 61% of Walmart+ members value free shipping, while 49% appreciate grocery delivery. Only 30% of Walmart+ subscribers and 23% of Amazon Prime members joined for the sales events themselves.

This suggests that while these events are attractive perks, they are not strong drivers of membership. For Amazon Prime and Walmart+, there is an opportunity to enhance the impact of these sales to convert more non-subscribers into members.

Rising BNPL Usage Among Shoppers

The use of buy now, pay later (BNPL) services has seen a notable increase among shoppers during Amazon Prime Day and Walmart+ Week. This year, 5.2% of Amazon Prime Day shoppers used BNPL, a rise from 3.3% last year. Walmart+ Week saw a higher percentage, with 7.2% of shoppers using BNPL, up from 5% in 2023. Despite being a smaller segment of the overall payment options, BNPL’s popularity is growing, reflecting its appeal as shoppers take advantage of sales to stock up on essentials.

During Amazon Prime Day and Walmart+ Week, shoppers used a diverse range of payment methods. Debit cards were most common, with 62% of Walmart+ Week shoppers and 52% of Amazon Prime Day participants opting for them. Credit cards followed, with 46% of Prime Day shoppers using them compared to 43% during Walmart+ Week. Digital wallets saw significant use at Walmart+ Week, with 40% of shoppers using services like PayPal and Walmart Pay.

Paycheck-to-Paycheck Shoppers Turn to BNPL in Greater Numbers

The rise in BNPL usage is pronounced among paycheck-to-paycheck consumers. This year, 12% of Amazon Prime Day shoppers who struggle financially used BNPL to make purchases, nearly doubling the previous year’s 6.4%. At Walmart+ Week, approximately 14% of paycheck-to-paycheck shoppers used BNPL, a significant increase from 6.2% last year.

In contrast, BNPL usage among shoppers who do not live paycheck to paycheck remains low, with only 2% using the option at both events this year. This pattern suggests that financially constrained consumers are more inclined to rely on BNPL to manage their spending during sales events, while those with more financial flexibility use other payment methods.

While Amazon Prime Day and Walmart+ Week offer valuable perks for current members, they are less effective at driving new subscriptions. The increasing reliance on BNPL among financially constrained shoppers highlights the importance of providing flexible payment options to meet diverse consumer needs. As these sales events evolve, focusing on these insights will be crucial to enhancing membership strategies and improving customer engagement.