Amazon's Prime Day sale has evolved from a mid-year marketing gimmick into a legitimate economic indicator, rivalling Black Friday's significance in gauging consumer sentiment and spending patterns.
Spanning four days from 8-11 July, Adobe research projects Prime Day to generate a record US$23.8 billion in online sales across American retailers - representing 28.4% year-over-year growth.
To put this in perspective, that's "equivalent to two Black Fridays" - the driver of $10.8 billion in online spending during the 2024 holiday shopping season.
The first day alone saw $7.9 billion in online sales - a 10% year-over-year growth, marking the “single biggest e-commerce day so far this year”.
Smartphone shopping is expected to drive 52.5% of online sales at $12.5 billion - up from 49.2% in 2024.

This shift reflects more than convenience; it signals a fundamental change in consumer behaviour towards impulse purchasing, with mobile devices becoming the primary gateway for spontaneous spending decisions.
A prime economic barometer
Since its debut almost a decade ago, Prime Day has become a bellwether, not only for Amazon's e-commerce business, but also for the retail industry - especially ahead of the crucial holiday shopping season.
In prior years, Prime Day sales growth helped serve as a predictor of holiday season e-commerce sales.
In 2020, for example, Prime Day's sales growth of 42.8% paralleled the holiday season's 38.1% increase, according to eMarketer data.
The event has become what economists term a "high-frequency indicator" - the type of real-time economic data that provides immediate insights into consumer behaviour rather than waiting for traditional quarterly reports.
Consumer spending accounts for over two-thirds of U.S. Gross Domestic Product, making events like Prime Day crucial gauges of overall economic health.
"High frequency data indicates a benign tariff impact so far despite gloomy sentiment," U.S. Bank Asset Management Group head Bill Merz said.
"Retail sales, credit and debit card swipes, restaurant bookings and other high frequency consumer data indicate a limited discernible impact of tariffs on macroeconomic consumer behaviour to date."
Economic context and consumer sentiment
This year's Prime Day unfolds against a backdrop of economic uncertainty, with U.S. consumer confidence worsening in June after improving in May as Americans remained concerned about tariffs' effect on the economy and prices, according to the Conference Board.
Consumer sentiment has declined 32% in May, driven primarily by tariff concerns and inflation worries.
Yet so far discounts have remained historically aggressive, ranging from 10-24% off listed prices.
Apparel leads the charge at 24% (versus 20% last year), followed by electronics at 22%.
Tellingly, consumers are "trading up" to higher-ticket items, with the share of premium goods rising 18% compared to average levels year-to-date.
Electronics saw the most dramatic shift, with expensive items increasing by 52%.