U.S. online retail spending rises during Amazon Prime Day as shoppers chase discounts

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U.S. retail spending rises on Prime Day

Highlights

U.S. online shoppers spent more than $26.4 billion during Amazon Prime Day from June 23-26, up 9.3% from last year, driven by strong discounts.
Average Prime Day discounts hold steady with electronics and apparel at 24% versus 23% and toys at 20% versus 19% a year ago, as retailers push high-ticket items.
Numerator survey shows average Prime Day order size declines to $47.66 from $53.34, highlighting consumer budget constraints amid value-focused purchasing.

Prime Day spending driven by discounts

As reported by Adobe Analytics, U.S. online shoppers spend more than $26.4 billion from June 23 through June 26 during Amazon.com's annual Prime Day sales event, a 9.3% increase from a year earlier.

Adobe says strong markdowns during the four-day event push consumers toward higher-priced items such as electronics, toys, appliances and personal care products. The data suggests retailers may need to keep offering steep discounts to move inventory during the holiday shopping season.

Prime Day discounts are broadly in line with last year, with electronics averaging 24% versus 23% a year earlier, apparel at 24% versus 23%, and toys at 20% versus 19%.

Signals of pressure on U.S. consumers

Retail analysts say the spending pattern reflects a value-focused consumer rather than broad-based strength. CFRA Research analyst Arun Sundaram says tax refunds could have provided a meaningful boost to discretionary purchases, but that support is unlikely to carry into the fall and winter shopping months.

According to U.S. Internal Revenue Service data cited in the report, average tax refund amounts increase 11.1% to $3,462 in 2026. Sundaram says that extra cash likely helps shoppers make purchases they had previously postponed.

Consumers also buy children's items and apparel ahead of the back-to-school season, along with personal hygiene products and home goods. Sonia Lapinsky, managing director of retail at Alix Partners, says the pattern points to fatigued shoppers who are trying to stretch budgets through deals rather than materially increase spending.

A separate Numerator survey tracking more than 178,000 Prime Day orders shows the average order size falls to $47.66 from $53.34, another sign that consumer spending power is weakening.

Kohl’s turnaround strategy under CEO Michael Bender centers on winning back middle-income shoppers by returning to proprietary brands and familiar promotions like coupons and Kohl’s Cash. Our earlier article noted that while recent results and a sharp rebound in the share price suggest some stabilization, the retailer still faces intense competition from value-driven rivals and must prove it can turn discount-led demand into sustained growth.

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