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Analysis: Consumers not rushing to Amazon Dash

4/4/2016

Although Amazon.com recently more than tripled the number of items available via its Amazon Dash buttons and cited some impressive growth statistics, actual use may be relatively low.



According to daily analysis of a panel of more than 4 million online shoppers from digital commerce research firm Slice Intelligence, fewer than 50% of people who had bought a Dash button before Amazon expanded the assortment on March 31 had ever actually made an order using one.



According to Amazon, in the past three months, Dash button orders have grown by more than 75%, with customers using the buttons more than once a minute. Dash buttons are available to Prime members for $4.99 each, with a $4.99 credit after the first order.



Data from Slice Intelligence indicates that for Dash button purchases made prior to March 31, the average spend per order has varied between $10.76 and $27.11, with Bounty having the highest average spend. On average, Dash Button users order items about once every two months



Slice Intelligence analysis also shows that the typical Dash button buyer displays the stereotypical characteristics of a technology “early adopter” – male and affluent. According to Slice, as traditionally seen with early products, the buttons are only being purchased by a very small subset of the online shopping population. With the introduction of more brands, the buttons may be adopted by a larger set of consumers.



The top-selling button available to buyers is for Tide. The Tide SKU available is for the 81-count package of Tide laundry pods, priced at $19.97. The other CPG brands in the top 10-selling button list are Cottonelle, Bounty, Glad, Gatorade, Mrs. Meyer’s, Gillette, Smartwater, Ziploc and Huggies.


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