Is Prime Day still worth it?

The Marketplace Boom // June 20, 2026 Is Prime Day still worth it? By Melissa Daniels Subscribe: Apple Podcasts • Spotify Amazon Prime Day isn’t as essential as it once was. But for some brands, it can still provide a meaningful sales boost.

On this week’s episode of the Modern Retail Podcast, special projects editor Melissa Daniels spoke with Katherine McKee, the fractional head of growth at Morphology Consulting, to break down the pros and cons of participating in the four-day sales event that is scheduled for June 23 through June 26. Here’s a breakdown of the conversation.

How Prime Day is resonating in 2026 This year, having Prime Day in June has meant some brands have had to rush inventory. McKee said that she’s heard some apprehension from sellers who decided to sit out the event rather than wait for the earlier date to be confirmed.

And those participating are also being cautious about how large a discount they’re offering. As Modern Retail’s Allison Smith reported this week, sellers are looking to protect their margins even if demand is there.

“A lot of brands are feeling that it’s a lot of work, it’s kind of expensive, and they’re not sure if the juice is worth the squeeze,” McKee said. Some of the deals advertised so far include up to 40% off fashion, up to 30% off electronics, and up to 30% off beauty and personal care categories.

Amazon Haul will also be half off all day on Day 1, according to a press release from Amazon. The margin math of Prime Day Marketing is one of the biggest cost drivers for participating in Prime Day, McKee said, across search, display and other channels. “To get your fair share of traffic, you’re going to have to pay for some of it.”

Promoting stores starts weeks in advance of Prime Day to help get on customers’ radars and improve rankings, but this leads to higher-than-usual CPCs. McKee said she sees brands doubling or even tripling their budget for the month of the promo to accommodate the bump. “We’re moving from things that should be eight cents a click to $2 a click.

That’s an enormous increase,” she said. Taking into consideration the discounts that they’re offering as well as the marketing costs, McKee said brands may not come out ahead, even if they end up seeing a high volume of sales.

“I’ve seen a lot of brands come back and do a P&L on just Amazon and be like, ‘Wait a minute, we’re moving so many units, but we’re not making a ton of money,'” she said. Pros and cons of participating Beyond the costs of participating, Prime Day can be a challenge for brands to participate in because of the timing and precision involved.

Selling out or having shipping errors can come with penalties, McKee said. Overall, it’s up to brands to figure out their specific cost of participation and what gains they may be able to reap. Performing well at a high-value event like Prime Day can yield dividends, McKee said.

She said brands that sell on Amazon can consider participating in some but not all of Amazon’s four high-value events — whether the March Spring Sale, Prime Day, Prime Big Deal Days in October or “Turkey 12,” which runs for the Black Friday and Cyber Week stretch.

“The more you hit your page with traffic, the higher and better you’ll perform six months from now or a year from now,” she said. “It really does feed the flywheel. It really does feed the algorithm, and it really matters a lot to your future growth.”