For the first time ever, an online travel agency will take part in Prime Day on Tuesday thanks to a partnership between Amazon.com Inc. and the travel service Priceline.

Although retail spending has decreased, Americans have continued to spend on experiences like travel. As travel providers scramble to fill hotel rooms, Amazon is expanding its offers in an effort to increase sign-ups.

During the Amazon event on July 11 and 12, American customers will get 48 hours to take advantage of promotions, including an extra 20% off Priceline’s Hotel Express Deals, which provide 60% off rooms.

While cutting expenses and failing initiatives, the country’s top retailer by market value identified an opportunity with Priceline, a division of Booking Holdings.

According to Amazon, Priceline is the first travel company to provide an exclusive U.S. Prime Day promotion. Currently, advertisements for the booking website are displayed across Amazon’s selection of audio and streaming services.

“We want to meet customers where they are. We know travelers are shopping on Amazon and booking travel with Priceline,” said Lesley Klein, senior vice president of marketing at Priceline.

According to research company Tourism Economics, travel expenditures were up 5.5% year to date as of May 2023. According to figures from the U.S. government, overall expenditure on services increased 8% in May compared to a year earlier, while spending on products only increased 2%.

The U.S. Travel Association reports that hotel demand in May has decreased recently, dropping below pre-pandemic levels for a third straight month.

Booking Holdings has multiple websites, so this is not the first time the business has collaborated on Prime offers with Amazon. Through the end of the year, Booking.com will provide travel credits and savings to Prime members in Germany and Austria.

Amazon attempted to establish Amazon Destinations, a hotel booking site, few years ago, but it folded shortly after going live.

(Adapted from Reuters.com)