July 15, 2024
US
For two days, Amazon's super-promotion operation is expected to end with record sales of 14 billion dollars in the United States.
Prime Day isn't just a commercial event, it's a real institution. Organized by the American e-commerce giant Amazon, this annual super-sale event will take place on Tuesday 16 and Wednesday 17 July this year. Experts are already forecasting a new sales record for this 10th edition.
“Data in March showed that 75% of American shoppers were members of Prime, and last Thursday's report revealed that inflation in the United States had slowed to its lowest rate in a year. Prime Day should be one of the main shopping events of the year, along with Black Friday and Christmas,” said Sam North, market analyst at eToro.
According to forecasts by Adobe Analytics, a company specializing in the analysis of online transaction data, Amazon could reach around $14 billion in sales from members of its Prime loyalty program in the United States, an increase of 10.5% compared to 2023, an already exceptional year with $12.7 billion in sales.
Adobe is planning bigger promotions this year: around 20% off clothing and 22% off electronics, up from 12% and 14% respectively in 2023. Furniture prices could benefit from a 17% discount, while sporting goods could be discounted by 11%. “We expect strong momentum going back to school,” said Vivek Pandya, chief analyst at Adobe. “Shoppers are now more likely to spend and are using Prime Day as a back-to-school shopping opportunity.”
In terms of revenue, Prime Day accounts for between 1% and 2% of Amazon's net global sales, according to data compiled by CFRA Research. Nevertheless, this event is crucial for the American giant, as it allows it to demonstrate its supremacy in e-commerce and to promote its Prime program.
Launched in 2015, this program, for a subscription of $139 in the United States, offers benefits such as shipping discounts, video streaming, or free photo storage on the Amazon cloud. Prime Day is also a showcase for showing the efficiency and speed of Amazon's delivery services.
The success of this event inspired other players in the market: Walmart, Target, and TikTok Shop are also offering their own deals to attract consumers in the run-up to Prime Day. Retail competition is increasingly focused on services and prices.
Source: Les Echos invest
