by winston » Mon Oct 17, 2022 9:17 am
not vested
Amazon shoppers appear to have shrugged off promotions for discounted phone chargers and air fryers during this week’s Prime Day-like sales bonanza.
The 48-hour event, dubbed the Prime Early Access sale, ran through Wednesday.
For Amazon, the event tested how members of its Prime subscription program would respond to two major discount events in the same year, after the company’s main Prime Day sale in July.
Amazon on Thursday said that tens of millions of Prime members ordered more than 100 million items from third-party vendors.
It disclosed little else about the results, such as sales figures. But data collected by third-party analysts gives a deeper look into how the Prime Day sequel went over with shoppers compared to Amazon’s sales event in July.
Sales during this week’s event seemed “lighter” compared to Prime Day in July, Bank of America analysts said.
They estimate Amazon brought in $5.7 billion in revenue from the Prime Early Access Sale vs. $7.5 billion in July.
Commerce data company Klover said it observed slower spending and volume, noting transaction frequency was down 30% between the July event and October event.
Comment: The Prime Early Access Sale event faces tough comparison to this year’s Prime Day, which was referred as the “biggest Prime Day event” by Amazon.
We suspect consumers may have already spent their shopping budget during the July event and decided not to make any more purchases.
Nonetheless, we feel that the October event has helped in boosting Amazon’s 4Q22 performance and clearing the currently high level of inventory.
Our NEUTRAL rating and target price of US$133.00 for Amazon is maintained.
Source: Phillips
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
