The beautiful (US) country on the other side of the ocean is experiencing inflation with an inflation rate reaching a 40 -year high. After the Fed's strong interest rate hike, various parties predict that the US economy may shrink. After the price rises, the consumption behavior of most Americans is also changing. Maybe it will affect this year's Amazon Prime Day membership day.
Since the outbreak of the new crown epidemic, the US government has launched a huge spending bill to protect families and businesses from the impact of the epidemic. The behavior of local tyrants to directly send money has directly increased demand and led to a rapid economic recovery, but it has pushed up commodity prices, triggering inflation.
The latest data from the U.S. Department of Labor shows that in May 2022 , the U.S. consumer price index ( CPI ) rose by 1% month – on -month and 8.6% year -on – year . So far, the US CPI month-on-year increase has exceeded 8% for three consecutive months . The U.S. producer price index ( PPI ) rose 0.8% in May , the 25th straight month of gains.
On June 16, Beijing time , the Federal Reserve announced to raise interest rates by 75 basis points, and said that it may raise interest rates by 75 or 50 basis points in July . Federal Reserve Chairman Powell said: The Fed will be firmly committed to reducing inflation and must bring inflation back to 2% ; any rate hikes , including 100 basis points, are not ruled out. This could slow U.S. economic growth and even plunge it into recession.
The Federal Reserve hopes to raise interest rates to give the U.S. economy a soft landing, attracting global investors to continue investing in the United States. Interest rates are only one aspect of inflation. Factors such as the impact of the epidemic and the Russian-Ukrainian conflict combined with commodity prices, especially the sharp fluctuations in food and energy prices, may make the US economy lose the possibility of a soft landing.
The "Washington Post" article pointed out that the Fed's interest rate hikes will increase the prices of mortgages, auto loans and various business investments. Americans are suffering from higher interest rates: rising house prices, smaller pensions, layoffs, and they need to pay more than ever for gasoline, groceries and almost everything else.
A new round of economic forecasts released by the Federal Reserve suggests that unemployment will inevitably rise, economic growth will slow but inflation will take longer to fall. In the long run, in order to curb inflation and lower prices, raising interest rates is a necessary measure, which not only restrains consumer spending, but also ultimately reduces consumer demand for goods and services.
A U.S. opinion poll found that most Americans believe inflation will worsen and are adjusting their spending habits, a mentality that could send prices soaring further. In an inflationary environment, this year's Amazon Prime Day may have two extremes: double the sales, or halve the sales. Americans may take advantage of the membership day promotions to purchase a large number of products for daily needs, and household daily necessities will remain popular categories; they may also reduce online shopping in order to increase daily expenses (food, gasoline, rent, etc.).
The U.S. economy is bound to have an impact after the interest rate hike in June , and all parties are worried. As an Amazon seller, if you want to break through the store performance, you have to look at the Amazon prime day membership day in 2022 ( held from July 12th to July 13th ) . As many as 24 sites around the world participated (Sweden, Poland, Egypt participated for the first time). The most in history.
Other sites participating in Member Day include Austria, Australia, Belgium, Brazil, Canada, China, France, Germany, Italy, Japan, Luxembourg, Mexico, Netherlands, Portugal, Singapore, Spain, United Kingdom, United States, India, Saudi Arabia and United Arab Emirates . Among them, Amazon Prime Days for sites in India, Saudi Arabia, the United Arab Emirates and Egypt will be held later this summer.
Looking at historical data, Amazon Prime Day sales continue to grow every year: $ 10.4 billion in 2020 sales ; $ 11.2 billion in 2021 ( 65% from the US). Although the general environment in the United States is not good, the traffic on the membership day will be the highest in the year, which is a key node for Amazon sellers to sprint their performance. Doing all the preparations will still have a chance to win in this global traffic battle. top spot.
Data source: DigitalCommerce360
How to prepare for Amazon Prime Day ? In addition to optimizing the main image and keywords of the store, Amazon sellers must not miss the report of the treasure of the town store ( DOTD ), seckill ( LD ), coupons and Prime exclusive discounts .
Opportunities are reserved for the prepared sellers! I wish all sellers on the 2022 Amazon Prime Day membership day to attract huge orders and double their performance.