【Summary of the full text】
-> Amazon's first Prime Early Access Sale is officially announced: it will open on October 11-12;
->The real reason why Amazon launched the "Member Early Day";
The "PrimeDay 2.0" previously rumored in the entire cross-border circle has finally been "officially announced"! At present, Europe and the United States are at the lowest point of economic consumption this year. Therefore, everyone is speculating about why Amazon is launching "Members Enjoy Day" at this moment, and what "bad thoughts" can Amazon have!
To put it bluntly, it is three words – think! earn! money!
Amazon officially announced: October 11-12, 2022, will hold the Amazon Prime Early Access Sale for the first time, which also marks the beginning of the Amazon holiday season. There are 15 countries participating in the Prime Early Access Sale, including the US, UK, Canada, China, France, Germany, Italy, Luxembourg, Netherlands, Poland, Portugal, Spain, Sweden, Turkey and Austria.
(Source: Screenshot of Amazon's official website)
Reason 1: Clearing Inventory
This year, many sellers reported that their inventory is about to "explode"! Many sellers have prepared a large amount of goods according to the market conditions last year, resulting in a serious backlog of inventory. Therefore, clearing inventory has become the most troublesome "hidden danger" for many sellers. Originally, sellers wanted to take advantage of Amazon's "Prime Day" in July to clear their inventory, but most of them ended up running with them (inner OS: tired and destroyed).
The financial report shows that in 2022, Amazon’s Q1 and Q2 quarters suffered consecutive losses. Amazon’s total loss in Q1 was $3.8 billion, and Amazon’s net loss in Q2 was $2.028 billion . Therefore, the hearts of many sellers have cooled a lot. Although the performance of "Prime Day" has rebounded somewhat in July, the "Prime Early Access Sale" does not know if it can be counted on.
Reason 2: Global inflation, consumption downturn, stimulating consumption
Soaring inflation is one of the biggest challenges currently facing Amazon , but the company has been able to cut costs anyway to cope with the changing environment , Amazon executives said .
The United States is experiencing the highest inflation in three decades this year. Inflation is pushing up people's living costs and cutting consumption levels, forcing people to pursue lower prices and discounts. Therefore, Amazon is nothing more than trying to create a gimmick to stimulate consumption. To be honest, whether the "Prime Early Access Sale" can be "explosive" depends on the discount. As long as the discount is low, there will be consumers who will pay the bill voluntarily, but the seller is not a charity either. Family.
Reason three: the heat is no longer? Then build momentum!
I saw an article before that summed up the current status of Amazon incisively: American buyers can’t afford it, Chinese sellers dislike it, and no one cares about Prime Day except Amazon itself!
Global sales for Prime Day this year are expected to be $12.5 billion, according to forecast data from research firm EMarketer. Although this data has increased by about 8% compared to last year, you must know that from 2016 to 2019, the average growth rate of Amazon Prime Day sales was as high as 66.6%. Sales also rose 43% year over year.
How about Amazon's sales in the first half of the year, one word: light! Since Prime Day didn't play well, it's okay! Then do the big promotion! This year, Amazon has taken many measures to recover its performance. The purpose of Amazon’s Prime Early Access Sale is to stimulate consumption. I hope that for Amazon sellers, there will be a turnaround in the second half of 2022!