According to a report published by The Wall Street Journal, Amazon is expected to hold its annual Prime Day in September – two months later than last year’s two-day window of deals, which started on 15 July and sold more than 175 million items over the course of the event.
A number of other publications have since reported that Amazon has declined to comment so far on the report.
It is believed that the delay would allow Amazon’s production to return to a more typical pre-pandemic level of operation. Though the report did say that shipping times are not expected to return to the same speed as before the outbreak.
Two months ago, Reuters published an article, saying that Amazon was already looking to delay the event to at least August amid the pandemic. Having said that it had seen internal meeting notes from Amazon, the article reported that even this amount of delay could see a potential worst case hit of $300m, with a $100m hit more likely. This was because the delay would result in Amazon holding five million extra devices that it would have expected to have sold sooner – but it also acknowledged the impact that this delay would have on third party sellers who depend on the Amazon marketplace for revenue.
This report comes after Amazon published its Q1 2020 figures, announcing revenues of $75.5bn in the first three months of the year, due to a surge in consumer demand, following the outbreak of Covid-19. However, in spite of the huge growth reported in first-quarter revenue, profit fell 29 per cent from a year earlier to $2.5bn, as a result of coronavirus-related expenses. And the company has said that it plans to spend a further $4bn or more in the next three months responding to the Covid-19 pandemic.