Amazon Prime Day is expected to be another retail sales blockbuster - 27 iunie 2022
Amazon (US.AMZN) started the Prime Day 2022 holiday event last week with some promotions aimed at supporting small businesses. The main event takes place on July 12-13
The firm also reminded that Prime Day has been a core driver to incremental Prime Membership adoption, which is called an important factor considering the over 200M Prime members spend 2X to 3X more per year on average than non-members.
Analyst Brent Thill: "We estimate that Prime Day will contribute $8.1B to GMV and $4.7B to Net Sales, which represents a 6%/4% tailwind to 3Q22 GMV/Sales growth. We see Prime Day helping to boost Prime adoption, especially in international markets, which have lower membership penetration and 3 new countries participating in 2022 Prime Day."
Jefferies has a AMZN slotted with a Buy rating and price target of $163 (39% upside potential).
A retailer with a large presences on Amazon Marketplace that has done well in the past during Prime Day is Yeti Holdings (US.YETI). Playing defense against Amazon, retail giant Target (US.TGT) has already set its Target Deal Days event for July 11-13, and Walmart (US.WMT) is expected to announce its own Deals for Days sales event for July.