CNBC reports that Amazon, which already has scheduled its annual Prime Day promotion for July 12-13, plans to schedule a second Prime Day event in the fourth quarter of the year.
A fourth quarter Prime Day "could help drum up additional sales for Amazon, which booked the slowest revenue growth for any quarter since the dot-com bust in 2001 in its latest earnings report," CNBC writes. "It could also help retailers clear out some of the extra inventory they’ve accumulated, as inflation squeezes shoppers, and they shift their spending to areas like travel and entertainment."
The story points out that "it will be the first time Amazon will hold two shopping events exclusively for Prime members in the same year, and comes as the company is gearing up for for Prime Day … The company recently began notifying select third-party merchants of a 'Prime Fall deal event' via its internal seller portal, called Seller Central. The notice doesn’t name a date for the event, but it instructs sellers to submit limited-time 'lightning deals' by July 22nd, well in advance of the fourth-quarter event."
- KC's View:
Wasn't it just yesterday that, in this space, I wrote that Amazon might be backing off some of the traditional hoopla it has applied to Prime Day to something else that would differentiate it?
Didn't expect it to be a second Prime Day, to be honest. But to do something right before the end-of-year holiday shopping season might have the effect of driving a big bump in sales at a time when money actually could be tighter - we'll still be dealing with inflation, and recession could be imminent.
I would expect that this will be just one move by Amazon to shake things up. Maintaining a today-is-day-one approach means being willing to try lots of different stuff … it can capture the imaginations of shoppers, as well as keep the competition off balance.
I am reminded of the approach advocated in the book "Death to All Sacred Cows: How Successful Businesses Put the Old Rules Out to Pasture." It is an approach that more retailers should embrace, asking themselves, "What are the things we do because we've always done them?" and then deciding to change things up.