Report: Amazon pushing Prime Day to September
Amazon is reportedly delaying its annual Prime Day online sales extravaganza from July to September.
According to CNBC coverage of initial reports in the Wall Street Journal, Amazon made the decision to hold Prime Day two months later than its traditional mid-July date as it deals with an ongoing surge in online orders resulting from the COVID-19 pandemic.
Amazon has lifted temporary restrictions it placed on delivery of non-essential items, but is still experiencing out-of-stocks and delayed shipments. In its recently released first quarter earnings report, Amazon said Q1 sales were up 26% and it expects to make $4 billion or more in operating profit during Q2. However, the company expects to spend that $4 billion, and perhaps a bit more, on COVID-related expenses getting products to customers and keeping employees safe.
Amazon, which declined comment for the article, does not release Prime Day results, but analysts have estimated that the 48-hour Prime Day 2019 event generated $6 billion or more in gross merchandise volume.
In April 2020, reports circulated that Amazon would postpone Prime Day until at least August. Notes from an internal Amazon executive meeting reportedly indicated the e-tailer’s general counsel anticipated the delay would cost anywhere from $100 million to a worst-case $300 million.