Amazon’s annual Prime Day event is typically one of the most highly-anticipated sales periods of the year. Thousands of products, from computer components to games and electronics, see steep discounts, making it the perfect time to splurge if you have cash to spare.
Unfortunately, even Prime Day isn’t safe from the destructive path of Covid-19. The virus’ spread has caused major disruptions to Amazon’s business model, and you need look no further than a recent Reuters report for evidence of that. According to the outlet, Amazon is planning to push Prime Day back by at least a month.
This news might seem insignificant to those who don’t participate in the Prime Day “festivities,” but for Amazon, it’s quite the opposite. The company is reportedly expecting to take at least a $100 million revenue hit due to the delay. At worst, Amazon may lose up to $300 million, but the lower $100 million figure is more “likely.” The cause for these potential losses relates to excess device stock (presumably Echo units and the like) Amazon may now need to sell off at a steep discount.
We don’t know what date Prime Day will be moved to — and we wouldn’t be surprised if Amazon doesn’t know for sure, either — but Reuters say the current plan is to host the event in August at the earliest (previous Prime Days have taken place in July).
Last year, Amazon sold over 175 million products during Prime Day, which was quite the achievement. It remains to be seen whether or not the company will be able to beat that record this year, considering the fact that thousands upon thousands of worldwide consumers have lost their jobs due to Covid-19.