The Zhitong Finance App learned that on Monday, Adobe released the online shopping forecast for the 2024 Amazon (AMZN.US) Prime Day event starting July 16.
Adobe expects the first day of the Prime Day campaign to bring in $7.1 billion in online revenue, an increase of 11.3% over the previous year. The second day of the Prime Day campaign is expected to bring in $6.9 billion in online spending, up 9.2% year over year. Total online spending is expected to increase 10.5% year over year to reach 14 billion US dollars, setting a new Prime Day record.
Notably, strong spending is expected to be driven by larger discounts this year, which could be as high as 22%. Adobe expects the biggest discount on electronics, at 22%, compared to last year's discount level of 14%. Significant discounts are also expected on clothing (20% compared to 12% last year), home/furniture (17% compared to 9% last year), toys (15% compared to 12% last year), televisions (14%, 5% last year), and sporting goods (11% compared to 6% last year). This year's shopping festival is also expected to drive strong online spending back to school, partly due to the fact that Amazon Prime Day is being held slightly late.
In the first half of this year, consumer online spending increased 7.4% year over year, reaching 502.9 billion US dollars. Over the next three months, Adobe expects online spending to reach $229.1 billion, up 7.2% year over year.
However, discounts offered by Amazon may affect many companies in the retail industry, including Mattel (MAT.US), Hasbro (HAS.US), Best Buy (BBY.US), Gap (GPS.US), Macy's (M.US), Dick Sporting Goods (DKS.US), and Target (TGT.US).