Can Amazon's Record-Setting Prime Day Turn the Segment Around?
Amazon's (NASDAQ: AMZN) Prime Day was actually a two-day shopping event on July 12 and 13. The company said in a statement on Thursday morning following the event that it was its best Prime Day ever. Members purchased more than 300 million items worldwide. Not to be undone, Prime members in the U.S. were buying more than 60,000 items per minute.
The record-setting shopping comes as Amazon's online sales face headwinds from the economic reopening that's gaining momentum worldwide. Some shareholders are hopeful that the event's popularity could turn around the troubled segment.
In its most recent quarter, which ended on March 31, Amazon reported that online sales fell by 3% compared to the same quarter in the prior year. This is for a segment that increased sales by 43% and 41% in Q4 2020 and Q1 2021. The quick reversal caught management off guard as the company invested in growing capacity to meet the surging sales.
Source Fool.com
