Amazon's Prime Big Deal Days Sale Tests Revenue Streams Amid Rising Shipping Costs
Amazon's Prime Big Deal Days sale is set to take place on October 6-7, starting at 12:01 a.m. PDT. The event will span over 35 categories and feature more than one million items at their lowest price of the year so far. This sale is not just about discounted prices, but also about testing Amazon's ability to generate revenue from various channels, including advertising, seller fees, and Prime membership.
The sale will create repeat visits for shoppers, with new 'Today's Big Deals' batches appearing at midnight, 8 a.m., and 1 p.m. PDT during the event. Prime membership is required for exclusive offers and costs $14.99 a month or $139 a year in the United States.
The event will have multiple revenue streams, including first-party sales, third-party transactions, sponsored listings, and Prime dues. However, shipping costs are a significant pressure point, with worldwide shipping costs rising 19% in the second quarter, outpacing paid units and online-store sales growth.