WEBVTT - Amazon Prime VP Jamil Ghani Talks (Expanding) Prime Day Sales

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news. Prime Day is in

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<v Speaker 1>full swing. We are stretching now over four days this year,

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<v Speaker 1>up from two and twenty twenty four. That it remains

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<v Speaker 1>to be seen whether that will entice shoppers and sellers alike. This,

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<v Speaker 1>of course in the context of rising tariffs and rising prices.

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<v Speaker 1>Let's get more on the inside track. Jamial Gharni's with

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<v Speaker 1>US vice president of Amazon Prime, and you're really already

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<v Speaker 1>seeing Jamil Adobe Analytics saying that US retailers drove close

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<v Speaker 1>to eight billion in online spending on July eighth, up

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<v Speaker 1>almost ten percent, the single biggest e commerce day so

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<v Speaker 1>far this year. Has that have been good therefore?

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<v Speaker 2>Yeah, we just started the event yesterday, so it's very early,

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<v Speaker 2>but we're really pleased by the engagement that we're getting

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<v Speaker 2>from our customers and our members. Not only is event

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<v Speaker 2>twice as long, so four days, as you mentioned, but

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<v Speaker 2>we're also offering more than double the number of deals

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<v Speaker 2>that are fifty per sent off or more. That's striving

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<v Speaker 2>engagement across the millions of deals we have in thirty

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<v Speaker 2>five categories. So we're really pleased. But it's very early,

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<v Speaker 2>of course.

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<v Speaker 1>Why make it four days, and how is that affecting

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<v Speaker 1>the pace of spending do.

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<v Speaker 2>You think, Well, we listen to our members and they

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<v Speaker 2>told us they needed more time to shop the millions

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<v Speaker 2>of deals that we offer across our entire store. This

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<v Speaker 2>gives them that. We're also offering new AI tools to

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<v Speaker 2>get a more personalized, more targeted experience that allows our

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<v Speaker 2>members to shop both the needs that are on their

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<v Speaker 2>list but also the wants. And you see that in

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<v Speaker 2>the data already. The top categories that our members are

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<v Speaker 2>engaging with are health and personal care, apparel, beauty, home, kitchen,

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<v Speaker 2>and really it's stretching the entire entirety of the store

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<v Speaker 2>and members need time to shop it, and so we've

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<v Speaker 2>given them double that time.

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<v Speaker 1>Needs and wants. That's an interesting way of putting it.

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<v Speaker 1>We've seen a lot of spend galvanizing groceries, for example

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<v Speaker 1>some of the competitors. Is that an area you're feeling

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<v Speaker 1>you're having to make more inroads in when you show

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<v Speaker 1>that you can discount in this particular.

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<v Speaker 2>Time, you know, grocery and everyday essentials, which is the

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<v Speaker 2>broader definition we use internally to describe those things that

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<v Speaker 2>a busy household needs to keep running. And you know,

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<v Speaker 2>deal with all the things that come their way, and

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<v Speaker 2>we're investing heavily. That's the fastest growing part of our store.

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<v Speaker 2>And you know, some of the items that are really

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<v Speaker 2>resonating with our members during prime day already are like

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<v Speaker 2>down Platinum powerwash, disphrase something that my household, your household

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<v Speaker 2>likely has it under the cupboards. It's also Crest three

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<v Speaker 2>D white strips, Amazon Basic Triple A batteries. It's these

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<v Speaker 2>essentials that you need for modern life, but it's also

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<v Speaker 2>the other end of the spectrum. Beauty is a really

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<v Speaker 2>exciting part of our store. Medicube has a number of

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<v Speaker 2>fantastic products on sale. One of the top products so

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<v Speaker 2>far is their zero core pads. So you can see

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<v Speaker 2>just even in the data of what members are scooping

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<v Speaker 2>up in terms of savings. It's stretching from you know,

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<v Speaker 2>the things you need to do in order to keep

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<v Speaker 2>life moving all the way to what you would consider

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<v Speaker 2>more wants as well, things you might have had on

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<v Speaker 2>your list for a while.

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<v Speaker 1>Parently white teeth needed to keep life moving. Jim Hill

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<v Speaker 1>talk to us about Jenai though, because you just mentioned

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<v Speaker 1>how that's helping it become more personalized. How's Rufus the

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<v Speaker 1>shopping assistant doing. How more broadly is alexaplus doing because

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<v Speaker 1>I think as Adobe again saying that we're going to

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<v Speaker 1>see more than three thousand percent increase in the use

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<v Speaker 1>of Jenai in this particular spending spree.

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<v Speaker 2>Yeah, Caroline, you're absolutely right. We've been investing for years,

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<v Speaker 2>from the very beginning of Amazon, at the beginning of

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<v Speaker 2>Amazon Prime, which is celebrating its twentieth anniversary this year,

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<v Speaker 2>in all forms of AI. This year, we're bringing Rufus.

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<v Speaker 2>As you said, is Rufus is smarter about Prime day.

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<v Speaker 2>Rufus is smarter about your interests and can respond to

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<v Speaker 2>natural language queries and bring back those deals that match

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<v Speaker 2>those interests. We also have a product called Interest where

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<v Speaker 2>you can go in and with a simple set of statements,

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<v Speaker 2>you can say, I'd like to remodel my living room

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<v Speaker 2>in mid century modern. Please show me deals that are

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<v Speaker 2>less than one hundred dollars, and it will proactively make

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<v Speaker 2>that into the recommendations you see throughout the store. We

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<v Speaker 2>also have shopping guides for those items that are a

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<v Speaker 2>bit more considered. You know, I'm in the I'm in

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<v Speaker 2>the shopping mode for a laptop for my eldest daughter,

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<v Speaker 2>who's eight, I don't buy a laptop that often, and

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<v Speaker 2>these AI power shopping guides have been invaluable. And then lastly,

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<v Speaker 2>Alexa plus is rolling out. Millions of members have access

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<v Speaker 2>now and they're using it to check, you know, the

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<v Speaker 2>timing for Prime Day, but also to get recommendations on

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<v Speaker 2>deals and to be alerted when something that they've looked

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<v Speaker 2>at previously is now on sale.

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<v Speaker 1>Okay, so you're in the market to how you're eight

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<v Speaker 1>year old. But what's interesting is Amazon seems to be

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<v Speaker 1>in the market to lore more young adults. Right That

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<v Speaker 1>is such a push right now? Why is that the

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<v Speaker 1>area you want to make in roads?

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<v Speaker 2>Well, we recognize that, you know, Prime exists to deliver

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<v Speaker 2>three things convenience, savings, and entertainment behind one simple member,

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<v Speaker 2>and we hold ourselves to the bar of delivering disproportionate value.

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<v Speaker 2>Everybody today and likely always wants to make a dollar stretch,

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<v Speaker 2>and for younger customers that's more true than maybe for

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<v Speaker 2>most and so we're reinventing our young adult program. Prime

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<v Speaker 2>for young adults is fifty percent off, but now on

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<v Speaker 2>top of that, we also are offering an evergreen five

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<v Speaker 2>percent discount that for Prime Day is ten percent, so

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<v Speaker 2>our members cannot only avail the great deals across the

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<v Speaker 2>entire store that we've been talking about, but also add

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<v Speaker 2>to it ten percent in categories that they really care about,

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<v Speaker 2>like beauty, apparel, electronics, and so we're really proud of

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<v Speaker 2>that program that offering to that key customer segment.

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<v Speaker 1>See how much they love the lebron adds to Jimmy

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<v Speaker 1>el Ghani. Great to have some time with you. Amazon

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<v Speaker 1>Prime Worldwide