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Speaker 1: I'm Charlie Pellock down Jones. Industrial average joined the SMP
Speaker 1: five hundred index at our record closed today, equities advancing
Speaker 1: for a third day, crude rallied, and ALCO's results bolsted
Speaker 1: optimism about corporate health amid the start of the earning
Speaker 1: seasonal cohen out a two month high, up today by
Speaker 1: five point four percent to ten sixty nine. SMP five
Speaker 1: hundred index up fourteen one fifty two, up seven tenths
Speaker 1: up one percent down, Industrials up one hundred twenty points
Speaker 1: to eighteen thousand, three hundred forty seven. That was a
Speaker 1: gain of seven tenths of one percent, and has stack
Speaker 1: up thirty four, also a gain of seven tenths up
Speaker 1: one percent. The tenure down twenty two thirty seconds, the
Speaker 1: yield one point five percent, gold down twenty two twenty,
Speaker 1: the ounce thirteen thirty four, a drop there of one
Speaker 1: point six percent, and crude oil up two oh three
Speaker 1: of barrel seventy nine for West Texas Enemedia crew. That's
Speaker 1: a gain of four point six percent. I'm Charlie Pellett
Speaker 1: and that's a Bloomberg business flash. You're listening to taking
Speaker 1: Stock with Kathleen on Bluebird Radio. One hundred thousand deals,
Speaker 1: ten countries. Yes, Amazon Prime at Sale begins today. The
Speaker 1: company is hoping to best their performance of last year,
Speaker 1: in which they sold four hundred million dollars worth of merchandise.
Speaker 1: Here to tell us more about Amazon and Prime Day
Speaker 1: is Punamgyal, expert and analyst for retail for Bloomberg Intelligence,
Speaker 1: put on tell us about this day. How important is
Speaker 1: it for Amazon? It's actually very important because it's their
Speaker 1: way to get more Prime members to join, and once
Speaker 1: they joined, it probably become a Prime member for life.
Speaker 1: So it's to repeat purchase that they're really targeting more
Speaker 1: than just the sale, So they're looking for more people
Speaker 1: to sign up to be Prime customers. That makes sense.
Speaker 1: But in terms of the sales, I noted, for example,
Speaker 1: that consumer electronics seems to dominate Prime Day spotlight deals.
Speaker 1: Is that accurate um? That's typically accurate because that is
Speaker 1: what dominates Amazon deals even on Black Friday or the
Speaker 1: holiday season. So that is true. But in terms of
Speaker 1: the deal so far, the items that we've been pricing,
Speaker 1: it's really ranged from a discount of about thirty on average.
Speaker 1: And this is just across you know, like thirty to
Speaker 1: fifty items that we've randomly selected. There are discounts as
Speaker 1: highest seventy percent, fifty percent. Especially video games there's a
Speaker 1: big discount there. Um, big screen TVs we see a discount.
Speaker 1: But you know, we're seeing a lot of price matching. Um,
Speaker 1: it's interesting when you look at Amazon versus Walmart. Walmart
Speaker 1: has knew this year a section called Dare to Compare
Speaker 1: which prices is um the item across Amazon target best
Speaker 1: buy to themselves up front for you, and it matches
Speaker 1: that almost every thirty minutes or so. Well, point, I
Speaker 1: understand that Walmart is offering free shipping on all items
Speaker 1: along with what they call rollback deals. They've been offering
Speaker 1: a free thirty day trial for their shipping Pass as well. Yeah,
Speaker 1: that's absolutely correct. You know, Um, Amazon has been taking
Speaker 1: share of e commerce and Walmart needs to step up
Speaker 1: their game. So this is their first attempt this year
Speaker 1: with Shipping Pass, which is a program similar to Prime
Speaker 1: at half the price. It aims to also ship product
Speaker 1: in two days or less for forty nine dollars a year.
Speaker 1: They're giving it for free, as you said, for dirty
Speaker 1: days and this week only they have free shipping on everything. Well,
Speaker 1: I want to bring in a Suprea Chowdery, the chief
Speaker 1: marketing officer of Clavis Insight, joining us from Boston home
Speaker 1: to Bloomberg and wondering if maybe you can give us
Speaker 1: a little insight, Supria, on some of the specific deals
Speaker 1: and whether they are really any better than the deals
Speaker 1: that are offered by Amazon on a regular basis. Sure, um,
Speaker 1: in terms of actual promotional discounts, they probably average similar
Speaker 1: to the deals that you see UM from Amazon on
Speaker 1: daily basis. What is really big here is the fact
Speaker 1: that the number of deals UM that Amazon is offering
Speaker 1: during this period is much larger much so. For example,
Speaker 1: what would be a larger component, I mean, is it luxury,
Speaker 1: It's a It's a larger number of of deals at
Speaker 1: any given time. And in terms of the types of
Speaker 1: deals that they are spotlighting, the spotlight deals today were
Speaker 1: really focused a lot on consumer electronics, so they had
Speaker 1: flagship flagship deals on Samsung Um Curve TVs and the
Speaker 1: iBOT Your Room Barber two featured deals that were really
Speaker 1: hot and sold out by by lunchtime. But it is
Speaker 1: very focused on the electronics and laptops and also Amazon's
Speaker 1: own fire TVs and and tablets and other things. I
Speaker 1: wanted to ask you about that, for example, the Amazon
Speaker 1: devices that you just mentioned plus the Alexa, the voice
Speaker 1: activated device from Amazon. Is that also part of the
Speaker 1: strategy to get people to just be hooked into the
Speaker 1: Amazon ecosystem. I would think it is. Um, they have
Speaker 1: a very big percentage of the deals on their own products. Uh,
Speaker 1: and you know products those products definitely hook you right
Speaker 1: back into the Amazon Amazon ecosystem. So uh, you know,
Speaker 1: you can sort of see the deepening of of of
Speaker 1: the Prime memberships, expansion of Prime and trying to convert
Speaker 1: people that are not on Prime onto Prime. Um with
Speaker 1: this with this Prime Day, Prime Day promotion, this this
Speaker 1: big shopping holiday that they're creating, and then you know,
Speaker 1: getting more and more people into Amazon products that tie
Speaker 1: you to that ecosystem. As as mentioned, there are other
Speaker 1: retailers that are a sense piggybacking off of this Prime
Speaker 1: Day as sale. Is that something that will just continue
Speaker 1: and give us some examples of the companies that are
Speaker 1: looking to capitalize on this. Sure Walmart first comes to mind.
Speaker 1: They did it last year two they are picking back
Speaker 1: on it, but not just for the day, for the months,
Speaker 1: they're adding rollbacks. So that's one retailer that's fighting for
Speaker 1: their share because as customers convert to prime, that's one
Speaker 1: last customer for for Walmart longer term. You also have
Speaker 1: what's interesting on the apparel side, Macy's. You know, they
Speaker 1: said black Fridays back in July, which isn't a category
Speaker 1: that you would traditionally think Amazon competes in, but it
Speaker 1: is a category that they're definitely making a bigger plan
Speaker 1: for apparel. So on their home page today for Amazon
Speaker 1: you see apparel thirty person off, So they are making
Speaker 1: a push to be bigger in apparel, and Macy's a
Speaker 1: fighting back. Lord and Taylor is fighting back with extended
Speaker 1: promotions on their website, including free shipping. Yes, I noted
Speaker 1: that Lord and Taylor offering a triple savings event. They
Speaker 1: say off site wide free shipping on every order and
Speaker 1: twenty dollars off if you spend a hundred and seventy
Speaker 1: five dollars, so it discounts all across. That's right, all right,
Speaker 1: thank you very much. Put Amcoyal, a retail analyst and
Speaker 1: expert for Bloomberg Intelligence. Our thanks also to Cuprea Chowdery,
Speaker 1: chief marketing officer for Clavis Insight, joining us from Boston,
Speaker 1: of course, home to Bloomberg. Twelve hundred Amazon shares faring well.
Speaker 1: Maybe they're on sale today, down about three quarters of
Speaker 1: a percent, but they're up ten percent so far this year.
Speaker 1: You're listening to taking stock and this is Bloomberg coming up.
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