Amazon 2021 Prime Day Sale Surpass $5.6 Billion In 24 Hours

Amazon Inc. is expected to have hit record high online sales over a 24-hour period so far this year after it surpassed $5.6 billion during the first day of its two-day Prime Day megasale.

The first day of Amazon’s 48-hour Prime Day sale event kicked off Monday at 3 a.m. ET and total online sales on June 21 made it the biggest day for online spending to date for 2021, CNBC reported citing data from Adobe Analytics.

During the 2020 Thanksgiving Day Sale, Amazon recorded $5.1 billion in a 24-hour period online sale event, according to Adobe.

Amazon was not the only retailer that saw large gains during its sale. Other retailers, including Walmart, Target and Best Buy also offered deals during the e-commerce giant’s Prime Day event.

The new data also found that big retailers that rake in over $1 billion in annual revenue saw a 28% increase in their e-commerce sales during the first day of the sale. Retailers who earned less than $10 million in revenue each year also reported a 22% increase, Fox Business reported citing the Adobe Digital Economy Index.

“The first day of Prime Day successfully accelerated spending momentum for U.S. e-commerce to new heights, in an online retail environment that is already experiencing an elevated level of growth due to the pandemic,” said Jason Woosley, vice president of commerce product and platform at Adobe.

Amazon’s Prime Day megasale offered the biggest discounts on toys, which saw a markdown on its prices by 12%, on average. Other items, such as appliances and electronics, saw prices drop by 5.2% and 3%, respectively.

Amazon’s record online sales come even as some sellers face issues in stocking up their stores and distribution centers amid delays in supply delivery and issues with port capacity due to the COVID-19 pandemic.

Amazon sellers who imported their products from China reported shipping issues after Beijing placed restrictions on the number of vessels allowed to enter the Yantian International Container Terminal, which is considered to be one of the world’s busiest ports.

“The congestion issues have not only added days and weeks to our supply chains but have led to inventory shortages impacting our ability to serve our customers,” a letter addressed to President Joe Biden from the National Retail Federation, read.

“We would like an opportunity to discuss the impact these issues are having on the nation’s retailers, our workers, and our customers, as well as potential solutions to address current and future disruptions,” it added.

Despite Amazon's colossal footprint and market capitalisation of more than $1 trillion, its profit margin last year amounted to just 6.3 percent. Photo: AFP / Angela Weiss