Four-day sales event aims to boost spending and ease pricing fears
Amazon is turning its annual Prime Day into a four-day shopping marathon, running from July 8 to 11, as the company adapts to shifting consumer behavior and economic volatility driven by President Trump’s evolving tariff plans. Once a one-day event, Prime Day is now being reimagined to keep shoppers engaged longer — and help sellers hedge against future pricing risks.
Retailers across the U.S. are expected to see record sales during this period. Adobe forecasts spending will reach $23.8 billion, a 28% increase from last year, equating to the volume of two Black Fridays. The boost comes despite rising concerns over inflation and trade-related price increases.
Electronics and school supplies lead shopping lists
With tariffs placing upward pressure on consumer goods, shoppers are using Prime Day to lock in deals before prices potentially jump later this year. Electronics and back-to-school supplies are topping consumer priorities, as importers face a 30% effective tariff on goods from China — a compromise from the previously announced 145% hike, as the U.S. and China negotiate a broader deal.
Retail analyst Sky Canaves noted, “Buyers will be on the lookout for bargains and to avoid potential tariff-driven price increases later in the year.” Companies like Best Buy have already raised alarms about the impact of tariffs on laptops and tech equipment.
Tariff tension shapes consumer and seller strategies
While Trump argues that tariffs punish foreign exporters, U.S. importers are bearing the brunt and often pass on added costs to shoppers. Walmart has warned of price hikes, while Amazon claims that many sellers are still offloading pre-tariff inventory to avoid sticker shocks. CEO Andy Jassy recently told CNBC that prices haven’t “appreciably” increased — yet.
The strong labor market has so far supported spending, but there are signs of strain. Commerce Department data showed a 0.9% decline in May retail and restaurant sales from April, with auto sales notably falling after consumers rushed to buy ahead of potential tariffs.
Amazon fights to stay ahead in mid-year retail race
Prime Day began as a strategy to lift summer sales and boost Prime subscriptions. Today, it’s become a retail industry phenomenon. Competitors like Walmart and Target now run parallel sales, and some have been growing faster than Amazon during previous Prime Day events.
However, this year’s four-day expansion may tip the scales. Emarketer projects Amazon will capture 75% of all Prime Day-related spending, up from under 60% last year. That would mark a major win for the retail giant as it navigates both consumer fatigue and geopolitical uncertainty.
