Amazon.com (NASDAQ:AMZN) set sales records in the fourth quarter of 2019, reporting a 21% year-over-year jump in revenue. Total revenue during the period was about $87.4 billion, beating analysts’ average forecast for $86.0 billion.
With such a strong fourth quarter last year, you’d think it’d be hard for the e-commerce giant to beat this record performance in the fourth quarter of 2020. But a closer look at Amazon’s recent performance and one key detail about this year’s fourth quarter suggest the online shopping specialist will once again deliver record fourth-quarter results.
Investors should expect a huge fourth quarter from Amazon — here’s why.
Prime Day comes to Q4
Unlike in fourth quarters past, Amazon’s fourth quarter of 2020 will benefit from the inclusion of Prime Day. The member-only shopping event typically took place during the summer. But because this summer was plagued with coronavirus-related business challenges, Amazon’s network of sellers wouldn’t have been able to fully capitalize on Amazon’s Prime Day event.
Of course, Amazon isn’t one to miss out on an opportunity. So instead of canceling Prime Day 2020, the company simply shifted it to October. Prime Day will occur on Oct. 13 and Oct. 14 this year, lasting for 48 hours straight. The massive Prime member event will run in 19 countries.
Amazon’s event will include typical major sales of its own devices as well as greater efforts to support small businesses