FROM THE DESK OF DEBORAH WEINSWIG 

Amazon Prime Day: June 21–22, 2021 Amazon has finally revealed that Prime Day will be held on June 21–22 this year, confirming the event less than three weeks in advance of the first day. Given the number of players and the scale of logistics preparations involved, the exact dates of the event are a difficult secret to keep. Amazon had stated on its most recent earnings call that Prime Day would be held during the second quarter (i.e., before June 30), but Bloomberg leaked the specific dates last week. Although the event was originally set to commemorate the company’s founding on July 5, 1994, Prime Day dates have varied each year since its launch in 2015, as illustrated in Figure 1. This year marks the first time the event will be held in June. Figure 1. Amazon Prime Day Dates [caption id="attachment_128187" align="aligncenter" width="720"] Source: Company reports[/caption]   The unusual events of last year delayed Prime Day by several months, since Amazon shifted its supply chain and warehouses in March 2020 to prioritize household staples and medical supplies. These complications made it unfeasible for the company to hold its Prime Day event in June or July. The shift to early October put Prime Day amid early holiday sales and other shopping events, such as Coresight Research’s 10.10 Shopping Festival, the lead-up to Singles’ Day on November 11 and Black Friday soon after. Upon the recommendations of Target and other major retailers, many consumers started shopping for holiday gifts and supplies early to avoid store crowding on Black Friday and peak seasonal shopping days, which pulled forward holiday demand. Last year, we estimated that gross merchandise volume (GMV) from Prime Day reached $6 billion, up 60% from 2019, and e-commerce sales have only grown since then. In the Prime Day 2021 edition of our US Consumer Tracker (our weekly survey from May 24), more than one-third of consumers reported avoiding shopping centers and malls, and nearly one-quarter said that they were avoiding shops in general, so we expect to see strong growth this year, too. Our survey found that 24.2% of respondents planned to make purchases during Prime Day this year, and 48.4% said they expect to browse deals. The top categories of interest are electronics, followed by books, movies, music or video games, and clothing and footwear, which contrasts the 2020 top categories of home, nutrition and wellness, and arts, crafts and sewing—which reflected the priorities of homebound consumers. Amazon claims to offer savings on more than 2 million deals globally and has already started offering some early deals on several products in advance of the event, including on products from iRobot, Levi’s, Redken and Samsung. Amazon typically offers discounts on its own consumer-electronics products. The e-commerce giant is increasingly highlighting its support for small businesses. In 2020, Amazon reported that sales from small and medium-sized businesses on its platform surpassed $3.5 billion, up 60% from 2019. This year, the company is offering $100 million to help boost sales at its small business partners, including promotional activities, and has provided funding for small entrepreneurs to purchase vehicles to deliver for Amazon. Moreover, consumers will receive a $10 credit after spending $10 on items sold by selected small businesses from June 7 to 20, including products on Amazon Handmade and Amazon Launchpad. These promotions will run in France, Germany, Italy, Japan, the UK and the US. Notwithstanding the poorly kept secret of the dates of Prime Day 2021, Amazon has timed the event extremely well—it will take place amid robust US retail sales and as e-commerce continues to gain acceptance by consumers, many of which are still avoiding physical stores. For more information, read our US Consumer Tracker: Consumers’ Shopping Plans for Amazon Prime Day 2021.

US RETAIL AND TECH HEADLINES 

7-Eleven Bolsters Sustainability Efforts and Expands Electric Vehicle Charging Stations  (June 1) ChainStoreAge.com

• 7-Eleven has announced plans to expand its number of ports for the direct-current fast charging (DCFC) of electric vehicles (EVs). The company aims to build about 500 charging stations at 250 selected stores in the US and Canada by 2022.
• The new DCFC ports will build on 7-Eleven’s existing 22 EV charging stations at 14 stores in the US. After the project’s completion, 7-Eleven will have one of the largest fast-charging systems in US retail. Other companies building EV charging stations include Macy’s, Meijer and Walmart.

Dick’s Sporting Goods Expands Its Experiential Store Concept  (June 1) Company press release

• Dick’s Sporting Goods has announced that it would open a second location of its new experiential store concept, Dick’s House of Sport, in Knoxville, Tennessee, on June 4, 2021. In June, the company will also open two newly redesigned Golf Galaxy locations, a relocated Dick’s Sporting Goods store and three Warehouse Sale stores.
• The new Dick’s House of Sport store will offer updated technology to enable easy connection with brands and will feature multi-sport experiences both inside and outside the store. The store will include a 24,000-square-foot outdoor turf field and running track, a health and wellness destination, a “House of Cleats” that seasonally rotates product, a technology-enhanced batting cage and golf-hitting bays.

Saks Fifth Avenue Outlines Its Equitable and Inclusive Initiatives  (June 1) Company press release

• Department store chain Saks Fifth Avenue has outlined new initiatives to bolster equity, diversity and inclusivity across its workforce. By 2023, the retailer plans to hire and promote Black, Indigenous and other people of color (BIPOC) into 40% of its manager-level roles. It also aims to direct 60% of grants from its philanthropic foundation to aid underserved communities.
• By 2023, Saks Fifth Avenue also plans to increase total sales of Black-owned or Black-designed brands by about $100 million. It aims to achieve this goal by supporting emerging brands through the establishment of the Saks Emerging Designer Program and by expanding the retailer’s own merchandise assortment.

Salesforce Partners with Combs Enterprises To Launch a Digital Marketplace To Promote Black-Owned Brands (June 1) ChainStoreAge.com

• Salesforce has partnered with Combs Enterprises to launch a curated digital marketplace focusing exclusively on products created and sold by Black entrepreneurs. Combs Enterprises is owned by rapper and entrepreneur Sean Love Combs, aka Puff Daddy or Diddy, and it holds a portfolio of diverse businesses and investments, including beverages, fashion, fragrances and music.
• The new platform is set to officially launch in fall 2021 and is being designed and built by Deloitte Digital. The marketplace will feature product categories including art, beauty, fashion, health and wellness, and home.

Sam’s Club Resumes Its Sampling and Demo Program Across 600 Locations (June 1) Company press release

• Walmart-owned warehouse club operator Sam’s Club has announced the relaunch of its sampling and demo program Taste & Tips. The program will be available in nearly all of the company’s 600 locations across the US—although it will initially take place on weekends and in limited quantities. The program was in place for 35 years but was put on hold in March 2020 due to the pandemic. The announcement came about a week after Costco also reported the phased return of its sampling program.
• Sam’s Club is expanding its sampling program. The company plans to debut its first-ever Member’s Mark Summer Eats Food Truck this summer. The truck will tour the Central US and offer shoppers an opportunity to try popular items from its private-label brand, Member’s Mark.

EUROPE RETAIL AND TECH HEADLINES

Aldi Partners with Payment Giant Klarna To Offer “Buy Now, Pay Later” Service (June 1) ChargedRetail.co.uk

• German discount chain Aldi has partnered with Swedish financial technology company Klarna to provide a “buy now, pay later” feature for online purchases. The service was launched in Germany and allows its customers to purchase anything from its online range (which is focused on nonfood items), from garden furniture to smartphones.
• During checkout, customers will need to select “Klarna Invoice” as the payment method. Once approved, they will receive an e-mail with a 14-day window to make their payment through bank transfer.

H&M’s Sellpy Launches in 20 New European Countries (June 1) Reuters.com

• Sellpy, Swedish fashion retailer H&M’s secondhand platform, has expanded to 20 new European countries, including Belgium, Estonia, France, Ireland, Italy and Spain.
• The platform is now available in a total of 24 countries. It launched in Sweden in 2014 and had added three new markets—Austria, Germany and the Netherlands—before the new expansion plans.

Magnit Announces Opening of Two New “Dark Stores” in Moscow (June 2) EsmMagazine.com

• Russian retailer Magnit has announced plans to open two new “dark stores” in Moscow, in the Novogireevo and Koptevo districts. The stores will help Magnit process online orders and facilitate faster delivery—within an hour for orders placed either via the company or its partners.
• The new stores will measure around 4,600 square feet and will hold about 8,000 stock keeping units (SKUs), with a special focus on fresh products.

Ocado Considers Selling Groceries Outside the UK (June 1) FT.com

• UK-based Ocado may expand operations beyond the UK, with company CEO Tim Steiner suggesting that entering new markets is a possibility for the company—in order to build on its “ideal” business model, acting as a supermarket technology provider.
• In an interview withFinancial Times, Steiner said, “The pandemic, we believe, has permanently accelerated the channel shift, and some of those markets that were behind the UK are more attractive for somebody to enter aggressively now than they were before the pandemic.”

Very Claims Its AI Chatbot Is Its Most Used Customer Service Channel (June 1) ChargedRetail.co.uk

• British online retailer Very has stated that its artificial intelligence (AI)-enabled chatbot has become its most frequently used customer service channel, answering over 268,000 customer queries every month. Very has been expanding the usage of its chatbot since its launch in 2017.
• The success of the chatbot has helped Very reduce its inbound customer service by 23%. The company states that this proves its investment in AI is paying off.

Waitrose Expands “Unpacked” To Include More Products (June 1) Company press release

• British supermarket chain Waitrose has added 13 new products to its “Unpacked” scheme—the company’s refillable product offering, which first launched in June 2019. Sales have grown 9% in the past six months, according to the company.
• The newly added products include dried apricots, dried fruit mix, popcorn, raisins, currants and sultanas, as well as five varieties of loose tea. In addition, the company’s refillable frozen fruits and vegetables selection will expand to include frozen peas and sweetcorn by end of the month.

ASIA RETAIL AND TECH HEADLINES

Thailand-Based Delivery Startup Flash Raises $150 Million  (June 1) InsideRetail.asia

• Thai delivery and logistics company Flash has raised $150 million in its latest fundraising round, pushing its overall value to more than $1 billion.
• Key investors include the Bank of Ayudhya, investment firm Buer Capital, Chanvanich Security Printing, and Siam Commercial Bank’s venture arm, SCB 10X. The company currently operates across 7,000 delivery points and employs 27,000 in Thailand. It plans to employ a further 10,000 within the next two years and expand its operations across Southeast Asia in the near future.

Harbour City Launches Qfit in Collaboration with Quantum Matrix  (June 1) InsideRetail.asia

• Hong Kong shopping center Harbour City has collaborated with technology company Quantum Matrix to launch a personalized “auto-fit virtual try-on system” called Qfit or Quantum Fit.
• The launch is aimed at children, who will be able to input a photograph of themselves as well as statistics such as height and weight. Qfit will then produce a 3D avatar, allowing the user to virtually try on merchandise from 11 fashion brands available at the shopping center.

JD.com Starts Chartered Cargo Flights Connecting China and Thailand (June 1) NikkeiAsia.com

• JD.com launched chartered cargo flights connecting China and Thailand on May 31, 2021, aiming to fulfill online orders within 48 hours in both countries. The Chinese e-commerce company has partnered with a leading Thai retail conglomerate Central Group to run the program—which is called JD Central.
• The company has stated that it is shipping daily necessities and small household electronics from China to Thailand, while flights from Thailand to China largely consist of fresh produce and automotive parts.

Malaysian Convenience Store MyNews Introduces New-Format Minimart Brand     (June 2) InsideRetail.asia

• Malaysia-based convenience-store chain MyNews has introduced a new minimart brand, SuperValue. According to the company, the new format will be available in many locations across neighboring areas— preventing shoppers from needing to travel long distances and allowing them to shop in less-crowded spaces than a larger store.
• SuperValue stores will carry a variety of goods, including drinks, fresh produce, frozen food, pet supplies and snacks, as well as nonfood essentials.

Pepperfry Plans IPO in the Next 12–18 Months (June 1) ETRetail.com

• Indian online furniture company Pepperfry has announced plans for an IPO (initial public offering) in the next 12–18 months. According to the company’s Co-Founder, Ashish Shah, Pepperfry is likely to cross the $1 billion mark over the next 12 months—and he expects the IPO value to be in that range.
• The company has raised $235 million to date, and its key investors include Bertelsmann Investments India, Goldman Sachs and Norwest Venture Partners. Going forward, Pepperfry plans to open around 200 offline studios across 100 new cities using a franchise-owned, franchise-operated model.