Episode Transcript
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Speaker 1 (00:02):
Bloomberg Audio Studios, podcasts, radio news. Prime Day is in
full swing. We are stretching now over four days this year,
up from two and twenty twenty four. That it remains
to be seen whether that will entice shoppers and sellers alike. This,
of course in the context of rising tariffs and rising prices.
Let's get more on the inside track. Jamial Gharni's with
(00:24):
US vice president of Amazon Prime, and you're really already
seeing Jamil Adobe Analytics saying that US retailers drove close
to eight billion in online spending on July eighth, up
almost ten percent, the single biggest e commerce day so
far this year. Has that have been good therefore?
Speaker 2 (00:44):
Yeah, we just started the event yesterday, so it's very early,
but we're really pleased by the engagement that we're getting
from our customers and our members. Not only is event
twice as long, so four days, as you mentioned, but
we're also offering more than double the number of deals
that are fifty per sent off or more. That's striving
engagement across the millions of deals we have in thirty
(01:04):
five categories. So we're really pleased. But it's very early,
of course.
Speaker 1 (01:08):
Why make it four days, and how is that affecting
the pace of spending do.
Speaker 2 (01:12):
You think, Well, we listen to our members and they
told us they needed more time to shop the millions
of deals that we offer across our entire store. This
gives them that. We're also offering new AI tools to
get a more personalized, more targeted experience that allows our
members to shop both the needs that are on their
(01:34):
list but also the wants. And you see that in
the data already. The top categories that our members are
engaging with are health and personal care, apparel, beauty, home, kitchen,
and really it's stretching the entire entirety of the store
and members need time to shop it, and so we've
given them double that time.
Speaker 1 (01:54):
Needs and wants. That's an interesting way of putting it.
We've seen a lot of spend galvanizing groceries, for example
some of the competitors. Is that an area you're feeling
you're having to make more inroads in when you show
that you can discount in this particular.
Speaker 2 (02:05):
Time, you know, grocery and everyday essentials, which is the
broader definition we use internally to describe those things that
a busy household needs to keep running. And you know,
deal with all the things that come their way, and
we're investing heavily. That's the fastest growing part of our store.
And you know, some of the items that are really
(02:25):
resonating with our members during prime day already are like
down Platinum powerwash, disphrase something that my household, your household
likely has it under the cupboards. It's also Crest three
D white strips, Amazon Basic Triple A batteries. It's these
essentials that you need for modern life, but it's also
the other end of the spectrum. Beauty is a really
exciting part of our store. Medicube has a number of
(02:48):
fantastic products on sale. One of the top products so
far is their zero core pads. So you can see
just even in the data of what members are scooping
up in terms of savings. It's stretching from you know,
the things you need to do in order to keep
life moving all the way to what you would consider
more wants as well, things you might have had on
(03:08):
your list for a while.
Speaker 1 (03:10):
Parently white teeth needed to keep life moving. Jim Hill
talk to us about Jenai though, because you just mentioned
how that's helping it become more personalized. How's Rufus the
shopping assistant doing. How more broadly is alexaplus doing because
I think as Adobe again saying that we're going to
see more than three thousand percent increase in the use
of Jenai in this particular spending spree.
Speaker 2 (03:30):
Yeah, Caroline, you're absolutely right. We've been investing for years,
from the very beginning of Amazon, at the beginning of
Amazon Prime, which is celebrating its twentieth anniversary this year,
in all forms of AI. This year, we're bringing Rufus.
As you said, is Rufus is smarter about Prime day.
Rufus is smarter about your interests and can respond to
natural language queries and bring back those deals that match
(03:52):
those interests. We also have a product called Interest where
you can go in and with a simple set of statements,
you can say, I'd like to remodel my living room
in mid century modern. Please show me deals that are
less than one hundred dollars, and it will proactively make
that into the recommendations you see throughout the store. We
also have shopping guides for those items that are a
(04:12):
bit more considered. You know, I'm in the I'm in
the shopping mode for a laptop for my eldest daughter,
who's eight, I don't buy a laptop that often, and
these AI power shopping guides have been invaluable. And then lastly,
Alexa plus is rolling out. Millions of members have access
now and they're using it to check, you know, the
timing for Prime Day, but also to get recommendations on
(04:33):
deals and to be alerted when something that they've looked
at previously is now on sale.
Speaker 1 (04:37):
Okay, so you're in the market to how you're eight
year old. But what's interesting is Amazon seems to be
in the market to lore more young adults. Right That
is such a push right now? Why is that the
area you want to make in roads?
Speaker 2 (04:50):
Well, we recognize that, you know, Prime exists to deliver
three things convenience, savings, and entertainment behind one simple member,
and we hold ourselves to the bar of delivering disproportionate value.
Everybody today and likely always wants to make a dollar stretch,
and for younger customers that's more true than maybe for
(05:11):
most and so we're reinventing our young adult program. Prime
for young adults is fifty percent off, but now on
top of that, we also are offering an evergreen five
percent discount that for Prime Day is ten percent, so
our members cannot only avail the great deals across the
entire store that we've been talking about, but also add
(05:32):
to it ten percent in categories that they really care about,
like beauty, apparel, electronics, and so we're really proud of
that program that offering to that key customer segment.
Speaker 1 (05:44):
See how much they love the lebron adds to Jimmy
el Ghani. Great to have some time with you. Amazon
Prime Worldwide