Amazon Prime Day Is Coming….Secondary Plays To Pop Are FedEx and UPS
Two days ago I posted,
I stated Prime Day really isn’t about giving you discounts to the products sold on Amazon.com and isn't about publicizing that the event is the best revenue day of the year for Amazon (don’t get me wrong, that’s nice too). Prime Day is about acquiring new Prime customers and to access the deals, consumers must sign up for a Prime membership. Expect price to make new all-time highs going into Prime Day.
But once those goods are bought, they have to get delivered. There’s a reason why Amazon announced their Package Delivery Service two weeks ago. The number of packages Amazon needs to ship in the U.S. has more than doubled over the past five years to roughly 1.2 billion packages last year, according to estimates by supply-chain consultancy MWPVL International Inc. According to analysts, more than $4 of every $10 spent online in the U.S. is on Amazon.com, and the number of its deliveries topped more than a billion last year.
According to Amazon's website, Amazon Prime packages are mostly shipped via UPS, but in areas not served by UPS, FedEx is used as an alternative. I think Prime Day on Monday is going to be bigger than last year and Amazon and I think FedEx and UPS will pop as well by the end of the week. These will be temporary pops because I think the charts/price action are broken.
This post is my personal opinion. I’m not a financial advisor, this isn't financial advise. Do your own research before making investment decisions.
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by rollandthomas
