Each year, Amazon’s Prime Day sale is a big deal—both in terms of the savings available to customers and with regard to the marketing used to promote the event. With communications, promos, and announcements, Amazon makes sure everyone is aware of and excited about Prime Day. But during the pandemic, with its logistics capabilities already stretched thing, Amazon also decided to delay Prime Day, rather than hosting it in July, as had been its habit. Thus observers, competitors, and customers were waiting even more anxiously than usual to learn when the shopping even would happen.

The moment came, Amazon announced the dates for mid-October—and the next thing it knew, Target was releasing its own announcement: Its Deal Days sale would be happening on those exact same dates. The coordination was a strategic effort by Target to live up to the old adage, “If you can’t beat ‘em, join ‘em.”

That is, by timing its major annual sale to coincide with Prime Day, Target made sure that it was getting some free publicity. Most reports on Prime Day were ready to mention Target as well, as another viable option for consumers looking for great deals on general merchandise. In this strategic approach, a competitor’s promotion is going to generate buzz, so if the retailer can grab just a little bit of the benefits for itself, without having to pay for the marketing, it will enjoy a nice bump in sales and revenues.

Furthermore, the parallel timing enables Target to highlight how it differs from Amazon. Whereas consumers who want Prime Day deals have to pay $199 for an annual Prime membership, anyone can receive the discounts available during Target’s Deal Days, without any fees.

For both retailers, the October dates are strategic too. They are trying to get a jump on holiday sales, smooth out demand from consumers, and reorient themselves in the confusing pandemic year.

Discussion Questions:

1. Should other retailers piggyback on Prime Day too?
2. Is October a better time for these big sales than July? Does your answer depend on the effects of the coronavirus?

Source: Jason Aten, “Amazon Finally Announced Prime Day. Target’s Response Is a Brilliant Example of How to Steal the Show,” Inc., September 29, 2020