It’s easy to think of Amazon as a go-to source for just about everything from clothing to housewares to medical supplies. But the reality is that Amazon does not always have the lowest prices.
If you dig around, you’ll often find that big box giants like Walmart and Target are able to undercut Amazon in key product categories. Amazon, for example, is often not the most competitive retailer in the context of grocery and personal care items.
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But there’s a reason so many consumers remain loyal to Amazon.
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Amazon has mastered the art of efficient shipping beyond anyone’s expectations. Depending on what you order and where you live, it’s possible to add an item to your cart in the morning and have it land on your front porch before dinnertime.
Between fast shipping and the site’s impressive range of inventory, it’s hard to beat the convenience of Amazon. That’s why consumers often make it their primary source for purchases, even when prices may be lower elsewhere.
Amazon shares a huge announcement consumers will love.
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Amazon’s pricing strategies work to consumers’ benefit
While Amazon may not always have the lowest price to offer, its prices are unquestionably competitive. And there’s a reason for that.
Amazon has a large marketplace of independent third-party sellers listing products on its site. Because those sellers have to compete with one another for business, they can set their own prices and lower them to boost sales.
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The winner? Amazon customers.
Amazon also stocks numerous items in bulk. And its standing as such a retail powerhouse gives it a lot of leverage to negotiate prices with suppliers.
Also, Amazon constantly keeps tabs on other retailers’ prices to make sure it remains competitive. Plus, the online retail giant hosts its fair share of shopping events that give consumers an option to score exceptionally good deals.
Amazon announces July Prime Day event
While it’s possible to find great prices on Amazon all year round, fans of the site tend to especially love its summertime Prime Day event.
This year, Amazon will once again be hosting a Prime Day event during the summer. The company hasn’t put out any official dates, but it has confirmed that Prime Day will take place in July.
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On Prime Day, consumers can expect deep discounts across a range of key categories, including electronics, apparel, and beauty.
“We know members love savings, so we are working hard around the world to offer the hottest deals from new brands and trending products you can only shop on Amazon,” the company said on its website in conjunction with its Prime Day announcement.
Last year’s Prime Day event was a big winner for Amazon with record-breaking sales. Independent sellers sold more than 200 million items during 2024’s Prime day extravaganza.
Amazon’s Prime Day announcement comes on the heels of controversy after speculation that the online giant would display added tariff costs next to products on its site.
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After being accused of contemplating what the House White called a “hostile and political act,” Amazon clarified that it is not, in fact, planning to show tariff pricing.
That said, it will be interesting to see if tariff policies get in the way of the Prime Day deals Amazon fans have come to love and expect.
In the meantime, Amazon customers should stay tuned for more information on Prime Day, including the official timing of the event. In years past, Prime members have also been able to enjoy early shopping opportunities ahead of Prime Day, so that’s something to keep an eye out for this time around as well.
Maurie Backman owns shares of Amazon.
