Snap’s investor warning of slow growth ahead has sent shivers through the social media sector, the digital advertising industry, and Wall Street. Though the general messaging that supply chain issues coupled with the war in Ukraine is bad for business is not exactly news, Snap CEO Evan Spiegel’s message that “the macro environment has deteriorated further and faster than we anticipated when we issued our quarterly guidance last month” hit a nerve. Snap lost 43 percent of its market cap on Tuesday, with the social media sector showing signs of drag and analysts forecasting trouble ahead for ad-supported media. Continue reading Dire Snap Forecast Dampens Social Media, Digital Ad Sectors

Amazon’s Prime Day sales this year reached $5.6 billion on the first day (Monday) and $5.4 billion on day two (Tuesday). According to Adobe Analytics, these numbers made Monday the biggest day for digital sales this year and Tuesday the second biggest, with total U.S. online retail sales 6.1 percent higher than Prime Day’s $10.4 billion worth of sales in 2020. Last year’s Cyber Monday previously held the record of busiest digital sales day at $10.9 billion, although that was a 24-hour event versus Prime Day’s 48 hours. Continue reading Amazon Prime Day 2021 Breaks Prior Record for Digital Sales

To better compete with Walmart and Target for online holiday shopping, Amazon will offer free shipping without the $25 minimum purchase required of shoppers who are not Prime members. This first-time Amazon offer is good only in the U.S., and will be in effect from November 5 until Amazon can no longer promise delivery in time for Christmas, typically five to eight days. Also for the upcoming holiday season, Amazon plans to add 100,000 staffers, fewer than the last two holiday seasons, evidence that the company is successfully automating operations. Continue reading In First, Amazon Offers Free Holiday Shipping for All Orders

After decades of unreliable profits, Amazon has had four consecutive quarters with profits over $1 billion, and a net income of $2.9 billion in Q3. Although the numbers exceeded analysts’ expectations, the e-commerce giant also revealed that revenue in its core retail business was below expectations, with sales up 29 percent to $56.6 billion, and sales in its online store rose only 11 percent over the last year, half the pace of a year ago. As a result, discontent investors recently dropped shares 7 percent in aftermarket trading. Continue reading Amazon Seeks Efficiency While Investing in New Businesses

Facebook launched its Watch video platform in the U.S. this summer, to increase viewership of videos on its site, and as a destination for longer-form video that stands apart from Facebook’s News Feed. In the few months it’s been live, Facebook Watch already includes hundreds of shows, including content funded by Facebook such as reality series, docu-series, a dating show and live-streaming weekly Major League Baseball games and NCAA college basketball. Now, Morgan Stanley reports on just how well Watch is performing. Continue reading Advertisers Strategize Response to Facebook’s Watch Platform