Profit Pregame

How to Cash in On The “Amazon Craze” (And It’s Not By Investing in Amazon)

It’s a big day for Amazon…

One of the most anticipated days of the year is happening now.

What’s happening?

In case you missed it, Amazon kicked off their Prime Day, meaning you can finally snag those items on your wish list for a discounted price. Good news, huh?

But this day of discounts isn’t being celebrated by everyone. In fact, many retailers are being forced to step back and take a hard look at how they can compete with Amazon and its yearly Prime Day. But it’s not just competing with Amazon at this point – it’s also trying to move inventory after a lull in consumer spending thanks to the pandemic.

And many are taking notes from Amazon’s playbook.

Where’s the money?

For years, we’ve known certain brands just don’t go on sale. But with the current climate, these brands are being forced to break their own rules. For instance, luggage brand Away held its first sale in its roughly five-year history, promising deals of up to 50% off its bags – some of which retail for more than $400. Apparel brand Everlane ran a 25% off sale, sitewide recently as well, boasting many items at a discounted price that had never gone on sale before.

And this just a couple of companies who have cut prices in hopes to reel customers in after one of the most challenging quarters retail has ever seen.

But here’s the thing, if you’re paying attention to the sales and the great sales numbers Amazon posts, you could be missing an incredible profit opportunity. Because as these companies gear up to entice customers – advertising will be their most significant focus. And right now, the best advertising is done online.

So, here’s how you can play it…

How do I get some?

We’ve seen a massive shift within the retail sector – and it was happening even before the pandemic. More and more people are staying home and focusing their shopping habits online. And with this shift comes a shift in how advertisers are reaching their customers.

Because even with high unemployment, we don’t see people necessarily pulling back on spending but just spending money in different ways, focusing almost all of their shopping habits online. And here’s how I’ll be shifting my investment.

With the shift to online shopping, retailers are ramping up their spending on online advertising, specifically getting their ads up on Facebook, promoting their products to targeted users. That’s why I’ll be looking to get my money into Facebook as I believe the stock will be seeing a boost as we move into the holiday retail season.

In the spotlight: Another hit to the airline industry…

Another airline posted earnings and proved just how severe the impact of the pandemic truly is.

This time the victim was Delta Air Lines, posting massive quarterly losses. The airline company reported a $2.1 billion operating loss in the third quarter, which actually excluded special items like charges for buyout packages for employees who voluntarily left the company and early retirement of aircraft. When you total in those, the net loss passed $5 billion for the second consecutive period.

The third-quarter loss was larger than the number forecasted by analysts, which led Delta’s stock to drop 3%. Analysts are expecting this just to be the beginning of the “tragedy of airlines.” And currently, analysts are expecting airline losses to top $10 billion for the last quarter.

And Delta is warning that it isn’t expecting a miraculous recovery either. In fact, they could be looking at two years or more for the average demand to return. And I agree with this outlook as we still haven’t seen a noticeable uptick in airline bookings despite seeing restrictions lift across the country.

I Have Good News and Bad News

First, the good news…

Readers of my flagship service, the 1450 Club, are licking their chops at the prospect of the profits that appear to be on the horizon after Apple’s latest announcement.

Now, the bad news…

So many of my other Profit Pregame readers heard about this amazing opportunity and wanted to join, that spots are almost full.

I’d hate for you to miss out on any more recommendations I make in the 1450 Club, so I urge you to click here now to reserve your spot.

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