Retailers Bite Back on Amazon Prime Day

As Amazon Prime Day nears, retailers are scrambling to compete with the sensational sale that is nearing "Black Friday" status.

Target, for example, is launching a one-day sale that boasts a slew of deals and free two-day shipping on orders over $35 and free shipping and a 5% discount for REDcard holders, which is reminiscent of Amazon's Prime benefits. Additionally, shoppers who spend $100 during the July 17 sale will receive a free six-month membership for Shipt-powered same-day delivery. 

Additionally, Macy's is hosting a "Black Friday in July" with savings on items across the store, and Kohl's is offering 15% off online purchases and $10 Kohl's Cash for every $50 spent. Kohl's is also tempting shoppers to sign up for its charge card by offering an additional 30% off the first purchase made.  

Grocers also joined in on the big-sales bid, with Kroger offering up to $100 in digital coupons for organic items and Sprouts giving its customers 35% off on more than 600 items. It was not explicit that these offers were meant to compete directly with Whole Foods, but analysts say grocers could well feel a competitive impact from the annual event now that Amazon has included deals at Whole Foods as part of the offering.

The Prime Day deal at Whole Foods provides members of the e-tailer's Prime loyalty program with a $10 Amazon credit for spending $10 in stores. Whole Foods is also offering Prime shoppers discounts and rewards for trying its Prime Now delivery, where available. The 36-hour Prime Day event is expected to generate about $3.4 billion in sales, according to a report from Coresight Research.

Related:Analyst Pegs Amazon Prime Day Sales at $3.4B