Amazon Prime Day begins at 3:00 PM this July 16, and promises to be an “epic day and a half” of exclusive deals, exclusively for Amazon Prime shoppers. Whatever you’re into, Amazon assures its customers, you can find it at a great price this Prime Day. Explore Something Digital’s six strategies on how to boost sales during this “epic day”.
Launched in 2015 to celebrate its 20th anniversary, Amazon’s goal is to make Prime Day the biggest shopping event of the year, topping even Black Friday and Cyber Monday. Though not quite there yet, Prime Day has generated impressive sales volume:
- Sales in Billions of U.S. Dollars
- 2015 – 0.9
- 2016 – 1.52
- 2017 – 2.41
Why You Should Care About Prime Day
Many retailers prefer to sit out Prime Day, considering it a manufactured holiday for selling stuff no one wants to buy (sales revenue in the billions prove otherwise). Besides, why should retailers participate in an event meant to benefit Amazon?
Here’s why you should care: The data show that customers who buy from a retail brand via multiple channels have stronger loyalty and higher lifetime value (LTV). You likely have many customers who are avid Amazon shoppers, which means Prime Day is a great way to strengthen your omni-channel marketing strategies. You can drive cross-channel purchase behavior by sending them emails or social messages promoting exclusive Prime Day deals. And not for nothing, 51% of all Amazon sales go to third-party marketplace sellers.
Moreover, other retailers, including Walmart, eBay, Microsoft and Best Buy are likely to get in the game, offering enticing sales strategies as part of their Current Deals programs. In other words, consumers will be primed to shop, and are likely to go online in search of a wide array of items, and you won’t want to miss out.
Here are 6 strategies to consider to help you make the most of this Prime Day:
#1: Offer items you want to move and that are easy impulse buys
Prime Day is impulse-buy central, with shoppers purchasing high volumes of stuff they never knew they wanted. This means you don’t need to offer your top selling or evergreen products on Prime Day; ancillary products are a great option. For instance, a shoe manufacturer once racked up Prime Day sales by offering exclusive deals across a huge selection of shoelaces. No one goes online for the express purpose of purchasing shoelaces, but when presented with a dazzling array of colors and styles in the feed, the impulse to buy is strong.
Prime Day is also a great way to move inventory in order to make way for new products (e.g. offer exclusive discount on swimwear so you can stock up on winter hats).
#2: Get Into Amazon Deals
Amazon Deals are essential to Prime Day, and getting your products into any one of them can send your sales through the roof. Amazon offers many deal options — Deal of the Day, Lightning Deals, Savings and Sales, and Coupons. If you haven’t yet applied to be included in Deal of the Day, do so immediately.
Lightning Deals (i.e. deals on items that last a short duration and are limited to one per customer) are a now a consumer sport, with numerous shopping blogs offering tips on how to snag them. To participate in a Lightning Deal, you and your products must meet these Amazon criteria:
- Have a sales history and at least a 3-star rating on Amazon
- Include as many variations as possible
- Not a restricted product or offensive, embarrassing or inappropriate product
- Prime eligible in all states, including Puerto Rico
- New Condition
#3: Use Sponsored Products to Your Advantage
Sponsored Products is Amazon’s PPC advertising service that helps sellers promote the products they list on Amazon. You select the products you want to advertise, assign them keywords and enter a cost-per-click bid. Then, when an Amazon shopper searches for one of your keywords, your ad is eligible for display alongside the search results. You’re charged only when an Amazon shopper clicks your ad, at which point the shopper is taken to your product details page.
If you carefully target Sponsored Products properly, and are thoughtful about your audience and your product assortment, you’ll find the tactic quite rewarding.
We experienced a great example of the power of Sponsored Products first hand when searching for a hydration vest for trail running on Amazon Prime. A product was listed for $150 (a bit high), but fortunately three competing products were listed in the feed as Sponsored Products. Although none of these products were Prime eligible, meaning they wouldn’t arrive within two days, they were $100 cheaper, and well worth the extra wait to receive the vest.
#4: Gift Cards
Gift cards are huge on Amazon and Prime customers are eager to get gift cards packs at a discount. You can leverage this impulse to encourage more omni-channel behavior, which, as we discussed above, promotes loyalty and higher LTV. For instance, you can offer a Prime Day deal of a discounted pack of gift cards that are redeemable on your own site.
#5: Gain Product Exposure via Headline Search Ads
With tens of millions of shoppers heading to Amazon this Prime Day, you have an opportunity to gain significant brand exposure, and Headline Search Ads are the perfect vehicle to help you do just that.
These ads, which appear in the search results on both desktop and mobile, feature multiple product listings of your choice, along with your logo and a headline. When customers click on your ad, they’re taken to a custom page with three or more items. If they click on a specific item listed in your ad, they’re taken directly to that product’s details page.
#6: Run Promotions on your Own Site
In the spirit of promoting omni-channel behavior (read: higher LTV), consider alerting your own website visitors to your exclusive deals for Amazon Prime Day.
This is also a good way to capture consumers who aren’t your customers, but who have been eyeing a product of yours and are wondering if you’ll offer it via a Prime Day deal.
Amazon Prime Day may be a manufactured shopping holiday, but it’s catching on fast among consumers. Coming six full months before the holiday season, Prime Day may ultimately help retailers turn a profit before Black Friday rolls around. For this reason alone it’s worth taking the time to create and implement Prime Day strategies.