Amazon Prime Day – What, Why and How
What is Prime Day?
Introduced in 2015 in part to celebrate Amazon’s 20th anniversary, the first Amazon Prime Day was a one-day-only retail holiday that sought to overtake Black Friday as the sales event of the year. This year, Prime Day will be a 48-hour sale event held on July 15-15. It’ll feature major deals on Amazon devices, as well as over 1 million other deals sitewide – with all prices exclusive to Prime members.
How do Sellers benefit from Prime Day?
Discounts and slashed prices are always great news for shoppers, but for third-party sellers who utilize the Amazon marketplace, the benefits of Prime Day are a bit more mixed. Sales and discounts bring the most benefits to retailers when they generate customers who will become repeat customers. Amazon certainly realizes this by heavily promoting its Prime membership (which clearly ties customers to Amazon’s services) and branded products. If you buy a discount Echo, you’ll likely be asking Alexa to buy a lot more goods from Amazon pretty soon.
As you prepare your ads for Prime Day, plan to increase your budget and your bids. The competition for ad space will be fierce; so to take advantage of the Amazon advertising algorithm, consider starting your increases before the event.
Maximize your inventory.
Efficient inventory planning is the highest leverage activity that brands can do to prepare for Prime Day. Prime Day historically, has resulted in a huge spike in traffic and sale for popular products, which in turn boosts the Best Seller Rank (BSR). A boost in BSR means elevated sales both during the event, as well as after the event, where we see increased sales continue into the weeks after Prime Day. Ensure you have adequate inventory available to capitalize on this surge of interest.
Audit your best-sellers page content.
Whether or not you are planning on running a sale on Prime Day, the surge of traffic alone makes it worth it to run a quick audit across your best-selling listings. Ensure your titles, bullet points, images and descriptions are up to date, as we all know these can get changed without your approval from time to time.
Audit your reviews.
Have all customers questions been answered accurately? Are there responses to negative reviews? Have you addressed customer questions and complaint issues proactively in your content? Make sure your page indicates that you are attentive to customer feedback
Think of Prime Day as a dress rehearsal.
Brands should be using Prime Day to ensure that everything runs smoothly. Did you run out of stock? Then you need to improve your FBA replenishment strategy. Did your ad campaigns not achieve targeted impressions? Then research and use better keywords. Did the ASIN see an increase in traffic but not conversion? Then deep-dive into the detail page to find opportunities for improved content, or have better pricing and promotion strategies.
Amazon Prime Day is one of the most important shopping days of the year for Amazon sellers, not just because of the increase in traffic on the day itself, but also because of the lasting ‘halo effect’ it has, in terms of increased sales in the weeks that follow.