Now that the Winter King has been slayed, it’s safe to say that Summer is coming. Of course, with Summer upon us, it’s time to get ready for Amazon’s Prime Day. If you not aware of Prime Day, we will let you on a secret – it’s a big deal and is expected to be even bigger this year. While Amazon has not announced the date, based on prior years we can expect Prime Day to he held on the second Tuesday of July. Here are some things to consider as you plan for this event:
Promotions: Last year we observed a wide performance mix for clients that ran Lightning Deals. Categories such as Toys, Electronics, Luxury, Kitchen, Soft Lines, and Gifts did well. Others like consumables experienced less than stellar sell-through in most cases. If you are planning on running a Lightning Deal, keep in mind that all deals must be run at a minimum of 20% off and all ASINs in the deal must have 3.5 stars or better. On top of the discount you give to the customer, Amazon will charge you a merchandising fee of $500 for deals that run on Prime Day and $300 for deals that run during Prime Week. For those choosing not to run Lightning Deals, we recommend running coupons to help drive conversion during this high traffic period, especially if your product is a good fit for Subscribe and Save.
Marketing: As with promotions, how you choose to set your AMS strategy should be dependent on the category of products you sell. The same categories that are a good fit for Lighting Deals are also a good fit for an increased AMS budget on Prime Day. Other categories should instead focus on leveraging the increased traffic on Amazon both pre and post Prime Day and set budgets accordingly. Additionally, incorporating a cross-channel marketing strategy in order to drive traffic to your Amazon deals from other digital channels is a best practice that proved to perform well for clients during Prime Day last year.
Operations: Even the best promotional and marketing plans will if the right amount of product is not in stock on Prime Day. We are advising our clients with Seller Central promotions to ship the needed inventory four weeks prior to Prime Day. On the Vendor Central side, Amazon’s inventory planning system will automatically consider the impact of all approved promotions and order accordingly.
At Ideoclick, our marketing services team are expert strategists and help our clients efficiently leverage the increased traffic around Prime Day. If you are not already a client, reach out to us at email@example.com to learn about how we can help.