We recently had the privilege of attending Amazon's ‘Prime Day Summit 2023’, where we gathered valuable insights on how to make the most of Amazon Prime Day and we just had to share some of the insights we heard! While the official date has not been released yet, we highly recommend getting all your ducks in a row sooner rather than later. In this article, we'll share our key takeaways from Amazon’s own advice to help you maximise your success on Prime Day. So, sit back, relax, and let's dive in!
What is Amazon Prime Day?
Amazon Prime Day is an exclusive shopping extravaganza hosted by Amazon, offering irresistible deals and discounts exclusively to Prime members. With a staggering number of over 200 million Amazon Prime members worldwide, this event presents a golden opportunity for advertisers to build their brand, reach a vast audience, and raise brand awareness. It typically spans a 48-hour window and is recognised worldwide.
What to Expect from Amazon Prime Day?
Amazon Prime Day is not just an event; it's the first wave in a series of sales events for H2, making it an ideal trial run for upcoming shopping seasons. In the UK alone, ad-attributed sales on Amazon's platform skyrocketed by an impressive 283% during Prime Day, compared to the preceding 14 days. This marks a significant increase from the previous year's growth of 157%.
Why Advertise on Amazon Prime Day?
Amazon's advertising business experienced an incredible 19% growth in 2022, while other platforms like Google and Meta faced slowdowns (Source: CNN). So, without a doubt, joining the Prime Day bandwagon is a smart move if you want to maximise your returns.
Increased Traffic and Visibility
A whopping 82% of surveyed shoppers are highly likely to discover new brands during Prime Day. Last year's Prime Day broke all records, with Prime members purchasing over 300 million items globally and saving over £1.36 billion GBP while doing so.
Boosted Sales and Revenue
Your advertising efforts on Prime Day don't just end with the event itself; they have lasting effects. Surprisingly, 31% of surveyed shoppers are likely, or highly likely, to purchase the same product even after Prime Day ends, even if there's no deal. Leveraging Amazon Ads during this time can help you drive efficient omnichannel impact both on and off the Amazon platform, amplifying your sales and revenue.
Preparing for Amazon Prime Day
Amazon Prime Day Has Three Phases
To make the most of Prime Day, you need a solid strategy that covers all three phases - Prime Day Lead-Up, Prime Day, and Prime Day Lead-Out.
Phase 1 - Prime Day Lead-Up:
Before the event even begins, Prime Day shoppers are already engaging with Amazon, and researching products they want to buy on the day. This is your opportunity to showcase your brand and capture the attention of shoppers.
Phase 2 - Prime Day:
Prime Day goes live, attracting millions of users who are looking for the best deals. During this period, it's crucial to ensure your brand is prominently displayed, catching the eye of shoppers actively searching for discounts and offers.
Phase 3 - Prime Day Lead Out:
Even after Prime Day concludes, shopper engagement continues, presenting a golden opportunity to reach both existing and new-to-brand customers. This phase allows you to remarket, engage, and nurture relationships with those who have been exposed to your brand messaging during the event.
Plan Advertising Campaigns and Promotions
When planning your advertising campaigns, carefully select the products you wish to promote. Did you know that ASINs (Amazon’s way of saying product) with a discount coupon advertised within a Sponsored Product Campaign see, on average, four times more ordered units than those without? It's a remarkable opportunity to drive sales.
Most importantly, ensure your budget is ready for Prime Day. As we mentioned earlier the research shows that 60% of customers actively research products in the lead-up to Prime Day before making a purchase. By planning in advance, you'll ensure your brand remains visible to potential customers throughout the shopping event.
Tips for Effective Advertising on Amazon Prime Day
Enhance Your Product Listings
During Prime Day, a staggering 82% of shoppers are likely to discover new brands. To seize this opportunity, you need to optimise your product listings. Consider using a dynamic bidding strategy to adjust bids based on performance, ensuring your campaign's effectiveness. We recommend using keywords (KW), Automatic and Manual targeting, and testing/trialling bid strategies, in tandem to help you reach a wider audience, and increase your chances of conversions.
Customers value convenience above all else, which is what Amazon’s platform provides in abundance, so be sure that your brand makes the customer purchase journey as easy as possible for shoppers.
Leverage Amazon's Advertising Tools
Take full advantage of the array of advertising tools provided by Amazon. Brands that use four or more Amazon Ad solutions experienced an impressive average sales growth of 73% YoY, with a 63% increase in new-to-brand growth.
As we keep mentioning, one of the best pieces of advice we can give is to not wait until Prime Day arrives; it’s best to start advertising well in advance. According to a recent Kantar survey, 75% of shoppers are highly likely to purchase a product during Prime Day that they discovered in the lead-up. Advertising both before and during Prime Day can significantly boost awareness and consideration for your brand. Sponsored Brands is an excellent tool that allows you to showcase your products in prominent placements on search results, particularly on mobile devices where it occupies more space.
Measuring Success on Amazon Prime Day
Use Key Metrics to Track Your Performance
To gauge your success on Prime Day, it's crucial to track key metrics that provide insights into your performance. Metrics we highly recommend you take into consideration include click-through rate (CTR), advertising cost of sale (ACOS), new-to-brand metrics, return on ad spend (ROAS), and cost per click (CPC). Applying these KPIs to each phase of your campaign will help you to gain a clearer picture of your performance and identify areas for improvement.
Adapting Your Strategy for Future Amazon Prime Days
View Prime Day as a valuable learning experience that helps you fine-tune your strategies and discover your own best practices. By doing so, you'll not only set yourself up for success in future Prime Days but also be well-prepared for other significant shopping events, such as Black Friday and Christmas. Prime Day is the perfect test run for optimising your advertising and sales approach.
To wrap it all up
Amazon Prime Day offers an unparalleled opportunity for sellers to boost their brand, drive sales, and increase revenue. By following some of the tips in this article, you'll be well-equipped to make the most of this highly anticipated shopping event. Remember to strategise, plan well ahead, optimise your advertising, and measure your performance to adapt and improve for future success. Prime Day is not just a one-time event; it's a stepping stone to greater achievements in the world of online selling. So off you go! Go make the best of Prime Day 2023!