5 Steps to Maximize Revenue During Amazon Prime Day
Are you ready for Amazon Prime Day? Your customers certainly are, so how can you ensure to meet their demands while maximizing the benefit to your business? To guide you in the right direction I’ve prepared five essential steps to help you maximize your efforts during this highly anticipated shopping event.
Step 1: Plan a Comprehensive Advertising Strategy
Like any marketing or business endeavor you have to set yourself up for success by creating a solid advertising strategy. Start by outlining your objectives, allocating budgets, and defining key performance indicators (KPIs) to measure the success of your campaigns.
Think about the end goal, are you going to be aggressive with discounts/spend, in an attempt to capture new customers/revenue, or do you want to the measured approach of generating sales while maintaining profitability?
Step 1B: Select the right products
Depending on how large your portfolio of products is choosing the right products to advertise during Prime day could be very important. here’s a few factors to keep in mind when selecting which products to advertise:
- Average Customer Rating & Number of Reviews: Choose your top rated products with at least 20+ reviews
- Consider Historical Data: Which products performed well at this time last year,
- Also think about whether there are any new sales trends you could capitalize on?
- Inventory levels: The last thing you want is for inventory levels to dry up during the sale, so make sure you have enough inventory for any sharp increases in sales.
Step 2: Optimize Product Listings
With fierce competition during Prime Day, it’s essential to optimize your product listings to stand out from the crowd.
Begin by conducting thorough keyword research and strategically incorporating relevant keywords into your titles, bullet points, and product descriptions.
Use high-quality images and captivating product videos to capture shoppers’ attention. Craft persuasive and compelling copy that highlights the unique selling points of your products. Follow Amazon’s SEO step-by-step guide to help get you started.
Step 3: Leverage Different Amazon Advertising Types
Make the most of Amazon’s advertising features to boost your visibility and sales.
- Sponsored Products enable you to promote individual products within search results, increasing the chances of attracting potential customers.
- Sponsored Brands allow you to showcase multiple products, along with your brand logo, creating brand awareness and loyalty.
- Amazon Display and Amazon DSP provides access to Amazon’s exclusive audience data, allowing you to target potential customers across Amazon and the web effectively.
So carefully consider the right mix of Amazon Ad types, here are a few campaign structure ideas based on the two advertising strategies listed in Step 1:
| Campaign Type | 1. Aggressive (Revenue) | 2. Measured (ROI) |
|---|---|---|
| Sponsored Products | Create both manual and automatic campaigns | * Do research with automated campaigns beforehand. * Stick with targeted manual campaigns for your top performing keywords/products. |
| Sponsored Brands | * Campaigns featuring products that you want to promote throughout the event. * Create an Amazon Store Prime Day subcategory page * A/B test different pages to find the highest converting | Create strong brand campaign featuring best sellers with top performing creative |
| Display | * Test out multiple target audiences to reach new & existing customers within Amazon. * Launch remarketing to cast wider net. | * Launch display campaigns limited by performance. * Ensure you hit your ROAS/A/S goals before expanding further |
| DSP | Reach audiences outside of Amazon before and during the event | Ability to test a limited budget in the weeks leading up to prime day |
Step 4: Implement Time-Limited Promotions
Create a sense of urgency and excitement among shoppers by offering time-limited promotions during Prime Day. Submit deals for multiple products early, but keep in mind the competition is fierce, so ensure the deal is strong.
Alternatively, you can also use coupons to entice customers to make a purchase. Highlight the limited duration of these promotions, and run them for the entire week.
Step 5: Retarget and Engage Previous Customers
Prime Day presents an excellent opportunity to engage with your existing customer base and boost repeat purchases. Implement retargeting strategies to reach out to previous customers who have shown interest in your products.
To further fuel the fire craft personalized email campaigns, social media ads, or push notifications to inform customers about exclusive Prime Day offers and discounts.
Consider providing early access or special benefits to reward and encourage customer loyalty.
Why bother? Customer Lifetime Value Impact
One of the biggest reasons brands participate in Amazon Prime Day is the significant impact it can have on Customer lifetime value. It offers opportunities for increased customer acquisition, as the event attracts a large number of shoppers looking for deals.
Time-limited promotions and exclusive discounts can drive repeat purchases and foster customer loyalty. Cross-selling and upselling during Prime Day can increase average order values and expand product engagement.
The data generated from this event can provide valuable insights for personalized marketing efforts, while the brand exposure and positive word-of-mouth generated during Prime Day can lead to new customer acquisitions and extended CLV.
Overall, Prime Day has the potential to positively influence CLV by acquiring new customers, fostering loyalty, and driving higher-value purchases.
