Even if you’ve never purchased items during the event, chances are you’ve heard of Amazon Prime Day. Similar to Black Friday and Cyber Monday, Amazon Prime Day is deeply embedded in American consumer culture and one of the most-anticipated events of the summer. According to Digital Commerce 360, the July 2023 sale brought in over $12.90 billion compared to less than $1 billion when it first began in 2015. In fact, it’s so popular (and profitable!) that Amazon added a second Prime Day in October to offer holiday-related deals.
With eyes already on Amazon during these periods, it makes sense for small businesses to take advantage, especially if the brands already have a presence in Amazon's stores.
As Alexander Bell said, "Before anything else, preparation is the key to success." In that spirit, here are ways emerging CPG brands can plan for Prime Day. For reference, "Amazon Small Business Guide: How to Get Started" details how to sell your products on Amazon.
Attend Seller University – Amazon's Seller University provides a wealth of webinars and resources for small business owners to maximize their presence in Amazon's stores. There are different types of sellers on Amazon. While any seller can participate in Prime Day, Seller Fulfilled Prime allows you to deliver directly to domestic Prime customers from your warehouse. By displaying Prime branding on your offers, you are committing to fulfill orders with one-day and two-day delivery at no additional charge for Prime customers.
Set SMART goals. Specific, measurable, achievable, relevant, and timely goals based on past performance, ideal average order value, new consumer orders, etc. Understanding goals will help plan appropriate strategies.
Stock products accordingly. Prime members expect to receive their products quickly. Make sure warehouses are properly equipped, but be aware that overstocking can be risky, which is why SMART goals are crucial.
Dress for success – Prepare your Amazon store for increased traffic. Update photos, incorporate creative copy, and proofread product descriptions. Additionally, check out the Enhanced Brand Content (EBC) function, which allows brands to enhance the product description section with additional images and text to help customers make buying decisions.
Promote your Prime Day participation. Every asset should mention your brand's involvement on Prime Day. Businesses should create dedicated e-mails with a save-the-date, a sneak peek of deals, and exclusive products. All social media accounts should include a graphic, and links to your Amazon store should be in profiles.
Invest in sponsored products. Sponsored Products are displayed in search results and on product detail pages when shoppers enter search words that match keywords a business bids on. Visit the Sponsored Products page for more information.
Research Lightening Deals – A lightening deal is a promotional offer in which an item is featured on the Amazon Deals page for a limited time. Only professional sellers can utilize a lightning deal. To learn more about lightning deals and apply for them – click here.
Implement ways to measure success – Now that you have SMART goals, it's essential to understand how to evaluate the data after the fact. Assessing the results is crucial to prepare for the next Prime Day occurrence. Amazon offers a variety of business reports. Click here to learn more about them and watch tutorials about the reports.
Bottom line: If a brand has decided to be on Amazon (check out "Should You Sell Your Product on Amazon?", founders should add Prime Day to the company's promotional calendar alongside Valentine's Day, winter holidays, and Halloween. Consumers are already on Amazon looking for deals, and it's a prime opportunity for smaller brands to introduce themselves to a new audience.
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