Which Amazon Promotions Work Best?

A promotion on Amazon means offering discounts to shoppers to increase sales velocity, average order value (AOV), improve visibility, ranking, and grow your customer base. Sellers have to provide promotions in such a way that they entice customers and easily persuade them to buy the product. You can create promotions that are on as well as off-Amazon.

Sellers can easily create promotions on Amazon from the Advertising tab in Seller Central. While creating promotions, sellers have to take into consideration what their end goal is and what kind of promotion suits them the best according to their product catalog.

Types of Amazon promotions

Let’s take a look at the different types of Amazon promotions and how they work so that you can choose one that best suits your business needs.

Amazon Lightning Deals

These deals are the most popular ones and appear on the Amazon Deals Page. What is meant by Amazon Lightning Deals? When you promote a product with a lightning deal, it means you can avail that product at that price for a limited period usually a short time frame like a few hours.

These deals are usually displayed along with a countdown showing how much time is left before the deal expires. Sellers are required to pay a certain amount as a fee ($150 — $500 per deal) as well as meet certain inventory criteria to have lightning deals for the promotion of their products.

If your goal is to generate awareness for your brand rather than boost sales then this type of deal works very well. These types of deals generally work better for larger, more established brands instead of novice sellers.

Check out this video to know more about the amazon lightning deals:

Amazon promotions — Percentage Off, BOGO, Free Shipping

Percentage Off is a type of promotion whereby customers can avail some amount of discount off the original price of the product with the use of a promo code like “SAVE20”.

These are the simplest to set up and are effective in getting rid of surplus inventory quickly. BOGO (Buy One Get One Free) is a type of promotion whereby customers get a free product on account of making a qualifying purchase.

It can vary such that you can put out a Buy Two Get Two Free offer as well. Free Shipping is self-explanatory and is mainly for sellers who don’t use Prime or Amazon FBA. It is a kind of promotion whereby you offer Free Shipping to customers if they purchase a certain amount. It is similar to Percentage Off.

Coupon Codes

Coupon Codes are dollar discounts that you offer to customers at the original price of a product. These coupons usually show up on Amazon SERPs and individual listing pages and thereby work towards boosting your traffic, improving CTR as well as conversions.

Amazon coupons need to be clicked on or “clipped” before adding the item to your cart. The coupon must offer a discount that’s anywhere between 5% to 80% of the original price.

You can decide on a budget for the coupon and the validity of the coupon for shoppers will automatically terminate when over 90% of that budget has been used up.

Social media promos

These promo codes can be used multiple times and work as a group promo code that sellers share on social media platforms.

Social media promo codes redirect a shopper to a landing page of just one product or a bunch of products (complimentary items) with a custom URL.

However, only those sellers are allowed to run these promos so long as they have a feedback rating of 4 stars and more. It is the most effective way to promote your products to a group of shoppers.

Since this kind of promotion directs shoppers to a landing page instead of an individual product detail page, and the traffic being directed is more filtered, it improves your conversions. If you are a brand owner with a social media account that has a good follower base, these promos could work very well for you.

Prime Exclusive discounts

The Amazon Prime membership comes with an array of benefits. One such benefit is the Prime Exclusive discount and you can find it on the pages of search results.

These discounts offer the most benefits to Prime members on the famed Prime Day sales. These are also extremely easy to create but they’re not particularly instrumental in generating higher sales.

Off-season promotions

If you’re a seller of seasonal products like Christmas decorations, festival greeting cards, etc, then you need off-season promotions. These will help you boost the sales of your products during the off-season.

There may be shoppers out there who will be looking for such products and if they’re not, a good discount is enough to convince them to buy it. It is an effective way to remove excess inventory that has been left behind after the season sales.

Conclusion:

If done correctly, promotions can help you easily attract new customers, retain existing ones, and build a sense of loyalty. Most of the time, sellers indulge in providing discounts to boost sales. Another reason for promotions is enhanced visibility.

However, you need to plan your promotions well keeping in mind your budget and your business goals. Now that we have discussed the various promotions on Amazon and the purposes they serve, you are in a better position to plan your future promotions.