One of the biggest ecommerce events of the year is back. Amazon recently announced that a second Amazon Prime day will be held on October 10th and 11th. This event is exclusive to Prime members and offers the opportunity to bring in some big sales wins right at the start of Q4.
Since its conception, Amazon Prime Day has established itself as a critical opportunity for brands to leverage their product offerings and innovate marketing techniques to maximize their visibility, sales, and customer engagement. One of the best ways to do this? Create a strategy that increases brand and product exposure while providing customers with memorable experiences.
Easier said than done. In this article, we will provide details on several types of Amazon deals so you can decide which fits your brand and products the best, then highlight two examples of brands who utilized these deal options and garnered profit growth.
Deal Types
Before talking deals let’s discuss what type of deal you should be choosing for your brand and products. According to Keeleigh Marr, Channels Manager at Spreetail, it all starts with the goal you have in mind. Think of what you are trying to accomplish and use the promotions that exist to help propel you towards reaching that goal.
“Understand how the merchandising functions from one deal type to the next. Certain types can be effective when you're competing against a different product, but less so when you're competing against other sellers on the same product.”
Coupons
A coupon offer is a self-service tool that can be leveraged at any time without approval. Customers can discover coupons through the coupons page, search results, and on PDP (Product Detail Page). Please note that running a coupon does NOT assist in taking over buy box.
Requirements:
- Minimum of 5% off
- Maximum of 80% off
- All products are eligible for coupons Exception – Hunting and weapons cannot have a coupon
- Can be SFP (Seller Fulfilled Prime) or FBA (Fulfillment by Amazon)
Top Deal
Top Deals are 24 hour-long deals curated by Amazon through submissions from sellers for specific themed events. These deals are 1-click from the home page and can obtain a home page placement dependent on overall popularity.
Requirements:
- 4 star or better rating
- Minimum 20% off current price
- Submission based: 30 days before the run date
- Can be FBA or SFP
- Must be coupled with advertising
Lightning Deals
Lightning Deals surface a limited-time deal badge that creates a sense of scarcity. Lightning Deals are a good fit for high-value products buyers have been eyeing and waiting to buy at a discount. These deals run from 4 to 24 hours, are self-service and surfaced to sellers by algorithmic suggestions.
Requirements:
- Must be available as Prime nationally
- 3.5 Star Rating minimum
- Agree to selling a set number of units at this price point
- Deal price minimum of 15% off
- Must be coupled with advertising
Seven-Day Deal
Relative to a lightning deal, you have more control over the date and the time your deal appears with the 7-day deal. 7 Day Deals tend to convert a bit lower due to the lack of scarcity. These deals are also self-service and surfaced to sellers by algorithmic suggestions.
Requirements:
- Must be available as Prime nationally
- 3.5 Star Rating minimum
- Agree to selling a set number of units at this price point
- Deal price minimum of 15% off
Prime Exclusive
A Prime Exclusive Discount is a price discount available to Prime members only. Product offers with a Prime Exclusive Discount will show a discounted price with the regular price crossed out and will be displayed on PDP (Product Data Page), in search, etc.
Requirements:
- Lowest price L30 - Minimum 5% less than list price (MSRP - Manufacturer's Suggested Retail Price)
- 3 Star Rating OR no rating
- Minimum 10% Maximum 80%
- Must have a reference price (was or list price)
- Counts towards winning buy box
“When it comes to which deal type offers the most results, we see a few things. Coupons are effective in instances where buy box competition is minimal and advertising budget is available due to how they are merchandised on page and in search. In instances where you're fighting for buy box or you have strike-through pricing visible on page, adding a price discount directly to the retail goes a long way! Top Deals are another deal type that we see great outcomes from but come with immense pre-planning as due dates are typically 3-4 months in advance of promotional events.” - Keeleigh Marr, Channels Manager at Spreetail
Example: Bear Mountain BBQ
Deal Type: Coupon
Overview: Bear Mountain decided to provide customers with a 48 hour 50% off discount with a clear goal in mind - obtaining the top BSR (Best Seller Rank) spot in grilling pellets on Amazon. The brand began this strategy in October 2022 and ranked #467 in Patio, Lawn, and Garden. In the time since going live with the deal, their average BSR has maintained in the top 200 and they have held steady at #2 in grilling pellets.
Results:
- 1,036% GMV (Gross Merchandising Volume) lift
- 15% of Bear Mountain sales came via an attribution link used through social media, 30% of sales from overall ad revue
- 7.6% increase in ACoS (Advertising Cost of Sales)
Example: Hauck
Deal Type: Top Deal
Overview: Hauck had the goal in mind to increase rank and traffic by offering a 30% off Top Deals placement, specifically during the Amazon Cyber 5 event. During marquee events such as this, offerings appear on the Deals Page as it becomes the most shopped page on Amazon.
Results:
- 3,814% GMV lift
- 4,729% incremental increase
- Rank increase from #179 to #59 (highchairs)
- GMV continued to rise an average of 100% weekly following the end of the deal event
Deals Management with Spreetail
Take the hassle out of deal strategies and management by partnering with Spreetail. Our channels team positions your brand to be the first to adapt to innovative programs, promotional opportunities, and algorithm changes. Discover your opportunities.
Digital Marketer
