Running promotions on Amazon can be a great way to help boost your revenue by increasing conversions where potential buyers view your products. Promotions help your buyers see additional value in your offerings by adding an extra benefit such as free delivery or a discount. This can help you to stand out from the crowd on Amazon’s competitive marketplace.
To run these special offers on Amazon, you must first own the Buy Box for the product you want to promote. If you’re ready to get started, we’ve rounded up the below tips to help you choose, set up and optimise some great promotions.
Your first step should be determining which of the four Amazon promotion types best suit your products. Your decision should depend on both your product range and your goals. Here are your options:
Free Delivery: Offering free delivery can help increase the size of your shoppers’ baskets. You can set this promotion to apply to orders above a certain threshold in value — or only if multiple items are placed in the shopping basket. That often pushes customers to add another item to reach the free delivery threshold.
Money Off: With this offer, you can highlight additional savings for consumers. This can be useful in increasing the average basket size if you set a saved amount when multiple items are bought. Alternatively, you can encourage customers to buy an item at a special reduced price.
Buy One, Get One: Give away additional items that add a compelling selling point. For example, buy one mobile phone and receive a matching accessory for free. Alternatively, you can create bundles of full-price items and give away one item for free with the product bundle.
External Benefits: This flexible option allows you to offer any post-order benefit. It’s not used often, but it can work well when you want to encourage customers to shop with you again. A good example is awarding loyalty points for a specific amount spent.
Once you decide which promotion best aligns with your products, you can go ahead and tweak your offering.
Generally, it’s a good idea to customise your messaging. Adding text to display in search results and on the item detail page will help your offering stand out.
Edit the section in your Amazon listing called Short display text to make your benefit clear.
Example: “FREE UK Delivery on orders over £30” or “Buy One Get One FREE on all Men’s T-Shirts”.
Additionally, you can optimise the promotion text on the item detail page. Edit the Amazon section titled Detail page display text. Explain your offer in plain but compelling words that describe what the offer applies to. This will make it very clear what the customer should expect. Example: “Get FREE UK delivery when you spend £50 or more on all items in store.”
You found a suitable promotion, and you know how to make it stand out in search and on item detail pages. What’s next?
Rather than making a promotion available to all Amazon shoppers, some retailers choose to make their offer more exclusive by allowing promotion codes, which can build customer loyalty but limit the audience who will see these promotions. If you do decide you want to go down the route of using promotional codes, we have a few tips for you.
You can set up several promotions for the same product range, and users can combine promotions depending on your settings. There are three types of codes that you can offer: preferential, unrestricted and exclusive.
- Preferential: This means customers can’t include more than one preferential claim code in a single order.
- Unrestricted: This code allows customers to combine several unrestricted claim codes in a single order.
- Exclusive: With this type of promotional code, shoppers can’t use any other claim code in a single order.
Also, if you’re running several promotions on one product range, you can rank a promotion over another by updating the display-precedence number for each.
Again, make sure to customise your messaging to fully optimise your promotion.
The key to successful sales on Amazon is setting yourself apart from the competition. Take a step back and review your Amazon performance, asking yourself:
How does your product range compare to other retailers’ on Amazon?
Do you own the Buy Box for your top-performing products?
Do you need to distinguish your offering with more selling points?
Promotions are a great tool for standing out from the crowd, but remember that Amazon promotions are visible only for products where you own the Buy Box.
You’ve chosen the most effective promotion for your product type and have optimised it as much as you can. Now the question is, Is it working?
To evaluate how effective your promotions are, you first need to know how your products perform without active promotions.
To get insights into your results, go to Seller Central and export relevant data on your products from the Business Reports section. It’s worth comparing values such as sessions, impressions, Buy Box percentage and orders before and after promotion activation. This will help you identify which promotions drive conversion considering other factors have not significantly changed.
Promotions can be a great way to increase your conversions on Amazon, but keep in mind that you must own the Buy Box before you can try these techniques. Check out our How to Advance Your Amazon Metrics eBook for helpful suggestions to help boost your Amazon performance.
Blog post by: Dominic Grevsmuehl, campaign manager at ChannelAdvisor