As Amazon enjoys consistent growth, it’s using this day to promote the Amazon Prime program and attract even more members. This is a great chance for consumers to find great deals on millions of items. It’s also a unique opportunity for sellers to promote products. Amazon Prime Day was introduced in 2015 to celebrate Amazon’s 20-year anniversary. Given the amount of publicity around Prime Day this year, there’s a good chance it will rival the Black Friday-Cyber Monday weekend in terms of sales volume.
If you’re not aware, Amazon Prime is the program that gives members free two-day shipping on many items. There are also other benefits, such as access to streaming music and video. On Prime Day -and the days leading up to it- Amazon will be offering many special deals. Anyone who sells on Amazon can also get in on the action. Let’s look at some ways that sellers can profit from Amazon Prime Day.
The way ecommerce works these days, sales really start days before the actual sale and sometimes extend beyond the actual sale date. Consider Black Friday, which transformed into a whole weekend of sales ending with Cyber Monday. The last few years, observers have noted that it’s now more like Black November. The same is true for Prime Day, which officially starts at 6 PM the night before. July starts with a holiday, at least in the United States, so you can look at the whole week between July 4 and July 11 as a week of sales. Many sellers, no doubt, will try to milk this for the remainder of July and you should as well.
Promote Your Most Profitable Items
Prime Day is potentially lucrative for products in all categories. However, it’s always best to focus your promotional efforts in areas that have proven successful in the past. This is a good time to go over your analytics and look at products that have been doing well lately. You also want to make sure you’re well stocked on these items. You don’t want to risk running low on stock on one of the biggest shopping days of the year.
Another selling strategy to consider for Prime Day is to bundle products. Think of any products that go well together and offer them as a package deal. This can be a good way to move less popular merchandise along with more items that are selling well. Since customers are looking for great deals on Prime Day, it’s an opportune time to offer tempting packages.
Promote Your Offers on Social Media
It’s always a good idea to promote your Amazon products on social media. Prime Day is especially good for this. You should take advantage of the hype around Prime Day to promote your offers as widely as possible. On Twitter and Instagram, remember to add the hashtag #primeday to your posts.
Optimize Your Website and Product Listings
Prime Day is a good time to take a close look at your ecommerce site and look for any issues that need addressing. If you need to optimize your listings, layout, images, or product descriptions, now is the time to do so. Otherwise, you risk losing sales as impatient customers will flock to the most user-friendly product pages.
Price Your Products Appropriately
It’s easy to get caught up in the hype of days like Amazon Prime Day or Black Friday and go too far with your discounts. This is a day when everyone tries to underprice the competition. Larger companies that buy in bulk always have the advantage in this way. In some cases, these companies may even be willing to break even or take a loss in order to get some sales, build their brand, and hopefully acquire some loyal customers. Smaller businesses can’t usually afford to implement this strategy. Make sure you calculate all of your expenses as well as Amazon fees before setting your sale price.
On the other hand, if you have items that haven’t been selling and you aren’t optimistic about moving them, this is a good time to unload them. In this case, you might take a loss rather than risk holding onto them. Remember, Amazon charges you for unsold merchandise at a certain point.
Retail arbitrage is just a fancy name for buying cheap and reselling at a higher price. Many sellers do this on sites such as eBay, Amazon, Alibaba, and others. The idea is to look for something at an exceptionally low price and then resell it somewhere else. You can also look for great deals offline, whether at Walmart, dollar stores, yard sales, or thrift shops. Amazon Prime Day is likely to provide a good opportunity to do this. One thing to keep in mind, though, is that it’s against Amazon’s TOS to buy items using your Prime membership and then resell them on Amazon itself. So if you find some amazing deals on Prime Day, look for somewhere else to resell the items. Another way to leverage Prime Day using retail arbitrage is to find low-priced items on other sites and resell them on Amazon. Even though Prime Day is Amazon’s creation, you can be sure that other stores and sites will be doing everything they can to compete. So this is a good time to look for items in your niche all over the web.
Amazon Prime Day was huge in 2015 and even bigger in 2016. In fact, the 2016 event was the biggest single day in Amazon’s history. There’s no reason to doubt that 2017 will be an even more momentous retail event. It’s up to you to prepare for it and make the most of it. At the same time, keep it in perspective. While days such as Black Friday, Cyber Monday, and Prime Day are often good for sales spikes, they are still only individual days. Ecommerce success depends on what you do all year round. So make the most of Prime Day, but remember that your goal is to build a business that’s successful every day of the year!