Four Actionable Tips From Amazon’s Prime Day Success

Prime Day proved to be a big hit for Amazon with sales increasing 3X for Amazon Devices in the US. The second annual Prime Day was the biggest Sale day ever for Amazon. Amazon  announced in a press release customer orders surpassed Prime Day 2015 by more than 60 percent worldwide and more than 50 percent in the U.S.

With a pre-sale online deals announcement, Amazon created a Sales Hype for Prime Day. On the sale day, Amazon offered Lightning Deals that proved to be a major draw for existing and new customers. Amazon Fire TV Stick was Amazon’s best-selling device globally on Prime Day saw a price cut of nearly 50 percent as a Lightning deal.

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According to the press release, Small businesses and sellers on Amazon offering deals to Prime members saw orders nearly triple year-over-year on Prime Day – both worldwide and in the U.S. For Alexa Exclusive deals, including non-prime members a USD 10 discount was offered on a purchase over USD 20 made through an Echo, Dot, or Tap device.  Amazon saw one deal purchase being made every second by the Prime members. With better prices, Amazon Prime customers saved almost double the amount of savings in Prime Day in 2015.

Prime Day 2016 highlights from the U.S.
  • Amazon devices were up over 3x compared to Prime Day last year.
  • Biggest day ever for Amazon Echo – up over 2.5x compared to previous record day.
  • The most popular Amazon Dash Button brands purchased on Prime Day were Cascade, Charmin, and Tide.
  • Members purchased over 14,000 Lenovo laptops.
  • Members purchased on average one Alexa-exclusive deal per second during Prime Day using their voice.
  • Prime members had exclusive access to deals on top rated TV series and blockbuster movies to rent or purchase and instantly stream on the Amazon Video app on TVs, mobile devices, Amazon Fire TV, Fire TV Stick, and Fire tablets, or online – the top three Prime Day deal titles purchased or rented were: Deadpool, Kung Fu Panda 3 and 13 Hours: The Secret Soldiers of Benghazi.
  • Customers saved over $1 million on Kindle Unlimited memberships on Prime Day and the Prime Day Lead-up Deal on July 5.
  • The most selected Audible audio-book on Prime Day was A Game of Thrones: A Song of Ice and Fire, Book 1.

Among other notable facts, the more important trends are the use of mobile app among existing users where the orders on the app exceeded last year’s orders by 2X. As many as a million customers used Amazon Mobile App to check deals. Amazon’s Prime Day Sweepstakes received 2 Million entries for Prime Photo Sweepstakes.

  • Prime member orders on the Amazon app surpassed Prime Day 2015 mobile app orders by more than 2x.
  • More than a million customers used the Amazon app for the first time on Prime Day to shop and to watch-a-deal.
  • The Prime Photos sweepstakes had two million submissions worldwide during the lead-up to Prime Day.
Actionable Tips From Amazon’s Prime Day Success
Promote Your Subscription Service with a Free Trial For Increased Sign-ups

A subscription service brings more loyal customers. Amazon’s Prime Membership subscription grew to 63 Million from 44 Million Subscribers. What makes retailers win with a subscription service is that the subscription service customers on average spend higher than the nonmembers. Amazon Prime Members on an average spend USD 1500 annually in comparison with USD 625 spent by Nonmembers. Promoting the subscription service with a sale day events brings in a better rate of conversion and increased purchases.

Encourage App Opens and Site Visits with Exclusive Offers

Offer New products and services. Amazon’s Video Streaming added newer releases that Prime Members could stream exclusively that brought in Prime users to access the content on Prime Day and encourage App opens. With unlimited Video Streaming, users are encouraged to open apps. Exclusive offers that are promoted with special Prices such as Lightning Deals on a sale day  get a higher take-up rate. The deals announcement prior to the sales event and as Lightning deals proved to be a big draw.

Create a Win-win with Deals

Amazon’s Prime Day provided better savings in comparison with the last year’s sale. Prime Day was a great savings day too – members globally saved more than double on deals over Prime Day 2015. Offering value to customers with  sign-up deals brings in value seekers. Promoting your offers and products and up-selling can bring in increased revenues. Sale Day events are targeted at increasing the subscription service base, however to increase revenue from the subscribers, retailers need to look at revenue generation post the sale day event.

Include Deals and Offers On Staple products

New offers, game-changing products, Free Trials and Prizes and contest prizes can bring in new sign-ups and increase the engagement with  your existing customers to participate in sale day events however, including deals and offers on products that are the staple of your business can increase the sales and revenue. As seen for Amazon Prime Day the biggest increase came from staple household products.

  • Members purchased over 215,000 Instant Pot 7-in-1 Multi-Functional Pressure Cookers.
  • Members purchased over 200,000 headphones.
  • Members purchased over 24,000 Double Hammocks by Vivere.
  • Members purchased over 23,000 iRobot Roomba 614 Vacuum Cleaning Robots.
  • Members purchased over 14,000 Lenovo laptops.
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