1. Why Offer Discounts on Amazon?
Selling Amazon discounts offers multiple advantages, including:
● Boosting Sales: Discounted Items Drive Sales Volume and Visibility on Amazon (Buy Now/Save Money Section of Deals Tab). They allow customers to make faster purchasing decisions and raise sales volumes overall.
● Increasing Product Visibility on Amazon: Discounted products frequently appear as offers within this section and gain exposure with wider audiences than otherwise available products would.
● Building Customer Loyalty: Discounts can entice repeat buyers, creating long-term relationships.
● Competing Effectively: With so many products listed for sale on Amazon, competitive pricing and discounts may help your products stand out amongst their competition.
Now let's delve deeper into Amazon discounts and promotions and their ways to create them.
2. Types of Discounts on Amazon
Amazon provides sellers on its platform numerous discount and promotion opportunities, such as:
● Percentage off Promotions: Discount percentage applied to the original retail price of the product.
● Money off Promotions: Discounting of an exact dollar amount applies to the total purchase.
● Lightning Deals: Limited offers are only valid for a short duration or until stock runs out, and are therefore considered time-limited offers.
● Coupons: Customers may "clip and redeem" discount coupons when making their purchase at checkout.
● Buy One Get One (BOGO) Promotions: Provide customers with an incentive for purchasing multiple items - be it free or discounted - when doing business with you.
● Social Media Promo Codes: Sharing discount codes via social media to bring external traffic back into your Amazon listing can increase sales exponentially.
Share discount codes via social media to drive external traffic back to your Amazon listing and increase exposure for it.
3. How to Create Discounts on Amazon: Step-by-Step Guide
A. Setting up a Percentage off or Money off Promotion
With the help of these promos, you may lower prices by a set amount or as a percentage of the product's cost. This is how it operates:
1. Log in to Seller Central:
To create any promotion on Amazon Seller Central, it's necessary to log in or register as a seller first.
2. Navigate to Promotions:
○ Once logged in, go to the “Advertising” tab located at the top of the page and click on Promotions from the drop-down menu.
3. Choose Your Promotion Type:
○ Under Promotions, select either Percentage Off or Money Off.
4. Create the Discount:
○ Fill in all necessary fields, such as discount amount (percentage or dollar), product(s) eligible for promotion, and any special requirements such as minimum purchase requirements or purchase quantities.
○ Your promotion can also have start and end dates set, to ensure it runs for an established amount of time.
5. Target Customers:
○ You can choose whether your promotion applies to all customers or only specific segments, such as Amazon Prime members or repeat buyers.
6. Add a Promotional Message:
○ Optionally, add a message that will appear to customers when they see the promotion. This message could be something like “20% Off – Limited Time Offer!”
7. Finalize and Review:
○ Before submitting your promotion, carefully review its details. Once satisfied with them all, press Submit and launch it - this may take from several hours up to 24 hours until it takes effect!
B. Creating a Lightning Deal
Lightning Deals can create an atmosphere of urgency and quickly increase sales in just hours, being displayed prominently on Amazon's Deals page. These promotions typically last only several hours at any one time before expiring and being archived afterward.
1. Access Lightning Deals:
○ In Seller Central, go to the Advertising tab and click on Deals.
2. Select Your Product:
○ Choose the product(s) for inclusion in a Lightning Deal and keep in mind that not all items qualify based on Amazon's eligibility criteria such as product reviews and sales history..
3. Set the Deal Price:
○ You'll need to set a discounted price for your Lightning Deal. Amazon will show you a recommended discount range based on your product category. Ensure that the deal price is lower than the original price.
4. Set Available Units:
○ Determine the number of units you’re willing to offer at the deal price. The deal will end either when the time runs out or when all the units are sold.
5. Choose the Duration:
○ Lightning Deals typically last 4-6 hours and you can set an exact start and stop time of your choosing for each offer. You also have full control of when exactly they go live!
6. Submit for Review:
○ Once you’ve set all the details, submit the deal for Amazon’s approval. If approved, your deal will be scheduled for the designated time slot.
C. Creating Coupons
Customers increasingly utilize coupon clipping strategies during their purchases to save on items - an approach that has quickly become mainstream. Here's how to design and put one into action:
1. Navigate to Coupons:
○ In the Seller Central dashboard, go to the Advertising tab and select Coupons.
2. Create a New Coupon:
○ Click the Create a New Coupon button..
3. Select Products:
○ Choose the products you want to offer the coupon on. You can create coupons for individual products or a group of products.
4. Set Discount Amount:
○ Select your discount type: either as a percentage reduction or by providing an off-price offer of any dollar value.
5. Define Budget and Duration:
○ Set a budget for your coupon promotion - the maximum amount that is acceptable as savings on discounts - as well as its starting and ending dates.
6. Target Audience:
○ Target all Amazon customers or select specific audiences such as Prime members or those who've purchased from you previously..
7. Launch Coupon:
○ After reviewing all the details, submit your coupon for approval. It will be visible to customers within a few hours.
D. Buy One Get One (BOGO) Promotions
A compelling deal, like "Buy One Get One Free," can persuade consumers to make many purchases at once. This is how it functions:
1. Go to Promotions:
○ In Seller Central, under the Advertising tab, select Promotions and then choose Buy One Get One.
2. Set Promotion Parameters:
○ Make the selection you would like to feature and decide whether the second item can be offered free or at a reduced cost (e.g. 50% off).
3. Choose the Promotion Dates:
○ Set the start and end date for your BOGO promotion.
