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Amazon Prime Day 2021: Everything you need to know to prepare for the retail event of the year


Amazon Prime Day 2021 is a worldwide event to be held on June 21 and 22. According to statements made by the company itself, total sales of between 3 and 6 billion euros are expected to be concentrated on these dates. Below, we will review the tools you have at your disposal to increase the visibility of your business in the Amazon ecosystem and sell more during Amazon Prime Day 2021.



What is Amazon Prime Day 2021


Amazon Prime Day 2021 is a worldwide event where all Amazon websites will offer exclusive discounts to more than 150 million Prime customers worldwide.


Its operation at the customer level is very simple: you just need to be subscribed to the Amazon Prime program to access the offers scheduled by both Sellers and Vendors for these days. In addition, with the subscription you have access to other benefits; among which, products without shipping costs, monthly sales subscriptions, the V.O.D. Prime Video platform, etc.



When is Prime Day 2021


Prime Day 2021 will take place on June 21 and 22, 2021. 


After playing hide and seek in all the formative presentations of the same, where we could see as not real date August 30, Amazon has already confirmed the real dates officially



What we saw on Prime Day 2020


Prime Day 2020 was quite unusual. The global socio-economic situation was completely affected by the pandemic, and user shopping behavior in digital environments changed dramatically. Therefore, the usual Prime Day dates (always around June or July) were postponed to October 13 and 14 of the same year. 


However, this generalized situation benefited Amazon, which reached a turnover of $3.5 billion in the 19 countries where the event was held, i.e. an increase of 60% compared to the 2019 period.



What to expect from 2021 Prime Day


According to Amazon, during 2021 Prime Day sales of between 3 and 6 billion euros are expected to be concentrated in these two days.


To achieve this milestone, it is speculated that all of Amazon's home automation products will, like Echo Dot or Alexa, will have discounts of up to 50% during this celebration.

  

In addition to the official offers on Amazon products, both Seller and Vendor have had access during the last two months to the Prime Offers campaign schedule, which being very similar to the Flash offers will automatically put their products at a minimum discount of 15%.


Evidently, along with the heavy discounting will come a steep increase in the average Cost Per Click (CPC) to promote these highly competitive products given the heavy discounting. 



Alternative offers for sellers on Amazon Prime Day 2021


Whether you are a Seller or a Vendor, you have at your disposal many tools to increase the visibility of your business within the Amazon Ecosystem. Let's take a look at what you can do to sell more on Amazon Prime Day 2021:


  • Amazon discount coupons

As you know, Amazon Cupons is a program by which Amazon sellers can program discounts both in % and in € on the PVP's of their products. 


One of its advantages is that there is no cost for the seller beyond assuming the discount itself, and the products see increased visibility both when entering the special Amazon coupons page, as well as by the banner that Amazon has on the main image of the products offered. 


Another advantage of this promotional method is that, since it requires the customer to check the box to apply the coupon, in many cases this action does not take place, so the seller ends up selling the product at the usual RRP. 


  • General Offers and 2×1

If your products are new and do not meet the basic requirements to enter the Official Prime Day Deals, or your margins do not allow you to reach that minimum 15% discount; do not worry: there is a solution. 


In Amazon Seller Central and Amazon Vendor Central you can program all kinds of personalized offers without having to reach that 15%. From Ads / Promotions Management you will have access to this type of discount and Amazon's 2×1.



Advertising your Prime Offers on Amazon


While it is true that scheduling offers is very good, they will be of little use if they do not reach your target. You should keep in mind that this period is expected to see an increase of more than 100% in the CPC of the main keywords, and therefore, appearing in the top search results in this period will be at least somewhat more expensive than normal. 


Knowing this, you must make a crucial decision before designing your strategy for Prime Day 2021: fight for the top positions of the main keywords (assuming the CPC overspend during this period), or look for more long-tail words, which, although they will refer to higher prices, will always have cheaper bids. 


Once you have made this decision, take into account what budget you are going to allocate to this Prime Day campaign, and what is your main KPI of reference.  When we talk about KPI we are talking about Key Performance Indicator, that is, which metric is the most important for you (whether impressions, orders, revenue or even ROAS).



Types of advertising on 2021 Amazon Prime Day


On Amazon's Advertising platform, we can find three basic types of campaigns with which to advertise your products. Let's see what they are and their main characteristics: 


  • Sponsored Product:

Sponsored Products campaigns are the most widely used model within Amazon. With a segmentation capacity both by KW and by Categories or products, they are presented as the basic infantry of your strategy. 


With them, you will be able to appear both in direct results in the search bar and in related products within products identified with the KW or categories you have selected as a segment.


According to Amazon data, the increase in visibility of products with this type of advertising campaign is 54% and 40% in orders


These campaigns are ideal if your KPI's are ROAS/ACOS; that is, pure and simple profitability.


  • Sponsored Brands

Sponsored Brands campaigns are owned by Sellers and Vendors with registered trademarks. If you have not registered your trademarks with Amazon, you will not be able to access this type of advertising. 


The basic advantage of these campaigns is that you can advertise up to three products at a time along with your brand logo, which if you want can redirect to your Amazon Store. 


These campaigns allow the user to quickly identify your products with the brand, so they are ideal for branding strategies


In addition, recently in Spain, we can program Sponsored Brand Videos, so you can show short videos of up to 45 seconds to advertise a product. This places the target at the bottom of the funnel in a faster way, as long as you work correctly in your video the USP (Unique Selling Proposition) of your product. 


Sponsored Brands are the middle ground between campaigns with branded objectives (such as impressions or new buyers) and more conservative options with ROI objectives. 


  • Sponsored Display

Sponsored Display campaigns are, basically, the traditional banner ad, with the particularity that you can not only apply it on Amazon, but also outside the platform (always from Amazon Advertising). 


This type of campaign is more appropriate for a strategy where the most important KPI's are based on visibility, and not so much on profitability. Thanks to its audience segmentation, you will be able to reach millions of users segmented by interest (such as "motoring") or life situations (such as "recently moved", or "parents with more than three children"). 


Sponsored Display is a very interesting option if your goal is to be seen in many different channels, but do not expect a profitability like Sponsored Products campaigns can offer. Besides, they can be the campaigns with the highest CPC's.



Rocket Digital, your Amazon Partner


Rocket Digital's Retail department will be happy to assist you in the development of your Amazon selling accounts, whether you are a Seller or a Vendor.


We will draw an action plan according to your needs and objectives, integrating it into your digital sales ecosystem and observing even the smallest detail of the nature of your business to achieve your goals in the fastest and most effective way.


Click here to maximize your sales on Amazon.


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