It is learned that according to "ModerRetail", since Prime Day is close to the back-to-school season, school-related supply brands have been working hard on Prime Day this year, not only offering bigger discounts than last year, but also doubling their advertising budgets.
Recently, a survey conducted by RetailMeNot showed that 76% of Prime members said they planned to buy back-to-school supplies during Prime Day. For school supply brands, the back-to-school season is one of the most important sales periods of the year. In an era when it is increasingly difficult to obtain direct traffic, participating in the Amazon Prime Day promotion can effectively increase exposure.
The report cited sales of two brands, Hydros, which sells water filters, pitchers and bottles, and Touchland, a hand sanitizer brand, which both offered deeper discounts and higher advertising budgets than in previous years, anticipating that more parents would use Prime Day to buy back-to-school supplies amid continued inflation.
This year's Prime Day, back-to-school supplies are even more expensive
Many Amazon sellers offered deeper discounts on Prime Day this year as high inflation hits U.S. consumer discretionary spending.
Around March of this year, Hydros shifted its business focus from its DTC independent site to Amazon. Last year, during Prime Day, Hydros offered a 20% discount on all products on Amazon, which boosted its sales by about 5 to 6 times higher than its normal monthly sales. The brand’s total revenue reached millions of dollars last year.
This year, Hydros offered a 30% discount on Amazon during Prime Day, a 10% increase from last year. Winston, its founder, said that part of the reason for the increase in discounts is that the brand is shifting its focus to Amazon, so it also needs to be sincere enough to attract consumers. The brand hopes to increase its revenue by 20% to 30% this year.
Touchland, a hand sanitizer brand, started to join Amazon last year. During this year's Prime Day, the brand launched a 20% discount and used social media such as TikTok to promote its brand image as a "fashion accessory." The brand also prepared more inventory this year, nearly doubling the amount of last year.
Touchland expects that, like last year, this year's Prime Day, its approximately 25 different SKUs on Amazon will be completely sold out. Last year, on the first day of Prime Day, Touchland's sales increased three times compared to usual. In the second quarter of this year, the brand's sales increased by 16% month-on-month.
This year's Prime Day, the competition for back-to-school supplies advertising is more intense
Big discounts are just one of the competitive means for sellers of back-to-school supplies. In the fiercely competitive Amazon, advertising is also an essential part.
For Hydros, as its business focus gradually shifts from DTC to Amazon, traffic acquisition from Amazon stores has become more important. Its founder Winston revealed that Hydros’ advertising investment in this Prime Day promotion increased by 30% compared with last year.
Hydros has reportedly cut back on advertising spending on Facebook and Google, channels that were designed to drive direct traffic to its brand website, and is instead focusing on increasing traffic to its Amazon store through Amazon Advertising, micro-influencers and social media.
Another brand, Touchland, is already an Amazon Launchpad brand and has gained a certain degree of popularity on Amazon. However, during this year's Prime Day, Touchland's advertising spending, including on-site search ads and social media, increased three times compared to last year.
For back-to-school product brands, Amazon Prime Day is becoming more and more competitive. But it is undeniable that Amazon is still an important traffic depression that can attract brands to invest heavily.
Editor✎ Ashley/ Disclaimer: This article is copyrighted and may not be reproduced without permission. |
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