August 14th, 2023
For Amazon sellers, boosting customer engagement is the name of the game. Actively building customer relationships and expanding one's reach can prove to be quite challenging in a highly competitive field of 2.4 million sellers.
A vast number of shoppers are searching for a great deal, so offering promotions that appeal to your target audience is one of the most effective ways to boost conversions, sales, and customer retention.
Amazon offers a variety of free tools to help sellers reach customers who are likely to complete a purchase. With the help of Amazon’s new Brand Tailored Promotions, you can give loyal customers exceptional deals that showcase your unique value and strengthen brand recognition.
Not only does this benefit sellers, but it helps Amazon reach its ultimate goal of becoming the quintessential matchmaker between shoppers and their favorite products.
What Are Amazon Brand Tailored Promotions?
Amazon Seller Promotions has historically been a popular resource for sellers who are looking to grow their brand on Amazon. With customers constantly searching for the best discounts and deals, promotions have been proven to be a highly effective way to cultivate a sense of urgency and trigger the “Buy Now” response.
Brand Tailored promotions are a free tool that brands can use to customize and send promotional codes to Brand Tailored Audiences who are likely to complete a sale. These customized discounts are designed to satisfy shoppers and sellers alike, providing incentives to buy products that align with their search.
Currently, Brand Tailored Promotions are available to US and China-based sellers and must be applied to your entire product catalog. Amazon aims to introduce product-specific promotions in the near future and extend this new tool to sellers in Japan, Europe, Canada, and Mexico. In the future, sellers will have the option to select specific ASINs and send emails showcasing these customized promotions.
With Brand Tailored promotions, Amazon sellers can boost brand loyalty by offering 10% to 50% promotional discounts to high-intent buyers. With a comprehensive understanding of shopper behavior, targeting interested shoppers could simplify the process of converting potential sales into real ones.
The Importance of Product Promotion for Amazon Sellers
Amazon Seller Promotions are designed to foster customer loyalty and help shoppers discover your products. While providing discounts may impact profits, it can ultimately generate substantial sales volume and enhance customer lifetime value (CLV). As customers begin associating your brand with outstanding value, they are more likely to select your products over those offered by your competitors.
No matter how amazing your products are, if you aren't actively promoting them, you may be missing out on valuable opportunities. Promotions and discounts should be integrated into a larger marketing strategy that targets interested shoppers and provides them with exclusive and irresistible opportunities. Along with increased customer satisfaction, Amazon promotions provide valuable data that you can use to drive growth.
Some of the primary advantages of running promotions include:
- Attracting new customers
- Boosting sales and revenue
- Improving Click-Through Rate (CTR)
- Building customer loyalty
- Creating a successful product launch
- Moving excess inventory
- Improving brand reputation
Setting Up An Amazon Brand Tailored Promotion
You can access Brand Tailored Promotions from your Seller Central account. On your main page, choose Advertising from the left-hand menu and click on Brand Tailored Promotions or go to: https://sellercentral.amazon.com/brand-tailored-promotions/.
Some sellers may see a 'Coming Soon' banner. If so, they can expect to access Brand Tailored promotions in the near future.
To be eligible for Brand Tailored Promotions, you must:
- Be a brand registered seller on Amazon
- Have at least 10 customer engagement campaigns with a minimum of 1000 total emails sent over the past 10 campaigns
- Maintain an average opt-out to click rate below 1% for your last 10 campaigns
Customizing Your Brand Tailored Promotions Strategy
While sellers are prohibited from sending direct messages to customers who don’t follow them on Amazon, they can use Brand Tailored Promotions to showcase special offers on applicable products. Promotions will appear on search, product detail pages, and promotion shopping pages. They will also be highlighted with a green badge indicating either 'Follower promo' or 'Exclusive promo.'
With these Amazon seller promotions, you can create promo codes that provide discounts of 10-50% off for smaller segments of the customer base across six different audience types. Sellers can select their discount percentage and target one of the following segments of customers:
Recent Customers
The most recent 5% of your Amazon customers.
Repeat Customers
Existing customers who have had 2+ orders with your brand within the past year.
Cart Abandoners
Shoppers who have added your products to their cart within the past three months but have not completed a purchase.
Brand Followers
Shoppers who follow your brand on Amazon.
High Spend Customers
The highest spending 5% of your customers over the past year.
Potential New Customers
Shoppers who have clicked on your brand, storefront, and products or added your products to their cart within the past three months but have not completed a purchase within the past year.
Keep in mind that these promo codes can currently only be used across your entire catalog. Be sure to choose a discount percentage that is financially viable for all of the products you sell on Amazon.
Best Practices for Brand Tailored Promotions
To make the most of this innovative (and free!) tool it’s important to assess your goals and strategize for success. With the right approach, Brand Tailored Promotions can enhance customer relationships and provide a significant boost in sales revenue.
Offer one promotion at a time
While Brand Tailored Promotions are set as ‘Preferential,’ they can be combined with any Amazon seller promotion without claim codes or promotions set as ‘Unrestricted.’ To avoid over-discounting, stick to one promotion at a time.
Carefully select your segment
When selecting your target audience, consider what will be most effective for your brand. For many sellers, targeting abandoned carts and recent customers is the most effective way to generate sales.
Analyze data and adjust accordingly
Just like other Amazon seller promotions, it’s not just about generating short-term sales. Use the results to adjust your overall Amazon strategy. To collect as much information as possible, once your 90-day promotion has concluded, try targeting another segment or reevaluate your strategy.
Give Your Brand a Boost
Amazon is the dominant search engine for customer product search. With over half of shoppers starting their search on Amazon, sellers have the chance to showcase their products to a vast audience that is likely to complete a purchase. With a variety of free tools at your disposal, Amazon Brand Tailored Promotions are one of many ways to build your brand and attract loyal customers. Taking advantage of these unique promotions can give your brand the edge it needs to stand out from your competition.
Looking to give your brand a boost? To expand your customer base and attract loyal repeat buyers, it’s important to craft a strong promotional strategy. Our Amazon account management team works with you to increase sales and visibility on Amazon. With expert knowledge of the world’s most lucrative platform, we’re equipped with all the tools you need to grow your brand and meet your goals. Get started today with a free consultation.