Prime Day might look like a playground for the big brands with bottomless advertising budgets. It seems every year, the deals get bigger and the budgets get crazier.
The misconception that Prime Day is a “rich seller’s event” leads some smaller sellers and low budget brands to put in little to no effort, believing they can’t compete. But that’s not really true. Prime Day doesn’t have to be a blowout for you to win. Even newly launched brands and small sellers can make a significant impact during Prime Day with the right strategies. In this blog, we’ve detailed how you can prepare and succeed on Prime Day 2024, using free and low-budget tactics to maximize your sales and visibility.
Why is Prime Day a golden opportunity for small businesses?
As of May 2024, Amazon USA has over 1.1 million small and medium-sized businesses (SMBs) and they make up nearly half of the more than two million active sellers on the Amazon Marketplace. Many of these small and medium sized businesses operate on tight budgets and they can hardly afford any hefty advertising expenses. But that does not mean that they should feel overshadowed by larger competitors. In fact, Amazon profits significantly from SMBs, and Prime Day provides an amazing opportunity for these businesses to increase their bottom line.
During Prime Day 2023, Amazon features more Prime Day deals on small business products than ever before. Small businesses like Caraway, True Classic, and TUSHY saw their average daily sales increase by over 18 times during the first day of the Prime Day event compared to the period leading up to it. These impressive results demonstrate that Prime Day is not just for big brands but is also a powerful sales event for businesses of all sizes.
Prime Day tips for small business and low budget brands
1) Invest only in your best selling products
Instead of spreading yourself thin across your entire catalog, identify your best-selling products. These are the products that consistently fly off the shelves.
Optimize their listings with clear titles, great photos, and detailed descriptions that highlight what makes them awesome. Make sure you have plenty in stock so you don’t run out during the rush. If you have some extra budget, consider offering special Prime Day coupons for these top sellers. By focusing your efforts on these winners, you can make a big impact on Prime Day, even with limited resources.
2) Use only Sponsored Products ads to reach on the top of search result pages
Brands and businesses with low budgets should only focus on Sponsored products. Sponsored Brands, Sponsored Brand Video, and Sponsored Display ads can be too costly and require a larger budget.
Instead concentrate your advertising spend on Sponsored Products and ensure that your products appear on the top of the search results during peak traffic time. For instance, traffic tends to surge during early mornings and late evenings, with a notable spike around 8 PM to 10 PM. This is when many shoppers are browsing for deals. Schedule your ads to run during these high-traffic periods to maximize visibility and sales.
To get the most out of your ad spend, analyze your search term reports and make a list of profitable keywords. Focus your budget on these high-performing keywords to ensure your ads are shown to the right audience. Add negative keywords in your campaigns to prevent your ads from appearing in irrelevant searches. This can help stretch your budget further.
Our Amazon PPC experts recommend preparing campaigns at least a week in advance. This gives you time to fine-tune your keyword targeting and bid strategy in case something goes wrong.
3) Recycle your social media assets for Amazon Posts
If you’ve already poured time and energy into creating social media content for your products, consider using them again for Amazon Posts.
Take those stunning product photos and engaging video snippets you use on Instagram or Facebook and breathe new life into them for Amazon. You can even adapt some of the catchy captions you use on social media to create compelling product descriptions within your Amazon Posts.
This saves you tons of time and ensures your Amazon presence reflects the same brand voice you’ve established elsewhere. Remember, Prime Day shoppers are scrolling through endless options, so grabbing their attention with familiar, high-quality visuals is a surefire way to make your products stand out.
4) Host an Amazon Live session
Hosting an Amazon Live session is a fantastic, cost-free way to interact directly with your shoppers and boost your Prime Day sales.
Contrary to the popular opinion, you don’t always need to partner with influencers to host Amazon Live; you can host the live stream yourself. This personal touch allows you to connect with your audience more authentically. During an Amazon Live session, you can demonstrate your products, highlight their features, and answer questions in real-time.
It’s like having a direct conversation with your customers, which is a rare opportunity on a platform like Amazon where interaction options are limited. Additionally, you can offer exclusive discounts during the live session, incentivizing viewers to make immediate purchases.
5) Optimize your listings on budget
Save your money on expensive listing rewrites and Amazon SEO! If your product descriptions are already clear and answer customer questions, you can optimize for Prime Day for free. Just add relevant keywords like “Prime Day Deals” or “Prime Day Savings” to your search terms and detail page copy. Take a quick peek at competitor listings to see what keywords they’re using and pick a few that fit your products. This simple step helps shoppers discover your products during the Prime Day rush without needing a full SEO revamp.
6) Give your Store a free upgrade
Want to instantly upgrade your Amazon storefront for Prime Day without spending a dime? Amazon offers a free “Deals” tile you can easily add to your store’s homepage! This tile automatically showcases all your ongoing deals and promotions, including any Prime Day discounts you’ve set up. It’s a free and easy win-win for both you and your customers!
7) Avoid the Lightning Deals temptation
Don’t blindly chase Lightning Deals (LDs) just because everyone else is. These flash sales can be expensive, with application fees and potentially lower margins due to deep discounts. Analyze if your products fit the LD format. Are they competitively priced to handle a significant discount? Can you handle the surge in orders efficiently? If not, consider alternative Prime Day promotions like “Early Bird Discounts” or “Bundle Deals” that offer savings without the LD fees.
8) Do not overstock inventory
Prime Day’s promise of a sales surge can be intoxicating, but for small businesses, overstocking inventory is a recipe for disaster. Instead of overstocking, leverage data-driven forecasting to predict Prime Day demand accurately. Analyze past sales data, industry trends, and competitor performance to estimate realistic sales figures. Remember: It’s better to sell out of a popular product during Prime Day than to be stuck with mountains of unsold inventory.
Don’t let your budget be a buzzkill this Prime Day
By avoiding these costly pitfalls and implementing the budget-friendly strategies outlined above, small businesses and low-budget brands can navigate the Prime Day battlefield with confidence, even on a shoestring budget.
Remember, it’s about maximizing your impact, not just throwing money at the problem. With a little planning, resourcefulness, and the right approach, your small business can achieve impressive growth.
At SIPRANSH ECOMMGROWTH, we understand the unique challenges faced by small businesses on Prime Day. If you need help with your Prime Day strategy, contact our Amazon experts today. Together, we can make this Prime Day your most successful yet.
