3 Trends from Prime Day 2019 to guide your Black Friday and Cyber Monday Amazon strategy
While shoppers may be thinking “back to school” for sellers, September means it’s time to set a strategy for key Q4 sales events like Black Friday and Cyber Monday, if you haven’t started already. To help marketers get a better handle on how to maximize their sales and profit over these high-traffic periods, my colleagues and I examined Prime Day 2019 sales activity across our client base of thousands of Amazon sellers. The results showed that the biggest trends to watch are the increase in volume not matching cost-per-click increases, product discounting not being a barrier to revenue growth and the impact of organic sales.
The data below is based on two separate studies comparing Prime Day and non-Prime Day performance. Vertical-specific data is derived from sales and advertising activity across more than 1,300 products sold by our clients in each of the “Clothing Shoes and Jewelry,” “Health and Household” and “Home and Kitchen” categories on Amazon.
Non-vertical specific data is reflective of sales and advertising performance data across more than 1,100 products sold by our clients.
In both data sets, the Prime Day period represents data collected on July 15 and 16, 2019. The “non-Prime Day” period represents data collected over the four Mondays and Tuesdays prior to Prime Day. Specifically, these ‘non-Prime Day’ dates were averages across June 17, 18, 24 and 25, along with July 1, 2, 8 and 9. Finally, all products included in the study averaged at least one weekly sale over the ‘non-Prime Day’ period.
Expect markedly higher volume – but not (necessarily) CPCs or conversion rates
Events like Prime Day obviously generate a massive increase in traffic and sales on Amazon, but the corresponding increase in advertising activity doesn’t necessarily cause cost-per-clicks or conversion rates to rise at the same rate. Within the “Clothing Shoes and Jewelry” category, conversion rates stayed the same, and cost-per-clicks actually dipped 5.7% on Prime Day, despite ad spend rising 33% and revenue rising 540%.