Amazon Spring Deal Days Starting Soon

Originally starting as a three day event in 2023, it has since consistently run for six to seven days. Spring Deals has now become a tier one event for Amazon and could be seen as a mixed opportunity for brands.

Discounting can be essential to drive growth, however it can also hurt margins. We have seen particularly premium brands rely heavily on Amazon events due to their RRP often being high, with events providing an opportunity to discount and drive greater conversion. This can work well, but it can become damaging over time if sales begin to stagnate and competition increases.

For brands, discounting can often be most effective when focused on select SKUs to ensure maximum visibility. When working with another brand recently, we found that their best seller rank increased when discounting, despite the product already being very cheap compared to the wider category. Our impression was that the actual amount discounted was less relevant, and that the deal badge itself, along with the opportunity to appear across Amazon deal pages, was likely having the greater impact.

As we are now only a few days away from the event, discounts are likely already set. However, our recommendations would be:

If you are a brand that is losing share despite leading for a long time, think about the longevity of the customer experience with your brand. Prioritise promoting products that bring customers into the brand, where you then have the opportunity to upsell or cross sell.

If you are a smaller brand within the category, you have everything to play for. Discount your top sellers and focus advertising specifically on those products. Across a number of brands we see high new to brand rates during these events, so focusing efforts on the occasion may help bring in new customers who could become repeat purchasers.

Handling advertising well during these events is also important. Brands should be closely monitoring efficiency metrics such as CPC and ROAS at keyword and ad level. This allows priorities to shift and budgets to be pulled back or pushed depending on where further gains may be found.

Good luck with Spring Deals. See you on the other side!