An average product sees ~200% bump in average daily sales over the two weeks following a Lightning Deal. Is running a deal worth it for your business?
What’s the deal with Amazon Deals?
Amazon Deals are time-bound promotional offers that Amazon features on its deals page. There are Deals of the Day, Lightning Deals, which last about 4-12 hours (anything longer and you should probably call your doctor), and 7-Day Deals, which are featured for…wait for it…7 days.
Deals are a great way to boost sales, unload inventory, and create brand awareness – plus, everyone loves a good bargain: Today’s Deals is one of Amazon’s most visited pages, with millions of views a day.
Sounds cool, but don’t forget there’s no such thing as a free lunch. With associated fees and less profit, is it even worth your time to apply?
Run through this checklist and see if you are worthy:
- First things first, are you eligible? You are if you’re a Professional Seller with at least five Seller Feedback Ratings per month and an overall rating of at least 3.5 stars.
- As they ask on The Bachelor, are you here for the right reasons? What’s your goal with running a deal? Are you trying to liquidate stock? Get your brand out there? Whatever your goal is, price and advertise accordingly.
- Numbers don’t lie, so what do yours say? Take a few minutes to actually calculate if this makes sense for you.
- Luckily Jungle Scout loves math. They found that an average product sees ~200% bump in average daily sales over the two weeks following a Lightning Deal. With that input, you can follow along with the rest of their number crunching to see where you’d net out.
Cons? Deals haven’t always had a perfect rep, like when bad apples manipulate an item’s original price to give the impression of a steep discount. Don’t cheat the system, because Amazon and consumers alike will punish you.
And that’s the deal. So what’s your deal, and what are you gonna do about it?
