Congratulations on surviving Prime Day 2023! With the big event now behind us, here are 7 ways to help maximize your Prime Day profits and help you plan for the future.
#1: Re-Evaluate Your Pricing Strategy
Re-evaluating your pricing is crucial to maximizing your profits. Any prices that you updated for Prime Day will need to be readjusted. Give your shop a thorough review to ensure your prices are optimized for selling post-Prime Day. It’s important to strike a balance between competitive pricing and maximizing your profit margin.
Consider conducting market research to determine if your prices are in line with your competitors. Keep an eye on pricing trends and adjust accordingly. By regularly monitoring and adjusting your prices, you’ll stay competitive and maximize your profits.
#2: Use Your Prime Day Sales Data to Optimize Your Ad Budget
Prime Day often involves higher advertising budgets to capture the attention of shoppers. Now that Prime Day is over, it’s time to update your budget to pre-Prime Day pricing.
Also, as you evaluate your products and the data from Prime Day, you might find that some products sold better than others. You can also use the data to identify which products did not perform as expected. Based on this information, you can optimize your ad budget going forward by allocating the advertising funds to the products that performed well.
#3: Ask for Reviews
Customer reviews play a crucial role in establishing trust and credibility for your products. Research shows that 79% of consumers trust online reviews as much as personal recommendations. Take advantage of your sales during Prime Day and reach out to every new customer for a review.
There are a couple of ways that you can request a review. You can use the “Request a Review” feature in your seller central on Amazon, or you can use an email marketing tool to ask customers to review their most recent purchase. Positive reviews can set you apart from your competitors and drive future sales.
#4: Analyze Your Prime Day Performance
With Prime Day over, it will help you in the future to review your performance and use that insight to help you plan and increase your profits for upcoming events like Black Friday.
Here are some ways you can analyze your performance:
- Promotions: Did you have enough sales to make up for the money spent on discounts?
- Advertising: How did you advertise during Prime Day? Did you run out of your budget early? Were there any unique search terms that you can use going forward?
- Surprises: Did you have any products that surprised you and moved faster than expected?
- Stock Performance: How was your inventory during Prime Day? Did you understock or overstock?
- Review: Is there anything you wish you had done differently? (Examples: run coupons, promotions, advertising, inventory changes, etc.)
#5: Expand Your Reach
While Prime Day is primarily focused on Amazon, don’t limit yourself to a single sales channel. Expand your marketing efforts to reach a wider audience and maximize your profits. Consider selling on other platforms like eBay, Walmart, or Shopify.
Diversifying your sales channels can help you reach new customers and reduce your reliance on a single platform. Each channel may have its own unique audience and opportunities.
#6: Offer Exclusive Post-Prime Day Sales
Don’t lose the momentum generated during Prime Day. Continue to engage your audience by offering exclusive deals and promotions and entice customers to make additional purchases. Consider creating limited-time offers, bundle deals, or loyalty programs to drive repeated business.
Send out targeted email campaigns to inform your customers about these exclusive deals. Leverage the sense of urgency and the desire for savings to encourage immediate action.
#7: Correct Inventory Issues
Maintaining a healthy and accurate inventory is critical for maximizing your profits. After Prime Day, it’s important to address any inventory issues you may have encountered. Here are some ways to ensure your inventory health is in order after Prime Day.
Overstocked Inventory Vs. Understocked Inventory
Which is worse: overstocked or understocked inventory? Both affect your bottom line and business.
Overstocked Inventory
In addition to the exorbitant storage fees from overstocked items, Amazon continually updates their Fulfilled by Amazon (FBA) Inventory Performance Index (IPI), so overstock can affect your IPI history and your current IPI score.
Understocked Inventory
Understocked items hurt your bottom line because you can’t sell something you don’t have. Sold-out products can’t generate sales and profits, and you can lose out on potential business.
Say Goodbye to Inventory Issues &
Hello to Increased Profits
To avoid the pitfalls of dealing with overstocked or understocked inventory, consider a professional-grade solution like
Zenventory. The best inventory management software for your business will provide many benefits:
- A centralized product catalog for all your sales channels
- Cycle count management to identify losses early and keep your inventory accurate
- Low stock alerts to avoid stock outages
- Kitting & bundling features to increase the profitability of your average order
- And more!
To see first-hand how an inventory management system can help you, book a free demo with one of our product experts.
Final Thoughts
You can’t relive the past, but you can use what you have learned to help you in the future. Prime Days, Black Fridays, and Cyber Mondays are not going away, and they are a golden opportunity to plant the seeds for your brand’s future success if you go into them ready and armed with the right tools. Maximize your future profits by using Prime Day insights to help you plan better. And use tools like Zenventory to help make your life a little easier.
