Congratulations on surviving Prime Day 2022! With the big event now behind us, here are 5 ways to help maximize your Prime Day profits and help you plan for the future.
#1: Readjust Your Prices
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.
While you conduct your review, make sure that your products are competitively priced and priced to maximize your profit margin.
#2: Use your Prime Day Sales Data to Optimize Your Ad Budget
When advertising for events like Prime Day, your budget for the event is usually much more than what you use in your everyday advertising. Now that Prime Day is over, update your budget to how it was before Prime Day.
Also, as you evaluate your products, you might find that something that sold well during Prime Day may need less advertising going forward. Or on the other hand, a product that did not sell as well might require more advertising to boost it.
#3: Ask for Reviews
Reviews can help set you apart from your competition. Research shows that 79% of consumers trust online reviews as much as personal recommendations. Take advantage of your sales during Prime Day and request a review from every new customer introduced to your brand during the event.
There are a couple of ways that you can request a review. You can use the “Request a Review” on the orders page in your seller central on Amazon, or you can use an email marketing tool to ask people to review their most recent purchase.
#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: Correct Inventory Issues
A healthy, accurate inventory is critical to maximizing your profits. Therefore, you must 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.
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 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 and Hello to Increased ProfitsTo 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!
If you want to learn more about improving your inventory management, click here.
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.