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Amazon Holiday Promotions Strategy 2021: The Ultimate Guide

Discover key tips for creating effective holiday season product promotions on Amazon. By Dawn Jenks October 18, 2021
Amazon Holiday Promotions Strategy 2021: The Ultimate Guide

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The 2021 holiday rush is closing in, providing a sense of urgency for consumers and retailers. Thanksgiving, Black Friday, Cyber Monday, Hanukkah, Christmas, Kwanzaa, and New Year’s are coming up fast. But wait, there’s still time for sellers to implement Amazon holiday promotions to maximize their Q4 sales.

If you are selling on Amazon, you know that holiday inventory orders should’ve already been placed, accounting for the current supply chain crisis, shipping delays, and sales insights from 2020. 

Now it’s time to check that your product listings are optimized for search and conversions, especially for your holiday-related items, and begin your focus on Amazon’s promotion and discount opportunities.

Why Use Amazon Holiday Promotions & Discounts?

An essential step for Amazon sellers to assure their Q4 sales success is to offer Amazon holiday promotions. 

Holiday shoppers love promotions, and competition on Amazon is fierce. That’s why sellers can’t just have inventory available; they also need to provide great deals in the form of “smartly” priced promotions. 

“Smartly” priced promotions are based on the economics of each ASIN and can help build brand awareness, gain exposure for a new product launch, and enhance profits through increased sales volume.  

When coupled with Amazon advertising — which drives awareness and visibility — your Amazon deals and promotions can be the cornerstone of holiday conversions. 


Planning Amazon Holiday Promotions in 3 Steps

It’s time to plan your holiday promotions now because consumers are starting their holiday shopping even earlier. According to a Feedvisor survey, 60% reported shopping for gifts before December, while 38% reported starting as early as October. 

Before diving into the various Amazon promotions that sellers and brands can take advantage of this year, the timing for implementing these promos is a critical component. Feedvisor has created the following 3-phase approach for testing and going “all in” with your holiday deals and discounts:

Phase 1: Lead In (OctoberNovember)

  • Build campaigns 2-4 weeks before the “Turkey Five,” which is the five days from Thanksgiving through Cyber Monday
  • Optimize your strategies by testing new channels and promotions
  • Confirm your retail readiness on Amazon
  • Discount select secondary items to kick-start engagement

Phase 2: Turkey 5 (ThanksgivingCyber Monday)

  • Invest in advertising and strategies to be visible
  • Go big and bold with your most attractive promotions and discounts
  • Be agile by reacting to inventory levels, competition, consumers

Phase 3: Lead-Out (December)

  • Focus messaging on last-minute holiday gift-giving
  • Prioritize efficiency in your planning and execution
  • Liquidate excess inventory

For a more detailed overview of this 3 phase approach, you can watch Feedvisor’s full presentation on How Brands Can Drive Holiday Growth.

3 Amazon Holiday Promotion Types

Amazon offers numerous ways to help your products sell faster and increase your conversion rate, including Deals, Promotions, and Coupons. However, implementing these promo types may come with specified deadlines and increased fees during the holidays.

This next section will explain the differences between these promotion types and include a step-by-step guide for creating each promotion type.

1. Amazon Deals

Running deals, including Lightning Deals and 7-Day Deals, can be a highly effective way to drive holiday sales on Amazon. These deals offer customers a limited-time discount on their purchase or purchases. This type of promotion is especially successful during big holiday events like Black Friday and Cyber Monday

Additionally, Amazon advertises these deals through multiple channels like e-mail, social media, and throughout its marketplace. Deals are a pretty much guaranteed win for Amazon sellers who partake during the holidays and other times throughout the year. 

Although deal submissions for this year’s Black Friday and Cyber Monday were due by September 17, there is still time to create a deal for the last-minute holiday shoppers

How do you know if you qualify for Amazon Deals? Check to see if any of your ASINs may be eligible. 

To create a deal, click on the Advertising tab in your Seller Central dashboard, click “Deals,” and then click “Create a new deal.” Amazon will list the deals your product ASINs are eligible for along with the deal price, discount per unit, and deal fee. 

Keep in mind that sellers who run a deal on Amazon will be charged a fee. For a 7-Day Deal, the typical cost is $300, and for a Lightning Deal, the price is $150. However, the deal fees may be higher during a big event or holiday, like Black Friday, Cyber Monday, and December.

Once you’ve submitted your product for a deal, you can refer to your Deal dashboard to check the status of your submission and alter your product listing as needed. Products must meet specific criteria to be eligible for an Amazon deal. If you don’t see any eligible ASINs on your Deals dashboard, Amazon offers tips on making your products eligible for Deals.

2. Amazon Promotions

Another way to get your products in front of the influx of holiday shoppers is by taking advantage of Amazon promotions for sellers. These promotions allow sellers to offer their products at a lower cost to drive holiday sales and conversions. Promotions encourage customers to buy your products and increase brand awareness. 

Amazon shoppers love a good discount, so activating Amazon promotions is an excellent tool for sellers, especially during the holidays.

Amazon offers three main promotions that sellers can offer:

  1. Free shipping: If customers purchase a certain quantity of items or spend a specified amount, they can be eligible to receive free shipping.  
  2. Discounts: This is the most common promotion. Amazon sellers can create discount codes that can be a single-use promotion (special codes for each person), group promotions (generic codes like “SAVE10” entered at checkout), or no code (discount automatically applies in cart).
  3. Social Media Promo Codes: You can also create social media promo codes to offer a percentage off eligible products. Social Media Promo Codes get a unique and shareable URL landing page containing a list of eligible products and promotion details. Customers can add items to their cart directly from the landing page, and the discount is automatically applied at checkout.
  4. Buy One Get One (BOGO): BOGO is a type of sale that entices customers to purchase more than one item at a time. For example, “Buy Two Get One Free.” You can determine the BOGO discount based on the quantity or amount spent. 

To create a promotion available on Amazon, log into your seller account, and under the “Advertising” tab, select “Promotions.” In the “Promotions” tab, you can choose the type of promotion and set it up for specific products. 

Promotions take up to four hours to be active on your listing. Keep this timing in mind when you are launching your holiday campaigns.

3. Amazon Coupons

Amazon sellers can also create coupons visible on your listing page and from the search results page. Coupons incentivize customers to purchase your product over others as they will automatically receive a discount when applying the coupon. 

When competition is high, offering coupons can undoubtedly make your items stand out and help increase conversions during the holidays.

To create a coupon, go to the Advertising tab and click on “Coupons.” Then click on “Create a new coupon.” You can choose to offer a percentage off or a price discount. 

Just remember, sellers are charged $0.60 for each coupon a customer redeems. Be sure to factor that charge in this cost plus the deal you are offering to see if it makes sense for your profit margin on that specific product.

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About the Author

Dawn Jenks is a copywriter for Feedvisor, where she develops SEO e-commerce product descriptions and is a contributing blog writer. She was previously a travel public relations executive, and enjoys running, hiking, cooking, and reading.

Final Thoughts

Implementing Amazon holiday promotions is a surefire way for Amazon sellers and brands to build awareness, drive sales, and improve conversions while taking advantage of the increased traffic during this time of the year. 

For additional strategies and tips for optimizing your holiday advertising, pricing, inventory, content, and more to drive profitable growth on Amazon, explore our 2021 Amazon Holiday Readiness Checklist to ensure your holiday sales success.


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