How to Use Amazon Coupons and Promotions to Stand Out and Drive Amazon Sales

Amazon has everything you need, from books to clothes to gadgets. But did you know that you can also get amazing deals with Amazon coupons and promotions? These are special offers that give you lower prices, free shipping, cashback, and more. They are easy to use and can improve your shopping experience.

Posted by Dylan Adams January 26, 2024

What are Amazon coupons

Amazon coupons are discounts that customers can clip and apply to eligible products. They are different from other discounts that are automatically applied. Customers can find Amazon coupons on the product page, the coupon section, or their emails. Amazon coupons can vary in value, duration, eligibility, and redemption. For example, a coupon might offer 10% off on a product for one week, with a $50 minimum order and a one-time limit.

Amazon coupons are beneficial for both sellers and customers. Sellers can use coupons to boost their sales, conversions, and visibility on Amazon. A study by Jungle Scout showed that coupons increased conversion rates by 34%. Customers can use coupons to save money, find new products, and have a better shopping experience on Amazon.

How can sellers create and manage Amazon coupons?

Amazon coupons are discounts that sellers can create and manage on Amazon Seller Central. Sellers need a professional account to access the Coupons option under the Advertising tab. There, they can select the products, discounts, dates, and budget for their coupons. They can also target specific customers, such as Prime members or new buyers. Sellers can use the reports and analytics tools to track how their coupons perform, and how much they earn and spend.

Some tips and best practices for using coupons are:

Write clear and attractive titles and descriptions, and highlight the benefits and value for the customer.
Try different coupon values and types, and find what works best for your products and customers.
Check your coupon budget and inventory, and change them as needed to prevent overspending or running out of stock.
Use coupons strategically, and match them with your marketing goals and seasonal trends.

What are the best practices and strategies for using Amazon coupons effectively?

Amazon coupons can be used for different marketing purposes, depending on the seller’s goals and situation. For example, sellers can use coupons to:

Increase sales: Coupons can help sellers boost their sales volume and revenue, especially during peak seasons or slow periods. For example, a seller might offer a 20% off coupon on their best-selling product during Black Friday, or a 15% off coupon on their entire catalog during a slow month.
Launch new products: Coupons can help sellers introduce new products to the market, and generate interest and demand. For example, a seller might offer a 50% off coupon on their new product for the first 100 customers, or a 25% off coupon for the first week of launch.
Clear inventory: Coupons can help sellers clear their excess or outdated inventory, and free up space and cash flow. For example, a seller might offer a 75% off coupon on their last season’s clothing, or a buy one get one free coupon on their near-expiry products.
Build customer loyalty: Coupons can help sellers retain and reward their existing customers, and encourage repeat purchases and referrals. For example, a seller might offer a 10% off coupon for their loyal customers, or a $5 off coupon for their customers who leave a positive review or refer a friend.

Some examples of successful coupon campaigns are:

A seller of pet supplies offered a 30% off coupon on their new line of organic dog treats, and saw a 50% increase in sales and a 40% increase in customer reviews.
A seller of beauty products offered a 10% off coupon for their customers who subscribed to their email newsletter, and saw a 25% increase in email sign-ups and a 15% increase in repeat purchases.
A seller of electronics offered a $10 off coupon for their customers who spent more than $100 on their products, and saw a 20% increase in average order value and a 10% increase in conversion rate.

Some dos and don’ts for using Amazon coupons are:

Do use coupons to complement your other marketing efforts, such as advertising, social media, or email marketing.
Do use coupons to target different segments of your customer base, such as new customers, loyal customers, or high-value customers.
Do use coupons to create a sense of urgency and scarcity, and motivate customers to act fast.
Don’t use coupons too frequently or too generously, as this might devalue your brand and products, and reduce your profit margins.
Don’t use coupons that are too complicated or restrictive, as this might confuse or frustrate your customers, and lower your redemption rates.
Don’t use coupons that violate Amazon’s policies or terms of service, such as offering incentives for reviews, or using misleading or false information.

What are the different types of promotions on Amazon and how do they differ from coupons?

Promotions are another way of offering discounts on Amazon, but they are different from coupons in some aspects. Promotions are created and managed on the Promotions tab on Amazon Seller Central, and they are applied automatically at checkout, without the need for the customer to clip them. Promotions are also displayed differently on Amazon, as they are shown as a message under the price, or as a banner on the product page or the search results. Promotions can offer different types of discounts, such as:

Money off: This is similar to a coupon, but it offers a fixed amount off instead of a percentage off. For example, a promotion might offer $5 off on a $25 purchase, or $10 off on a $50 purchase.
Buy one get one: This is also similar to a coupon, but it offers a free or discounted item when another item is purchased. For example, a promotion might offer a buy one get one free deal, or a buy two get one 50% off deal.
Free shipping: This offers free or reduced shipping costs for eligible orders. For example, a promotion might offer free standard shipping, or free expedited shipping for orders over $100.
External benefits: This offers a benefit that is not related to the product or the order, but to another service or platform. For example, a promotion might offer a free trial of Amazon Prime, or a $10 credit for Amazon Music.

Promotions can also have different expiration dates, minimum purchase requirements, and limits on how many times they can be used. For instance, a promotion might offer a free shipping deal for one day only, with a minimum order of $25, and a limit of one per customer.

How can sellers use promotions to increase sales, conversions, and customer loyalty?

Promotions can also be used for various marketing purposes, depending on the seller’s goals and situation. For example, sellers can use promotions to:

Increase sales: Promotions can help sellers boost their sales volume and revenue, by offering a more attractive deal than the regular price. For example, a seller might offer a money off promotion on their popular product, and see a surge in demand and sales.
Launch new products: Promotions can help sellers introduce new products to the market, and generate interest and feedback. For example, a seller might offer a buy one get one promotion on their new product, and see an increase in exposure and reviews.
Clear inventory: Promotions can help sellers clear their excess or outdated inventory, and free up space and cash flow. For example, a seller might offer a free shipping promotion on their old inventory, and see a reduction in storage and fulfillment costs.
Build customer loyalty: Promotions can help sellers retain and reward their existing customers, and encourage repeat purchases and referrals. For example, a seller might offer an external benefit promotion, such as a free trial of Amazon Prime, and see an increase in customer satisfaction and loyalty.

Some examples of successful promotion campaigns are:

A seller of kitchenware offered a money off promotion on their best-selling knife set, and saw a 30% increase in sales and a 20% increase in conversion rate.
A seller of books offered a buy one get one promotion on their new release, and saw a 40% increase in exposure and a 25% increase in reviews.
A seller of toys offered a free shipping promotion on their old inventory, and saw a 50% reduction in storage and fulfillment costs.
A seller of electronics offered an external benefit promotion, such as a $10 credit for Amazon Music, and saw a 35% increase in customer satisfaction and loyalty.

Some dos and don’ts for using promotions are:

Do use promotions to differentiate your products and offers from the competition, and create a competitive advantage.
Do use promotions to target different segments of your customer base, such as new customers, loyal customers, or high-value customers.
Do use promotions to create a sense of urgency and scarcity, and motivate customers to act fast.
Don’t use promotions too frequently or too generously, as this might devalue your brand and products, and reduce your profit margins.
Don’t use promotions that are too complicated or restrictive, as this might confuse or frustrate your customers, and lower your redemption rates.
Don’t use promotions that violate Amazon’s policies or terms of service, such as offering incentives for reviews, or using misleading or false information.

What are the risks and challenges of using promotions on Amazon and how can sellers avoid them?

Promotions can be risky and challenging, if not used wisely and strategically. Some of the risks and challenges are:

Losing money: Promotions can lower the profit and the return of the seller, if the promotion costs more than the benefit. For example, free shipping might cost more than the sale profit.
Attracting unprofitable customers: Promotions can attract customers who only want the discount, and not the product or the brand. These customers might not buy again, or might return or cancel the order. For example, money off might lead to high returns or cancellations.
Damaging the brand reputation: Promotions can hurt the brand image and the value of the product, if the promotion is too frequent or too generous. Customers might think that the product is low quality, or that the regular price is too high. For example, buying one might lead to a low rating or negative review.

Some examples of bad or problematic promotion campaigns are:

A clothing seller offered 90% off on their catalog, but lost money and customers, as the promotion was too generous and unsustainable.
A supplement seller offered buy one get one free on their new product, but got complaints and refunds, as the product was defective and harmful.
A jewelry seller offered a free trial of Amazon Prime on their products, but got a bad reputation and a lawsuit, as the promotion was unauthorized and illegal.

Some tips and best practices for avoiding or reducing the risks and challenges of using promotions on Amazon are:

Do a cost-benefit analysis before launching a promotion, and make sure that the promotion is profitable and sustainable.
Do market research and customer segmentation before launching a promotion, and make sure that the promotion is relevant and appealing to your target audience.
Do a quality check and a policy review before launching a promotion, and make sure that the product is in good condition and the promotion is compliant with Amazon’s rules and regulations.