ClickZ Amazon Insights Newsletter - 09.12.2024

PLUS: Inside Amazon Lab126—Testing Devices to the Breaking Point!

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ClickZ
September 12, 2024 • Estimated Reading Time: 8 minutes

Specialty Bites 🍪

Amazon and TikTok: A Match Made in E-commerce Heaven?

Amazon and TikTok have joined forces to simplify your shopping experience. TikTok users will now be able to see Amazon product recommendations directly in their For You feed. With just a quick account link between TikTok and Amazon, you can seamlessly shop for the products you discover—without even leaving the app. It’s a one-time setup, and after that, shopping is just a few taps away.

This partnership is designed to enhance convenience. You’ll have access to real-time pricing, Prime eligibility, and estimated delivery times, making the process effortless. If at any point you decide to disconnect the two accounts, unlinking them is equally straightforward. This collaboration comes on the heels of increasing trends that show TikTok is becoming a go-to platform for product discovery, especially among Gen Z. In fact, a HerCampus study revealed that 74% of Gen Z users search on TikTok, with 51% preferring it over Google—largely due to the engaging and entertaining nature of video content.

Rick Watson, CEO of RMW Commerce, highlighted that Amazon is staying ahead of this trend by capitalizing on TikTok’s influence in the product discovery space, ensuring that Prime members remain engaged and new users are drawn in. This partnership reinforces Amazon’s strategy to bring more value to its customers, particularly with accessible and affordable products.

Retail giants Walmart, Target, and Best Buy are emulating Amazon's Prime Day success with their own members-only sales events. These strategies boost memberships and sales, with Walmart and Target seeing significant growth. Timing these events before Prime Day may divert shoppers, impacting Amazon's market share.

Amazon has chosen WPP and Omnicom Media Group (OMG) to handle its global media duties after a six-month review. OMG will focus on the Americas, while WPP will cover EMEA and APAC. This decision ends Amazon's decade-long partnership with IPG, which will continue to support other Amazon services.

Welcome to Amazon Lab126 in Sunnyvale, California, where we don't just build devices—we break them. Picture this: researchers smashing Kindle glass, shocking Echo devices, and drenching Echo Frames in water. This is the reliability lab, where destruction is the name of the game to ensure your gadgets can survive the apocalypse—or at least a clumsy user. The goal? To make the most durable, safe, and cost-effective devices possible.

We took a tour of this mad scientist's playground and saw some wild stuff. In the environmental lab, devices are exposed to heat, water, and UV rays. Imagine Echo Frames getting a constant shower or Echo speaker fabric sunbathing. There's even a station where gadgets are smeared with food condiments and lotions to see how they hold up against everyday messes. And let's not forget Astro, Amazon's home robot, getting a workout on treadmills to test its endurance.

Next, we hit the electrical testing lab, where battery life and acoustics are put to the test. The electrostatic discharge (ESD) test was a highlight—think of it as a shock therapy session for your devices. Then, we moved to the cyclical test lab, where buttons are pressed repeatedly, and structures are bent and squeezed. The rhythmic button pressing was oddly soothing, like a mechanical lullaby.

Finally, we witnessed the drop and tumble tests, where Kindles are dropped and tumbled like they're in a dryer. The intron test lab was all about stress-testing materials to their breaking point. Advanced equipment like MRI machines and ultra-powerful microscopes analyse the inner workings of these devices. So, next time your Echo Show gets splashed with ketchup, remember: it's been through worse.

Panasonic's new smart TVs, featuring Amazon Fire TV, are now available in the U.S. for the first time in a decade. The lineup includes OLED and mini-LED models with advanced features like AI-powered search, full Alexa integration, and Dolby Vision IQ, offering a premium viewing experience.

Prime Big Deal Days returns this October, offering exclusive early holiday deals for Prime members in 19 countries. Membership costs $14.99/month or $139/year, with discounts for young adults and government assistance recipients. Enjoy fast, free delivery, exclusive deals, and more. Join Prime for the best holiday savings!

Performance Platters 🍽️

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Snapchat users in the US shop more frequently than Instagram users, with 16.3% making weekly purchases compared to Instagram's 8.2%. Despite Facebook's larger user base and annual purchase popularity, Snapchat's intuitive shopping features and short video content drive its success among younger consumers. Social media shopping is booming!

Google's Jyotika Prasad discusses the impact of a shortened holiday shopping season, emphasizing the need for agility and data-driven strategies. Google introduced new advertising tools to optimize campaigns using AI, with 80% of customers already leveraging AI-powered products. Retailers aim to build lasting customer relationships through innovative ad solutions.

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