ClickZ Amazon Insights Newsletter - 10.17.2024

PLUS: Record-breaking Prime Big Deal Days drives huge growth for independent sellers

Author

Sophie Bruxner-Randall
October 17, 2024 • Estimated Reading Time: 8 minutes

Ad Week New York 🎤

ADVERTISING INSIGHTS
Advertising Week NYC Recap

💡 Balancing Fame and Flow in a Post-Privacy Landscape, by Sam Carter, CEO of Fospha.

AdWeek NYC 2024 was packed full of fresh ideas and powerful reminders of evergreen principles. From navigating privacy challenges to ensuring sustainable brand growth, here are my key takeaways that all brands should be implementing:

  1. Balance Fame and Flow: Brands that focus too much on short-term conversions and neglect long-term brand-building efforts fall into the ‘doom loop’, converting only existing demand without generating new demand. Eventually the convertible audience is exhausted, efficiency plummets, and the brand finds itself in trouble. To avoid this, brands need to strike the right balance between conversion and long-term brand awareness to sustain growth.

  2. Go Full-Funnel for Measurement: To balance short and long-term goals of conversion and brand awareness, marketing teams need to be able to measure the impact of both. Last Click attribution chronically undervalues awareness activities, so brands should opt instead for measurement tools that use a full-funnel methodology.

  3. Privacy-Proof Your Tech Stack: With third-party cookies deprecation and new privacy regulations cropping up regularly, brands need to accept the death of user-level data and embrace privacy-centric solutions to future-proof their measurement. 

Read the full article here. 

Hot in D2C eCommerce 🔥

AI POWERS PRIME
Amazon Prime Big Deal Days 2024 Breaks Records with AI and Innovation (top links below 👇)

Amazon’s Prime Big Deal Days 2024 made history with the largest October shopping event ever, saving Prime members over $1 billion globally. This year’s event highlighted Amazon’s cutting-edge AI tools, including its AI assistant, Rufus, and drove massive sales across electronics, toys, and apparel. Top brands like Apple and Dyson offered unbeatable deals, setting the stage for a promising holiday shopping season.

Momentum Commerce reported a 41% sales increase on Day 1, with brands like Crocs and Lego leading the charge, while regions like Canada and Europe saw notable growth despite weather impacts affecting the U.S. Competitors Target and Walmart also launched early sales events, but Amazon's use of innovative shopping tools and AI set it apart in an increasingly competitive market.

For deeper insights into this record-breaking event, explore these key sources:

Specialty Bites 🍪

Amazon's recent Prime Big Deal Days event was a major success, with customers saving over $1 billion. This event, which serves as an early indicator of holiday spending trends, saw record sales from independent sellers, who make up 60% of Amazon's sales. You might find it interesting that innovative tools like Rufus, an AI shopping assistant, and Amazon Lens, a visual shopping tool, enhanced the shopping experience, especially for younger generations keen on AI-enhanced shopping.

As you prepare for the holiday season, consider how Amazon's evolving Prime membership, now offering streaming services and exclusive discounts, shapes customer loyalty. The event's success nudged other retailers like Walmart and Target to offer deals, highlighting the importance of early holiday shopping. This trend reflects a shift towards personalized shopping experiences, with 44% of consumers interested in AI-enhanced options.

Amazon's Prime Big Deal Days saw a 41% sales increase on Day 1, driven by brands like Crocs and Lego. Momentum Commerce noted a shift in buying patterns, with evening peaks surpassing morning ones. Despite weather impacts, sales in Canada and Europe rose, highlighting the event's growing influence.

Amazon has launched limited-edition Echo Pop smart speakers featuring designs for all 32 NFL teams, enhancing game day experiences. These devices allow fans to track team stats, control smart home devices, and more. Available for $59.99, they ship on specific dates, starting with the 49ers and Seahawks.

Amazon and eBay dominate Europe's marketplace sector, capturing 17% and 14% of traffic, respectively. The market remains fragmented with numerous local players. Marketplace models vary, including pure, mixed, and retailer-run types, each offering unique benefits. The sector is still evolving, with significant growth and consolidation potential.

Amazon is integrating Whole Foods Market, Amazon Fresh, and Amazon.com to simplify grocery shopping. By offering a wide selection, savings, and convenience, Amazon aims to enhance the shopping experience for Prime members with features like Same-Day Delivery, exclusive discounts, and seamless online and in-store options, making life easier for customers.

Performance Platters 🍽️

Microsoft is transitioning from its retail media platform, PromoteIQ, to a partnership with Criteo. This shift reflects the evolving retail media landscape, emphasizing the need for adaptable strategies. While PromoteIQ's closure isn't officially announced, the move highlights the importance of resilient, owned architectures in the dynamic ad tech industry.

Retailers often miss revenue opportunities throughout the purchase funnel, from accessibility issues to ineffective discount strategies and poor mobile optimization. In this insightful podcast, experts explore how optimizing these areas can reduce cart abandonment and boost customer retention. Additionally, they discuss how strategic return policies can enhance customer loyalty while minimizing losses. Listen now for actionable tips to create a more profitable retail experience.

LoopMe introduces Brand Outcome Scores, an AI-driven tool enhancing ad performance by predicting ad effectiveness without cookies. This innovation aids marketers in optimizing campaigns across mobile video, CTV, and display ads. Initially launching in the US and UK, BOS aims to revolutionize advertising strategies globally.

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