The Amazon Effect

Pitch deck: How Amazon is coaching agencies to craft sellers’ Prime Day strategies

Prime Day is a big sales day for Amazon. While the company doesn't disclose exact revenue figures, the e-commerce giant said that Prime Day sales last year were higher than the last Black Friday and Cyber Monday combined. But Amazon's goal on Prime Day isn't just to get people to buy more physical product. It's also to encourage more people to buy Amazon Prime memberships, and to get the companies that sell on Amazon to spend more on advertising. And that's evidenced by the way that the company encourages Amazon agencies to prepare for Prime Day, by getting their clients to spend more on advertising.

Latest Stories

  • SEP 18, 2020

    Why haircare brand Camille Rose finally decided to sell on Amazon

    As one of the brand founders who've vowed to stay away from Amazon over the years, Camille Rose's Janell Stephens had a change of heart when the pandemic hit. In the past year, she went from attempting to stop second-hand product sales on the site to opening an official Amazon store. Speaking to Modern Retail, the haircare brand's founder and CEO discussed the divisive channel's addition to the company's retail expansion.

  • SEP 16, 2020

    ‘A long way to go’: How Luxury Stores overcorrected Amazon’s lack of exclusivity

    Amazon’s long-rumored luxury platform, now known as Luxury Stores, finally launched on Tuesday after months of speculation. Amazon’s main appeal to brands is its scale, but out of the gate, the platform doesn’t make much use of its 112 million Prime members. Luxury Stores is launching with only one brand, Oscar de la Renta, and is invite-only, with the first round of invites going out yesterday. The small scale, single brand, small selection and invite-only model mean that Luxury Stores' potential to drive sales is limited.

  • SEP 04, 2020

    Amazon sellers prepare for a different kind of Prime Day this year

    While Amazon has yet to confirm the surprise date, Prime Day will reportedly take place sometime in October. That's only weeks before the holiday season kicks off, including the supposedly canceled brick and mortar version of Black Friday. That's culminated in sellers being encouraged to prepare inventory and marketing strategies as the event approaches.

  • AUG 11, 2020

    How Pramila Jayapal became Amazon’s biggest critic in Congress

    Pramila Jayapal, a Democratic Congress member from Washington, is not the most obvious candidate for Amazon’s adversary in Congress. But at a recent hearing, she took Jeff Bezos to task. Over the last few years, she's changed the she's dealt with the e-commerce giant as it's become more and more powerful.

  • JUL 30, 2020

    Amid Congressional scrutiny, Amazon posts 40% growth in second quarter

    Amazon saw huge profits in its most recent earnings report. This comes even after the company say three months earlier it would likely spend all of its current profits on coronavirus-related costs. Even so, the company saw record sales and continues to skyrocket. But tensions with third-party sellers still remain a pressure point.

  • JUL 10, 2020

    How Walmart’s new subscription program is trying to compete with Amazon

    Walmart is reportedly planning to launch a new membership program this month. Called Walmart+, it will reportedly cost $98 a year and offer fast home delivery and other perks. Those other perks -- as well as the price tag -- are where Walmart is trying to differentiate itself from Amazon. But the question still remains whether or not it will be enough to compete with the 800-pound gorilla.

  • JUN 26, 2020

    Why Amazon is focusing on fashion with its Big Style Sale

    Amazon long-running goal to dominate fashion is seeing a new attempt during the pandemic. With the electronics-focused Prime Day still months away, the "Big Style Sale" could provide a much-needed stimulus for sellers whose categories suffered throughout the quarantine.

  • MAY 04, 2020

    As problems mount, sellers find fewer avenues to communicate with Amazon

    Amazon is witnessing historic demand, and third-party sellers are noticing a wave of changes. For one, the platform's algorithms to crack down on bad behavior is causing adverse effects. And brands have been unable to find any way to directly communicate with Amazon. One top brand explained just how difficult it's been to sell on the Amazon platform.

  • APR 23, 2020

    As Amazon tries to tamp down on false claims and price gouging, some sellers say it’s going overboard

    Amazon has historically had difficulty keeping track of bad actors on the platform. Now, the company is having the opposite problem -- numerous brands are receiving automated alerts about issues they claim are false. For some, Amazon alleges price gouging. For others, it's about whether their FDA approved product is truly over-the-counter. For these sellers without a direct line to Amazon to appeal they're stuck with products suspended and sales dwindling.

  • APR 17, 2020

    Amazon brands are adopting DTC strategies

    Many brands live and die on the Amazon platform. Now that many non-essential items have seen a profound decrease in demand, these companies are in a bind. Some are trying to adopt competitive tactics that only a few months back they were allergic to.

  • APR 10, 2020

    With Amazon Shipping on pause, the e-commerce giant cedes ground to competitors

    Amazon is quietly pausing its third-party delivering service. While it's only a small move, it shows the company is trying to focus more on its core offering and less on dominating ancillary markets. From a broader perspective, it could indicate that logistics and other invisible service providers are about to feel a lot more strain.

  • APR 07, 2020

    Concerns over Amazon’s warehouse work conditions have reached fever pitch

    Amazon is facing increasing pressure over its working conditions for warehouse employees. With more workers testing positive for coronavirus, people are saying the company hasn't been keeping its front-line workers safe. While Amazon is making big changes now, is it too little too late?

  • NOV 30, 2020

    Why shoppable content will help brands win this holiday season

    With in-person sales largely out of the picture this holiday season, brands must adapt to deliver the frictionless experiences that online consumers expect and demand.

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