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How Amazon’s ad network fuelled the 2019 Prime Day – and will continue to do so

The richest man in the world, Jeff Bezos, has even more reason to celebrate. Amazon’s 48-hour Prime Day event this year just provided a glimpse of what ecommerce — and most likely, all commerce — might look like in the years to come.

Almost half of online shoppers in the US now begin their product searches on Amazon, compared with 35 percent who turn first to Google. Bezos is also pushing to broaden Amazon’s influence in brick-and-mortar operations, offering Prime member discounts at Amazon-owned Whole Foods markets and the soon-to-be-rolled-out, largely automated, Amazon Go stores.

The latest evidence of the extent to which Bezos has changed the DNA of retail came during the July 15-16, 2019, Prime Day online sales marathon. According to Forbes retail columnist Pamela N. Danziger, last year’s Prime Day resulted in 100 million items sold worldwide in just 36 hours.

This year’s numbers proved even more staggering, as Amazon Prime members — 200,000 more of them every month — swarmed to find Prime Day discounts. Together, they pushed the number of items sold to 175,000,000 — exceeding last year’s Black Friday/Cyber Monday tally and becoming what the company claimed was the “largest shopping event in Amazon history.”

Total sales revenue was expected to grow from $3.8 billion in 2018 to $5.8 billion this year, according to Coresight Research. Amazon has not yet released overall sales figures for Prime Day 2019, but the company announced that sales for small- and medium-sized third-party sellers “far exceeded $2 billion” this year.

Just five years after its creation, Prime Day 2019 makes it clear that Amazon has created a “Christmas in July.” That’s true not only for bargain-hunting consumers, but also for brands — especially those that take advantage of Amazon’s advertising resources to raise their products above the rest.

Be found in the crowd

Amazon has surged past Walmart to become the world’s biggest retailer in part due to its increasing emphasis on brands selling products directly to consumers. In addition to luring shoppers with healthy discounts, brands using Prime Day promotions can expect sales to grow three- or four-fold during the two-day shopping marathon — as well to enjoy a lingering “halo effect” that swells consumer spending for two weeks or more after it’s over.

While some consumers come to Amazon in search of familiar brands, most arrive — on Prime Day as well as the rest of the year — open to competing products that enjoy strong customer reviews or offer competitive prices.

The best way to attract those shoppers is to make intelligent use of Amazon’s growing array of advertising tools. They include using popular keywords in Seller Central, offering discount coupons, making strategic use of sponsored ads and taking advantage of the Showcase template, which allows brands to promote a selection of products on Amazon and then link shoppers back to a company’s own site. According to Amazon, companies that purchased sponsored ads enjoyed a 500 percent increase in ad-attributed sales during Prime Day 2018 — a boost that an increasing number of brands are benefitting from this year.

Reshaping the face of advertising

Just as Amazon has rewritten the rules of retail, it promises to redefine advertising as well. While total Amazon ad revenue still lags behind Google and Facebook, the growth rate of its ad business is racing ahead.

Amazon’s ad revenue is currently increasing at a rate of 120 percent a year, compared to 69 percent for Facebook and 50 percent for Google, according to The Information. And Amazon’s take will only get larger. A survey of ad buyers in January, 2019, found that more than half planned to boost their ad spending on Amazon this year — with nearly two-thirds saying they would divert money spent on other digital platforms to reach that goal.

Clearly, Amazon advertising is a game changer. Brands that want to rise above the competition on Amazon need to embrace these new marketing tools to achieve faster growth in the world’s largest marketplace.

Flipkart National Shopping Days: TVs see up to 75% discount, electronics 80% off

Flipkart’s National Shopping Days is all set to bring best-selling products on attractive discounts under various categories ranging from home appliances, electronics to fashion and furniture. The sale which will kick off on Thursday midnight, but will start early for Flipkart Plus members at 8pm today. August 10 will be the last day of the sale. 

Appliances
Home appliances being one of most-sought categories in online shopping, has been listed at steep discounts.  .. 

Appliances
Home appliances being one of most-sought categories in online shopping, has been listed at steep discounts. While the deals have not been revealed, Flipkart has given a sneak peek teasing the customers with the estimated discounted prices. 

Deals under Rs 20,000 include newly launched products such as Samsung (32”) HD Smart TV, Midea Fully Automatic front loading washing machine, Whirlpool 195L (5 star) refrigerator, and others. 

How Instagram shopping is transforming small and medium businesses in India

At 12 noon every day, Deepika Nandal competes with 20,000 other followers to buy her favourite handloom apparel from an Instagram account called @ SanskritikVastrashala. The Mumbai-based food blogger frantically types the account name on the search bar of her app before it’s too late. There are only 30 unique pieces to choose from every day. “The catalogue is booked within minutes, and sold out in an hour,” says the 32-year-old.