Amazon’s Prime Day 2020 Is Coming

Amazon’s Prime Day 2020 Is Coming Soon: But How Will It Be Different This Year and How Will It Affect Brands and Advertisers?

In case you haven’t heard, Amazon officially announced that Prime Day 2020 will kick off on Tuesday, October 13 and will run through Wednesday, October 14.

This widely popular sales event (albeit fabricated) typically takes place in July as a way to boost summer sales for the company since its inception just 5 years ago and has quickly become the biggest shopping day of the year for Amazon. However, given the current pandemic landscape, the company announced earlier this year that Prime Day would still happen but just “later than usual,” with no definitive date – until now.

And while consumers rejoice in this much needed retail therapy, this delayed launch of Prime Day will set up this event as not only the kick-off to the holiday shopping spree for consumers, but also sets a precedence of what to expect for brands and advertisers alike in terms of how the Q4 2020 holiday season will shake out. According to the official press release for Prime Day 2019, more than 175 million products were purchased by Prime members in 17 countries, making Amazon Prime Day 2019 the biggest and most successful shopping event in Amazon history with sales amounting to an estimated $7.16 billion dollars.

So, will Amazon be able to replicate the same success they saw last year with Prime Day 2020? And what does this mean for advertisers and brands alike? Afterall, Prime Day is not just for consumers but also an opportunity for brands to position themselves within the Amazon ecosystem during this major sales event with Sponsored Product Ads through their Amazon Marketing Services – but at a premium cost of course.

In 2019, Amazon Marketing Services ranked 3rd in terms of revenue share for digital ad spend with 8.8% (Google was #1 accounting for 37% of revenue share). Despite this, it is difficult to ignore that Amazon is still the most popular, go-to shopping app for consumers and the undisputed leader in retail sales, accounting for nearly 40% of total retail sales this year alone. Therefore, based on just the numbers alone, it is no surprise that advertisers want to get in on some of this action, especially during a high traffic time such as Prime Day.

However, it has become increasingly more difficult to get your brand noticed on Amazon, even for advertisers who are willing to pay-to-play as advertisers are not only competing with each other, but also against Amazon’s own line of “Amazon Basics” products, which the company has been allegedly guilty for tweaking their search result algorithm to favor their own branded products.

The company of course, denied such allegations of rigging their search algorithm, however, did admit that they do take profitability into account when displaying products. It goes without saying that Amazon is really good at making money, and given that Amazon controls the marketing, manufacturing, and distribution of its private-label products as well as the marketplace they’re sold on, these allegations do not seem so farfetched. This notion just makes it that much more difficult for advertisers to remain competitive on the platform as advertisers are potentially playing with a stacked deck.

This is where Ignited can help.

Ignited is a full-service marketing agency well-versed and experienced in all aspects of media planning and buying with expertise within direct response and e-commerce objectives specifically having worked with multiple e-commerce driven brands such as Soylent, directly through the Amazon Marketing Services platform.

Whether Amazon is only a portion of or your entire retail strategy, we have tried and true experience executing advertising programs through all of Amazon’s on and off platform capabilities. Not only do we have relationships in place with Amazon Media Group’s ad sales teams to build and negotiate robust media programs for larger campaigns, we also operate in the Amazon platform to pull the levers across Amazon Marketing Services. This ensures that across all channels and platforms, the results ladder up towards your ultimate business goals.

Want to learn more on how Ignited can help optimize your 2020 e-commerce plans for your business? Contact us today!


Questions, Comments, and The Future

  • Will this delay hurt or help Prime Day 2020 with Black Friday and Cyber Monday right around the corner?
  • How will this affect Black Friday and Cyber Monday sales for all brands?
  • What other brands will launch their own sales event in tandem with Prime Day to take advantage of this “holiday”?