The problem of overlapping discount coupons has always been a headache for Amazon sellers, especially during major promotions, where many sellers have lost a lot of profits due to overlapping discounts.
Recently, Amazon announced an adjustment to its order discount coupon policy, allowing customers to use percentage discount coupons on long items in a single order. This update has brought certain benefits to both sellers and consumers!
01: Key points for coupon update
Prior to this, customers could only use one coupon per order, and frequent purchases could save on product costs. And this adjustment allows customers to enjoy more discounts on products in one order, without the need to place separate orders to achieve discounts on multiple items, increasing customer loyalty and repeat purchase rates.
At the same time, it can reduce the number of orders that sellers need to process and lower delivery costs.
That is to say, when a user uses a 10% discount coupon to purchase 6 items worth $50 in one order, they can enjoy a 10% discount on up to 5 items, for a total discount of $25.
After this rule goes online, as long as the seller creates a coupon in the "Seller Center" and selects "No" in the "Each customer can only redeem one" option, the discount coupon can be used for up to five items per order.
If you choose 'Yes' instead, as before, only one coupon can be used for each order.
It should be noted that this change does not apply to discount coupons!
So how is the stacking of various coupons calculated? Next, we will outline the calculation rules for various promotions/discounts that overlap with each other and provide examples to avoid situations where discounts are added or purchased for 0 yuan.
02: Coupon overlay detailed calculation
Amazon's promotions include coupons, promotions, LD/7DD flash sales, Prime Exclusive Discounts, and more.
Combination of Coupons and Promotions
Discounted price=Original price * (1-Coupon discount - Promotion discount). For example, if the original price of a product is $100 and a 10% coupon and 20% promotion are set, then the discounted price=100 * (1-10% -20%)=70
The combination of exclusive member discounts and coupon coupons
Discounted price=Original price * (1-Member exclusive discount) * (1-Coupon discount). For example, if the original price of a product is $100 and a 10% coupon and a 30% member exclusive discount are set, then the discounted price=100 * (1-30%) * (1-10%)=63
Member exclusive discounts and promotions stacked together
Discounted price=Original price * (1-Member exclusive discount) * (1-Promotion discount). For example, if the original price of a product is $100 and a 50% promotional discount and a 20% member exclusive discount are set, then the discounted price=100 * (1-50%) * (1-20%)=40
Member exclusive discounts combined with coupons, promotions, and discounts
Discounted price=Original price * (1-Member exclusive discount) * (1-Coupon discount - Promotion discount). For example, if the original price of a product is $100 and a 30% coupon, 20% promotional discount, and 20% member exclusive discount are set, then the discounted price=100 * (1-20%) * (1-30% -20%)=40
Flash sale LD overlay and coupon overlay
Discounted price=original price * (1-coupon discount - flash sale discount). For example, if the original price of the product is $100, with a 30% flash sale discount and a 10% coupon, the discounted price=100 * (1-30% -10%)=60
Stacking of flash sale LD and promotion promotions
Discounted price=Original price * (1-Promotion discount - Flash sale discount). For example, if the original price of the product is $100 and a 20 second sale discount and a 50% promotion discount are set, the discounted price=100 * (1-20% -50%)=30
Flash sale (7DD) overlay and coupon overlay
Discounted price=Original price * (1-7DD flash sale discount) * (1-Coupon discount). For example, if the original price of the product is $100 and a 20% 7DD flash sale discount and a 10% promotion discount are set, the discounted price=100 * (1-20%) * (1-10%)=72
Flash sale (7DD) overlay and promotion overlay
Discounted price=Original price * (1-7DD flash sale discount) * (1-Promotion discount). For example, the original price of the product is $100, with a 20% 7DD flash sale discount and a 50% promotional discount. The discounted price is 100 * (1-20%) * (1-50%)=40
It should be noted that both LD and 7DD cannot be combined with member exclusive discounts. If they are set at the same time, member exclusive discounts will be suppressed!
When doing off-site activities, a discount of 35% -60% is more in line with the off-site environment, and the discount methods generally adopt half of the discount from coupons and half of the discount from social media, so as to balance the on-site discounts at the same time.
For example, if a product performs well on the website with an average of 20 orders per day and a price of 19.9 yuan plus an 8% coupon, and you want to boost your sales outside the website, you can set a 40% discount, 25% Coupon, and 15% Code. This way, after a successful order, you can adjust the strength of the coupon, keeping the off-site discount unchanged and changing it back to 8% or 15% inside the website. This way, while selling normally on the website, the off-site transaction price will not be low.
Dear sellers, you can set the maximum purchase quantity to 1 or 2 to prevent losses caused by overlapping discounts, as well as to prevent competitors from intentionally short selling inventory.
At the same time, try to carefully check if there are any promotional activities that are effective at the same time. When setting up, be sure to make old promotions invalid, otherwise the combination of old and new promotions can easily result in a 0 yuan purchase!
Sellers may as well seize this Amazon policy change, optimize their own promotional activities, and take another wave during the peak season!