Prime Exclusive Discounts - The PEDs of Selling on Amazon

When I was a kid, Mark Mcguire dramatically beat out Sammy Sosa to set the single season home run record by hitting 70 home runs. A few years later, Barry Bonds would hit 73 home runs in a single season!

Before 1998, the single season record was 61 home runs, held by Roger Maris for 37 years. That record was surpassed 6 different times within a 3 year period between 1998 and 2001.

How did this happen? Did baseball players figure out a cheat code for hitting more home runs?

In short, yes.

What many suspected at the time, and we all found out for sure later on, is that all these players were taking performance enhancing drugs (PEDs) that increased their strength way past what would have been possible without them.

Why am I telling you this? Because Amazon also has PEDs that can increase your sales beyond what would have been possible without them. These PEDs are called Prime Exclusive Discounts.
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Example of a Prime Exclusive Discount

What Are Prime Exclusive Discounts?

Prime Exclusive Discounts are a type of promotion Amazon Sellers can use to incentivize Amazon Prime shoppers to buy their products.

The name is self explanatory, this type of discount is only available to Prime members. Non-Prime shoppers will not be able to use the discount.

But, they can still see the discount. They just can’t use the discount unless they sign on to become a Prime member.

This provides a clue as to why Prime Exclusive Discounts work so well.

Amazon Wants New Prime Members More Than Anything Else

The obvious way that Prime Exclusive Discounts work is that they provide a discount to purchase your product. This will naturally improve the conversion rate.

Amazon shoppers love a deal.

But, besides the obvious benefits of a discount, there is more to this story. Amazon provides lots of promotions options, including coupons, volume discounts, and more.

What sets Prime Exclusive Discounts apart from the rest? When you use PEDs you fully align your incentives with Amazon itself.

Amazon.com’s growth model is based on adding new Amazon Prime members.

• Amazon Prime members look on Amazon first when shopping for a product, with many shopping exclusively on Amazon.
• Once a shopper becomes a Prime member, they spend more time and money online shopping than if they were not a Prime member. They also click on more ads.
• Amazon shoppers have access to Amazon properties, like Amazon Prime, where they can be served even more ads for products sold on Amazon.com.
• Amazon charges an annual fee for Amazon Prime

​To recap, an Amazon Prime member shops almost primarily on Amazon, spends more time and money online, is shown ads paid for by Amazon sellers, and is charged an annual fee by Amazon just to be a Prime member.

Amazon gets paid 4 times for each Prime member they add.

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Why Does This Matter?

When you use a PED, you are not only increasing the value of a Prime Membership, you are also incentivizing non-Prime shoppers to become Prime Members.

Check out the ad below:

This ad is being viewed by a non-Prime member. Notice what it says right below the $699 price?

“Join Prime to buy this item at $489”

By using a Prime Exclusive Discount you are now incentivizing non-Prime members to become Prime members.

Because Amazon makes so much money from Prime Members, the algorithm will show your products to more people if you use a Prime Exclusive Discount.

It pays to align yourself with Amazon, because Amazon will always decide to make more money than to make less money.

That’s why we make Prime Exclusive Discounts the cornerstone of our promotional strategy. Combining PEDs with optimized listing pages, effective advertising, and well stocked inventory will grow your brand beyond anything you could accomplish without the use of PEDs.