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Why You Need to Prioritize Amazon Subscribe & Save

Amazon's Subscribe & Save offers customers a convenient way to receive regular deliveries of products they frequently use, such as household items, groceries, and personal care products. For brands aiming for growth on Amazon, prioritizing the Subscribe and Save (SnS) feature is crucial. Increasing your SnS subscription rate can significantly amplify growth while reducing costs. The strategy involves investing more initially to acquire customers, encouraging them to subscribe to your products, and then profiting from their subsequent purchases rather than the initial one. Without this focus, growth could be painstakingly slow. Customers benefit from discounted pricing, free shipping, and the ability to adjust or cancel subscriptions at any time. For suppliers, it translates into regular, predictable sales & inventory planning, and deepened customer relationships.

Importance for Suppliers

  • Sales Growth: Suppliers experience consistent sales volumes as customers commit to ongoing purchases.

  • Customer Loyalty: The program fosters repeat business and customer loyalty.

  • Inventory Planning: Predictable demand enables better inventory management, reducing the risks of out of stocks or excess inventory, thus contributing to more efficient operations and cost savings.

Creating an Effective Advertising Strategy

To attract more customers to your Subscribe & Save offerings, consider the following advertising strategies on Amazon:

  1. Optimize Product Listings: Ensure your listings are compelling, with clear mentions of the Subscribe & Save benefits. Highlight available discounts, delivery frequency options, and the overall convenience.

  2. Use Amazon Sponsored Products and Brands: It's time to increase visibility for your Subscribe & Save eligible products and hammer this message home. Targeting the right keywords and audiences can direct potential subscribers who are actively searching for similar items to your products.

  3. Promote Benefits Across Marketing Channels: Utilize your website, social media, and email marketing to inform customers about the convenience and savings of subscribing. Include direct links to your Amazon listings to facilitate easy subscriptions.

  4. Special Promotions and Exclusive Deals: Offer limited-time discounts or bundle offers to make your Subscribe & Save option more appealing. This can create urgency and encourage more subscriptions.

  5. Leveraging sponsored retargeting through Amazon's Sponsored Display or Demand Side Platform (DSP): These ads target customers who have previously purchased your products, timed with the product's lifecycle. For instance, if a product typically needs replenishing every 45 days, retargeting ads could be initiated around day 35 to remind customers to resubscribe.

Advice and Tactics for Success

To maximize the benefits of Amazon's Subscribe & Save for your business, consider the following advice:

  • Ensure Eligibility and Competitive Pricing: Make sure you meet Amazon's eligibility criteria for the program and offer competitive pricing. Discounts can range from 5% to 15%, and sellers have the flexibility to set higher discounts for grouped shipments, with Amazon covering the additional cost for tiered shipment bonuses.

  • Leverage OneStone's Satellite for Insights: Use Amazon's Subscribe & Save performance and forecasting reports to track results and plan inventory and pricing strategies effectively. OneStone, a Bluebird Group Company, was the first agency to integrate Subscribe & Save data. Better plan your inventory with reporting on Amazon's Subscribe & Save forecasting based on existing subscriptions and sales history. 

  • Focus on Customer Experience: Ensure your subscribed products consistently meet customer expectations in quality and delivery, leveraging positive reviews to attract more subscribers.

Monitoring the growth of your SnS subscriptions by using Satellite will provide insights into the success of your efforts and help adjust strategies as needed. This approach ensures a targeted push towards enhancing customer loyalty and driving repeat sales, which are pivotal for scaling on Amazon.

Amazon's Subscribe & Save is a powerful tool for suppliers looking to secure steady revenue streams, cultivate loyal customer bases, and optimize inventory management. By implementing targeted and retargeting advertising strategies and focusing on delivering value to subscribers, brands can significantly enhance their success on Amazon. Reach out to our team for a demonstration on how your brand can use SnS insights from Satellite to grow your Amazon business.

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