Amazon has become a key marketing priority for fashion brands, but lack of data on the ROI of various promotional options makes investment allocation decisions challenging. L2’s Amazon Fashion: Media & Deals report sheds some light on that area by ranking Amazon promotional levers in terms of how they impact search rankings – and by extension, sales.
Promotional opportunities such as Lightning Deals and Prime Early Access Deals have the strongest impact on search rank, according to the study. For example, when Levi’s included one of its men’s belts as a Lightning Deal, the product saw significantly improved search rankings.
However, the study also makes clear that using discounts to drive sales is not a sustainable strategy. While promotional levers often have a significant short-term impact, most effects are short-lived. Over the three-month study period, Amazon promotions accounted for just 14% of changes in brand median search rank.
To avoid depending on discounts, Fashion brands should consider media investments. In L2’s study, AMG Media levers score just below Amazon Deals in terms of impact. However, AMG media opportunities are relatively underutilized by most Fashion brands.