This experience is fairly consistent with results from regular PPC advertising on. Again, as discussed, any gain in incremental sales during the Lightning Deal seem to have been lost in the days following the sale. However, they also had a higher decline in sales in the days following the deal. The average fixed cost on a Lightning Deal on Amazon.ca was $20 for me. Lightning Deals on Amazon.ca had better results than on and required less of a discount. At 45%, I suspect most sellers cannot be profitable, and even at 21.83%, it makes profitability difficult for most sellers.Īmazon Lightning Deals: vs Amazon.ca The median total discount for was a staggering 45%. So, for example, if there was a $150 fixed cost and 150 items were sold, I calculated this as a $1 discount and then applied this as a percentage of the product price. I looked at the fixed cost as a percentage of the product. For my lightning deals, these ranged from $150 in the U.S. In addition to this, there is a fixed cost which varies by the demand for your product. Generally, Amazon requires a minimum discount of 15-25%. How Much Do Lightning Deals Actually Cost? In other words, it seems we gave away a significant discount to buyers who would have otherwise purchased at full price. The median decrease for was 6.25% and on Amazon.ca it was 60%.Īlmost an equal number of sales that occurred when running the Lightning Deals was lost in the week after it was run. In fact, comparable weekly sales DECREASED for 11 of the 15 SKUs after running a Lightning Deal. Unfortunately, sales did not increase the week after running the Lightning Deal (compared to to the week prior to running the Lightning Deal). So, in order to be profitable, we would ideally like to see the Lightning Deal give a boost to sales afterward thanks to the added velocity. There's a fairly steep cost to running Lightning Deals both in terms of required discounts and fixed costs. The median increase in was 118.75% and on Amazon.ca it was 180%.ĭo Lightning Deals Give a Sales Boost After? Of the 15 SKUs I tested, all but three had a sales boost. Lightning Deals do result in a significant sales boost the day that they are run. The first question I wanted to look at is: do Lightning Deals result in a significant sales boost on the day they are run? The answer was an emphatic YES. You typically have to schedule these a minimum of two weeks in advance. You can access Lightning Deals from within your Advertising Tab on Seller Central. For my products, it was $150 on and $20 on Amazon.ca Amazon will also charge you a fairly steep fee to hold the Lightning Deal. Running an Amazon Lightning Deal requires you to give some percentage of discount, normally 15% or more, in exchange for having your item featured on the Lightning Deals page as shown here. My products tend to be higher value and lower demand so some consideration needs to be taken into account for this effect. I ran the Lightning Deals across 5 different SKUs (and 11 variations) across two marketplaces.
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