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UK Insights

Amazon counting on traditional media for Prime Day Promotion

Jim Leichenko

Director of Marketing, AdGooroo

Retail 10.07.2017 / 16:00

Hand holding remote sennep

The retailer turns to TV for its biggest sales day

Amazon may be the top paid search advertiser on Google, in more than one country, but when it comes to promoting its upcoming Prime Day sale, the retailer is putting its money on traditional media.

Given AdGooroo’s focus on search marketing intelligence, we initially sought to quantify Amazon’s Prime Day advertising efforts only for paid search, but we found relatively little activity in this area by the retail giant.

According to AdGooroo data, Amazon spent around $24,000 sponsoring four Prime Day-specific keywords on U.S. Google desktop text ads from June 29 through July 5, including the terms ‘amazon prime day’ and ‘prime day’ at an average cost per click of $0.12, suggesting consumers are not searching those terms in significant numbers. For comparison, AdGooroo estimates Amazon spent more than ten times that amount sponsoring general Amazon Prime keywords (‘amazon prime’, etc.) during the same seven-day period.

So how has Amazon been getting the word out to generate sales and new Prime members on July 11th?

Television, according to data from AdGooroo’s parent company Kantar Media.

From June 29 through July 5, Kantar Media estimates Amazon spent nearly $840,000 running Prime Day-themed television commercials in the U.S. Broken out, Kantar Media data shows Amazon spent the most on cable TV, $527,000, while devoting $198,000 to network TV, $111,000 to Spanish language network TV and an additional $3,000 on spot TV placements during the seven day period.

Given the fact that last year’s Prime Day was Amazon’s biggest sales day ever, the company’s TV expenditure on this year’s Prime Day is relatively modest. However, that’s quite understandable given the limited nature of the one-day event and the fact that Amazon just announced the July 11 date on June 28. For comparison, Amazon has spent $106 million on television ads to promote its Amazon Echo voice command device since July 2016.

Source : Kantar Media

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