It’s no secret that special deals and promotions tend to motivate shoppers to take action. And offers that are reserved for certain customers only, are often highly effective at driving first time purchases and fostering that all-important customer loyalty as well. According to Capital One Shopping, in 2022, 177.9 million US consumers (around 68.2 percent of adults) redeemed digital coupons. (1)
Our experience with Amazon Brand Tailored Promotions is that they really do work, and, great news! You don’t need to offer extraordinary discounts to get customers to click. In fact, on average our BTPs give us better returns when the discount is just 10%. Higher discounts do not yield better results.
What Is Amazon’s Brand Tailored Promotions Program?
To help brands capitalize on shopper behavior, Amazon’s Brand Tailored Promotions (BTPs) program was developed. It’s a free tool that helps brands speak directly to specific segments of their audience.
BTPs allow brands to create promotional codes for specific subsets of past and prospective customers, called Tailored Audiences. Whether the goal is customer acquisition, retention, re-engagement, or cross-selling, Brand Tailored Promotions can help you target just the right people in just the right way.
The discount you can offer ranges from 10% to 50% off, but as we touched on, our BTPs tend to have better returns when the discount is just 10%. You might think more would be better but that has not been our observation.
Thanks to the ASIN exclusion feature, you can narrow your offer(s) to specific parts of your catalog and give shoppers exactly what they want. Eligible customers can redeem the promotion on a single purchase (One redemption per product).
BTPs can reach shoppers in three different places on Amazon: search results, the product’s Detail Page, and in the brand’s Store. BTPs cannot be combined, so customers who are eligible for more than one BTP will be offered the highest available discount.
What Are Brand Tailored Coupons?
Similar to BTPs, Brand-Tailored Coupons (BTCs) enable brands to offer either percentage-off or flat-rate discounts to specific audiences on a subset of your catalog. And with BTCs you can engage past and prospective customers like you can with BTPs. Standard coupon fees apply. Eligible customers will find your BTC on search results, product detail pages, the coupons page and in their cart too.
Which Brands Are Eligible To Offer Brand Tailored Promotions?
BTPs are available to registered brand owners listed on the Amazon Brand Registry, with an audience size of 1,000 or more. For more, visit the Seller Central Help Page.
Product Eligibility For Brand Tailored Promotions
- Products with no reviews are eligible.
- If a product has reviews, it must meet below criteria:
- Products with 1-4 reviews must have an average rating of 2.5 stars.
- Products with 5+ reviews must have an average rating of at least 3 stars.
- Products must be in “New” condition
Products Not Eligible For Brand Tailored Promotions
- Products in used or refurbished condition
- Collectibles
- Adult & Sexual wellness products
- Hunting and fishing products
- Guns and gun accessories
Which Customers Are Eligible For Brand Tailored Promotions?
Get Up Close & Personal With Brand Tailored Audiences
When you utilize audience segments with BTPs, you deliver personalized shopping experiences that resonate with the right people, like:
Brand Followers: People who have clicked to follow your brand in Amazon’s store.
Repeat Customers: Those who have ordered from your catalog more than once in the last 12 months.
Recent Customers: The most recent 5% of customers who have purchased from your brand.
High Spend Customers: The highest-spending 5% of your customers in the last 12 months.
Potential New Customers: Customers who have clicked on your brand and products, but have not purchased in the last 12 months.
Cart Abandoners: Shoppers who have added one or more of your brand’s products in their cart in the last 3 months, but haven’t purchased yet.
Top Tier Customers: Customers who have bought recently and spend the most. Most of these customers buy frequently.
Promising Customers: People who have bought recently, buy occasionally, and spend above average.
At-Risk Customers: Those who haven’t bought recently nor frequently, with varied spend.
While customers are only eligible for one BTP at a time, BTPs can be added to other deals and coupons that your brand is participating in, so plan accordingly!
But with audience segmentation this specific, you really can plan, and that’s what’s great about Brand Tailored Promotions. Each of the customer segments above would be motivated by a different offer, and who is motivated would be different from brand to brand too, so with BTPs (and BTCs) you have a chance to really make people feel seen and understood. When the customer journey is a fun, engaging, and personal one, you’ll win new fans every time.
Fine-tuning the customer journey is how you stand out from the crowd of Amazon sellers, and BTPs are a natural part of that. By offering the right discount at the right time, you can create strong connections with buyers and even make them into ambassadors of your brand. People who love shopping with you are the best advertisement of all, right? When a friend recommends a brand or product, we pay attention!
Scenarios For Brand Tailored Promotions
Want to see some numbers around this? Below is a screenshot of one client’s Brand Tailored Promotions, the audience segments we did promotions for, and the results. Keep in mind that their customer avatar is likely different from your own brand’s, so your mileage will definitely vary.
Recent customers may find themselves back in your store because they had their eye on a few other things at the time they made their purchase, but they weren’t sure how the transaction would go the first time. By targeting them with a special discount once they return, satisfied with their initial purchase, you can tempt them into considering the other items they might have wanted.
Our client’s recent customers appear less responsive to discounts than some others might be, likely because of the product type itself. A modest 9.63 ROAS suggests that immediate follow-up discounts might not be the most effective strategy for this group.
Cart abandoners are an audience segment that you might not think of as having much potential, but according to Klaviyo, abandoned cart offers can recover up to 11 percent of orders, and our experience mirrors this. In fact, for this client, cart abandoners are among the most responsive to BTPs. With a 17.39 redemption rate, we see more cart abandoners and repeat customers utilizing the BTP discount coupons than any other subset.
Shoppers who place items in their cart demonstrate a strong interest in purchasing those products, and by following up with them with an offer they can’t refuse, you can get them back in your store and make them feel seen and appreciated too.
Though you likely already have a rapport with your top-tier and high-spend customers, they are an important category and deserve some special attention too. By offering them a deal they can’t refuse, one that is for them specifically, you can deepen that connection and keep them shopping with you… not your competitors.
Promising customers, like recent customers, have a clear interest in your brand and products, but again, it’s a matter of reeling them in with an offer that speaks to them. A discount of 10 percent did reasonably well for us, yielding a 6.40 percent redemption rate.
How To Create Brand Tailored Promotions In Seller Central
Grow your customer base, nurture existing customers, and foster long-lasting relationships.
To find the BTP dashboard, select Brand Tailored Promotions from the Advertising drop-down menu in Seller Central. From there, click “Create a Promotion” and click here to follow the setup instructions in Seller Central (opens in a new window).
Brand Tailored Promotions are seller ID specific so they do not apply to all sellers selling your brand.
A Game Changer For Brands
Amazon’s Brand Tailored Promotions (BTPs) and Brand Tailored Coupons (BTCs) are powerful tools that help brands grow and nurture customer relationships. With specific audience segments, brands can offer personalized promotions that uniquely resonate with shoppers, driving both first-time purchases and repeat business.
With the ability to target specific groups such as brand followers, high-spend customers, and cart abandoners, these promotional tools help brands achieve diverse goals—from acquisition to retention and re-engagement.
Utilizing these options not only enhances customer loyalty but also maximizes the impact of marketing efforts on Amazon, ultimately boosting sales and fostering a more engaged customer base.
Learn more about building customer loyalty – Download the BTP guide here
How can we help your brand achieve success? Contact us.
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