2024 Amazon Coupon Updates: What Sellers Need to Know About Duration Changes

Amazon is always switching things up, and as a seller on the platform, knowing what these changes are can help you strategize and be successful. As we enter the holiday season, sellers can expect changes to the platform’s existing coupon offerings.

These coupon duration changes are being introduced in response to the holiday season and a second Amazon Prime Day in the second week of October. Now’s the time for sellers to get acquainted with these changes and when they will go into effect, including whether or not they will affect coupons already issued.

Let’s get started!

What Are the 3 Amazon Coupon Classes?

As of publication, Amazon currently offers three unique coupon classes: Standard, Reorder, and Subscribe & Save. Like other retailers, Amazon coupons are issued to attract and retain customers and help sellers clear out their inventory, including those that perhaps didn’t sell well or move quickly enough.

As we approach the holiday season, coupons are a key component in helping sellers clear out slow-moving inventory to make more room on their shelves for higher-margin or faster-selling products. This is especially true due to the increased fulfillment pricing expected to take effect on October 15, 2024, and through January 14, 2025.

In addition, coupons help customers with their buying decisions. According to several studies on the psychology of discounts and consumer habits, approximately ⅔ of buyers will buy a product if offered a coupon, regardless of whether or not they intend to make a purchase. Understanding this psychology should be at the heart of every Amazon seller’s marketing strategy, as it underscores the importance of offering coupons and their role in conversions.

Having gotten that marketing speak out of the way, here’s what you need to know about the three coupon classes offered on Amazon:

Amazon Standard Coupons

As the name implies, standard coupons apply to a product to offer buyers a discount. You have two options as a seller: offer a percentage off the product or a fixed amount. For example, you can offer 10% off or $4 off their purchase. Determining which is the best tactic depends on your sales history.

Once applied to your product, these coupons must be clipped by the buyer for them to be used. It’s worth noting that if you apply standard coupons to your store, you will pay a $0.60 fee, along with a temporary pay cut on the product.

Amazon Reorder Coupons

Standard coupons are offered to incentivize first-time buyers, but reorder coupons target customers who have already purchased – and hopefully liked – your products. These coupons are great for people who buy routinely, such as cell phone cases, apparel, toiletries, pet food, and other grocery items likely to be repeatedly purchased online. While there are many benefits of issuing reorder coupons, one of the best strategies is to review your customer’s buying habits through the platform’s analytics.

For example, if you notice that someone buys cat food every two weeks, issuing a reorder coupon around when a customer is likely to reorder can boost your sales and retain customer loyalty. If your products are consistently affordable, why would your customer seek out your competitor?

Amazon Subscribe & Save Coupons

Like subscribing to a brick-and-mortar store’s email list, subscribing to an Amazon store can give you access to digital coupons.

With Subscribe & Save coupons, Amazon sellers entice one-time buyers to become loyal customers. This is not only a vital component of establishing brand loyalty but also helps generate sales. In fact, Subscribe & Save coupons account for more than …20% of sales” on the platform!

So how do they work? Once set up on the platform, you can offer your buyers a 5% discount any time they make a purchase. If they purchase five items or more, you can provide an additional five or 10 percent, totaling up to 15%  savings. If we circle back to the psychology of discounts, this can be the difference between an occasional sale and consistent, hassle-free profits.

Amazon Coupon Duration Changes: A Breakdown

These coupons, detailed above, can be incredibly useful in helping generate sales, boost your brand identity, and maintain customer loyalty. Though they were all available to be implemented for 90 days, Amazon has recently changed the length of time coupons can be used.

As of September 5, 2024, the following changes have gone into effect:

• Standard Coupons: Now available for 30 days
• Reorder Coupons: Now available for 180 days
• Subscribe & Save: Now available for 365 days

As for why these changes have gone into effect, there are several reasons:

Increases the Coupon’s Impact

Going back to the psychology of consumer buying habits, the longer someone has to use a coupon, the less effective it will be. As with anything, shoppers may put an item in their cart and need to remember it, regardless of their intent to purchase.

If consumers only have a short time to save money on the product they want or need, they’ll be more likely to purchase. In short, the less time a coupon is active, the more desirable it makes the product and the more incentivized someone is to clip it.

However, this strategy doesn’t quite apply to Subscribe & Save coupons. That’s a good thing because the goal of Subscribe & Save is to establish and maintain customer loyalty. How will customers feel if they are only offered coupons for certain shortened windows?

While they might enjoy it for a little while, they’ll eventually opt for a seller that is cheaper than you, which destroys customer loyalty. These coupons, now having a 365-day shelf-life, reward customers for choosing and continuing to shop with you, keeping your sales consistent.

Distinguish Between Various Promotional Offers

If standard coupons, for example, are constantly being issued, your buyers will come to expect these deals. If they miss this one, that’s okay because they expect you’ll run a new one in a month or two.

These different coupon durations help your customers know when there’s a good deal, especially if the discount isn’t available consistently. This not only assists with establishing brand loyalty but it lets you stay on top of trends. Your promotional offers can be tailored to meet the demand of the holiday season, coincide with Amazon Prime Day deals, or set yourself apart from the competition for products you forecast to be in demand moving forward.

Do These New Amazon Coupon Durations Affect Coupons Already Issued?

No, any coupons issued before the September 5th update will not be affected and can still be available for up to 90 days.

Maximize Seller Success with New Amazon Coupon Durations

With Amazon Prime Day, Black Friday, and Cyber Monday fast approaching, there’s no better time to start issuing coupons! Whether you want to use them to establish customer loyalty, generate sales during the year’s busiest shopping season, or clear out slow-moving inventory, these coupon options can help you achieve your goal.

Ready to make the most of Amazon’s coupon changes this holiday season? Let Evolved Commerce help you execute a winning coupon strategy that drives sales, boosts visibility, and maximizes your results on Amazon. Contact us today to elevate your Amazon game!