Looking for new strategies to acquire loyal customers? Do you market a product that necessitates frequent replenishment? If so, explore the Amazon Subscribe and Save program, which saves money for Amazon Prime members.

How does Amazon’s Subscribe and Save program work?

The Amazon Subscribe and Save program allows sellers to provide their products at a discounted rate to customers who sign up for regular deliveries. Customers can quickly locate Amazon Subscribe and Save-eligible products in the Buy Box. For instance, customers save 5% on their purchases by enrolling in regular deliveries of eligible products. 

In addition, customers can schedule deliveries of a single ASIN, ranging from every two weeks to every six months, and receive a higher discount of up to 10-20% by subscribing to multiple ASINs. Of course, it’s okay to subscribe to multiple ASINs from the same seller. However, it’s essential to note that the seller subsidizes the 5% and above discount. 

Which Products Should You Consider for Amazon’s Subscribe and Save?

Subscribe and Save is best suited for products that require regular replenishment. However, high-priced products like furniture and electronics are not recommended for this program. The most popular categories for Subscribe and Save include baby products, pet products, health and beauty products (such as makeup, vitamins, and fitness supplements), household consumables (such as paper products, cleaning supplies, and light bulbs), office supplies (like printer ink and stationery), and gardening products (like fertilizers). The savings percentage for each category varies but typically starts at 5% and can go up to 10% or 15% based on the number of active subscriptions a customer has. As a seller, you’re most responsible for subsidizing the discount amount.

What advantages do Amazon customers get from using subscription services?

The Subscribe and Save program offers customers a default 5% discount on their subscribed products, which are shipped periodically based on their chosen schedule – ranging from every 2 weeks to every 6 months.

Customers can also receive a higher discount of 10-15% if they subscribe to at least 5 products at once, encouraging them to purchase more.

Additionally, customers can delay or skip shipments if needed if the order has yet to be processed.

Overall, the program provides convenience and peace of mind to customers by automating the process of purchasing household essentials, making it one less thing for them to worry about.

How can sellers use Amazon Subscribe and Save to increase customer loyalty and sales?

The Amazon Subscribe and Save program offers two key benefits: increased customer loyalty and higher sales. By enrolling in the program, customers commit to regularly purchasing your product, which can lead to a more reliable revenue stream for you as a seller. 

Additionally, Amazon now allows Subscribe & Save Coupons, a powerful way to entice customers to subscribe to your products. For example, you could offer a high-discount coupon that is only redeemable once, and it encourages customers to remain subscribed to your product.

Automatic enrolment of products to Subscribe & Save

As an FBA seller, taking advantage of Amazon’s Subscribe & Save program is made easy with automatic enrolment at a 0% base discount, while Amazon funds the 5% tier discount for eligible items. Simply check out the Manage Subscribe & Save page to see your enrolled items and start reaping the benefits of the program.

How base discounts and tiered status work

Amazon offers a base discount and funding for all subscriptions, allowing customers to save more money with each delivery. When customers subscribe to five or more items for a single delivery, they unlock tiered status, which means they can enjoy even more savings. This is a great opportunity for sellers to incentivize their customers to subscribe to their products and build a loyal customer base.

Seller funded at 0%

Four subscriptions on the same delivery date earn customers no discount. Five or more subscriptions on the same delivery date earn a 5% discount (funded by Amazon).

Seller funded at 5%

Four subscriptions on the same delivery date earn customers a 5% discount. Five or more subscriptions on the same delivery date earn a 5% discount (funded by you) plus an additional 5% discount (funded by Amazon) – unlocking customer savings of 10%.

Seller funded at 10%

Four subscriptions on the same delivery date earn customers a 10% discount. Five or more subscriptions on the same delivery date earn a 10% discount (funded by you) plus an additional 5% discount (funded by Amazon) – unlocking customer savings of 15%.

Subscribe and Save Performance

The Subscribe and Save performance report gives a detailed overview of items shipped, stockouts, and discounts, providing insights to help sellers make data-driven decisions. 

Additionally, sellers can use the Subscribe & Save forecasting report to get an 8-week sales forecast, enabling them to plan their inventory and pricing strategy better.

It’s important to note that this program isn’t suitable for everyone. However, if you determine it’s a good fit for your business, why wait? Start taking advantage of the benefits today.