What if there were a way to level up your average order volume (AOV) with only a few clicks on Seller Central? Branching out into the world of Amazon Business can help you win repeat customers who buy in bulk, while positioning your brand for long-term profitability.
In this article, we’ll share some of the top Amazon Business pricing and discount strategies for generating repeat customers, higher order quantities, and more sales. Let’s get started.
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What Is Amazon Business?
Amazon Business is a free service available to all sellers who want to sell to other businesses on the platform. Perks include access to discounted products, lower referral fees for bulk purchases, search and payment enhancements, logistical support, and more.
What Are Amazon Business Discounts
One of the biggest advantages of enrolling in Amazon Business is the ability to offer customers discounted prices on any item to incentivize high-volume orders. Through Amazon B2B Central, you can offer generalized discounts on any product, in any quantity. You can also adjust your pricing anytime based on product performance, customer response, and other data.
4 Ways to Win with Business Pricing & Discounts
As an Amazon Business seller, you can access business-only pricing and create specialized discounts to win customers — and the benefits don’t stop there. Here’s how the right Amazon Business strategies can unlock explosive growth for your brand.
1. Set Your Business Up for Long-Term Growth
With the launch of Business Prime Rewards, Amazon is incentivizing more businesses to buy and sell on the B2B side. And with perks like 2% cash back on Amazon Private Brands purchases and up to $1,000 in rewards, industry experts have taken note.
Amazon Business has been called one of the fastest growing ventures in Amazon’s history, reaching $35 billion in annual sales. Forrester VP and Principal Analyst, Sucharita Kodali, calls B2B “the next phase of Amazon retail,” pointing out that Amazon Business has nearly double the presence of its physical business.
According to experts like Kodali, the time to get in is now.
“Given the still-behind state of most other B2B e-commerce sites, Amazon Business may not even need enterprise companies for a while,” says Kodali. “Today, Amazon Business stands out as a juggernaut with an inherent competitive advantage just with small and medium enterprises.”
2. Use Tiered Pricing to Incentivize Larger Volume Purchases
As an Amazon Business Seller, you get access to two exclusive pricing perks: business-only pricing and quantity-based discounts.
How to Set Up Quantity Pricing
Amazon Business Pricing allows you to set discount pricing that applies to any quantity of products, even just one unit. By providing exclusive discounts for bulk purchases, you can position your brand as a cost-effective long-term partner.
To enable bulk discounts, start by setting your Quantity Pricing. Navigate to the Manage Inventory tab and find the product you want to discount. In the Business Price column, click the link arrow next to “Add quantity discounts.”
Once there, you can set up tiered discounts using one of two pricing models: percent off business price and fixed price off a business price.
- Percent off lets you offer percentage-based discounts based on pre-defined minimum order quantity (MOQ) tiers. For example, you could set a 5% discount for bulk orders with a MOQ of 10 units and a 20% discount for orders with an MOQ of 100.
- Fixed price enables you to set a specific dollar-number discount based on each MOQ tier. For example, you could set a $10 discount for orders over $100, and a $100 discount for orders over $1,000.
As an Amazon Business seller, you have total flexibility in how many tiers you set, what the thresholds are, and how deep a discount you want to offer at each level. Keep in mind, these discounts only apply to your business prices, and won’t be viewable by your regular customers.
Adjust pricing automatically depending on demand, inventory, competitor pricing, market trends, and more. We break it all down in The Ultimate Guide to Amazon Dynamic Pricing.
3. Take Advantage of Business Bid Adjustments
Amazon Ads recently introduced Business Bid Adjustments, which lets you boost your bids by up to 900% for Amazon Business Placements. According to Amazon, sellers who advertise on Amazon Business see a 2x to 3x higher return on ad spend (RoAS) relative to overall campaign performance.
As an Amazon Business seller, you also gain access to specialized performance metrics that can help you make better bidding decisions:
- Conversion Rate (CR): Keep an eye on which products or keywords are bringing in the most conversions. Use this insight to tweak your bidding strategy and focus on what’s really driving results with business shoppers.
- Click-Through Rate (CTR): Pay attention to your CTR to see how well your ad creative and targeting are working. Adjust your bids for high-CTR keywords or products to attract more traffic to your listings.
- Return on Ad Spend (RoAS): Keep tabs on your return on ad spend to see how profitable your ad campaigns are and focus on campaigns with a higher return on investment.
- Cost Per Click (CPC): Use your CPC to gauge the competitiveness of your bids, adjust your bidding, and improve ad performance.
- Attribution Metrics: Dive into attribution metrics like first-click or last-click attribution to understand how different touchpoints affect business conversions. Use this data to fine-tune your bidding strategy, optimize ad placements, and allocate your budget with confidence.
Another perk of Business Bid Adjustment is that it’s low-commitment. It’s an optional tool that users can turn off at any time. Simply adjust your input to 0% in the “Bid adjustments” tab of the Campaign Manager and go right back to advertising as usual.
Both AI and rule-based bidding have their place. Learn When to Use Each for Maximum RoAS.
4. Grow Revenue with Bundled Offerings and Business Packages
As long as you keep your pricing and discounts competitive, your business customers can be some of the most loyal selling relationships you have, resulting in consistent and reliable revenue.
Your business customers are also more likely to turn to you when they need a vendor for a different type of product. By promoting bundled offerings or exclusive business packages with discounted prices for a combination of products, you can increase sales in a number of new ways.
For example, a supplier serving construction companies might offer a bundled package that includes construction materials and safety equipment at a discounted rate. With more ways to cross-sell, upsell, or even expand your product portfolio to meet business customer needs, you can increase your average order value (AOV) and grow your revenue.
Finally, Amazon Business also allows registered businesses to pre-negotiate pricing. This means businesses can contact suppliers directly and request a price sheet, opening you up to a range of relationship-building opportunities with buyers.
How to Start Selling on Amazon Business
Ready to start scaling with Amazon Business? First, you’ll need a Professional Seller Account in good standing. Log in to Seller Central and click B2B, where you’ll enroll in order to get access to B2B Central.
Once your registration is approved, head to B2B Central to start adding products to your catalog. B2B Central offers features like a Product Opportunities tool and Amazon Bulk Services to help you choose the right products and manage bulk listings.
Once you’ve set up your B2B products, head to the Manage Inventory tab, then the Business Price column. From here, you can create business prices and discounts or set dynamic pricing rules. Individual customers will still see your regular price, but business buyers will see discounted options. You can also integrate with third-party tools like the Trellis dynamic pricing platform.
Once you have your products and prices set up, make sure your business profile is in tip top shape. Amazon recommends adding diversity and quality certifications to your seller profile to target businesses with specific vendor goals. Finally, don’t forget to optimize your product listings and brand store to attract business buyers.
Stay compliant with Dynamic Pricing from Trellis. Set minimum and maximum prices across multiple marketplaces, while using the power of AI to react to market changes in real-time. Book your free demo to see it in action!
Grow Business Sales while Protecting Your Profitability
Amazon has over 6 million customers worldwide — many of them repeat customers who order in bulk. To increase sales through Amazon Business while protecting your profitability, you need a pricing platform that can help you attract bulk orders, without slashing your margins.
Trellis’ Dynamic Pricing Platform offers hourly price management to help you leverage market trends and competitor data to win more sales, without losing profits. Using advanced metrics like Profit Per Session (PpS), Total Sales, BSR, and conversion rate to define and activate pricing strategies, you can keep both your sales and margins on target.
Trellis’ bid modifiers and bulk pricing strategies keep quantity discounts in mind while optimizing for maximum profits. To learn more, schedule your personalized demo with our team.
