PED
What is PED?
PEDs are part of Amazon’s Prime member benefits and a key promotional lever for vendors and sellers. These discounts are visible to all shoppers, but only Prime members can redeem them, which drives Prime sign-ups, loyalty, and conversions.
How It Works:
- Vendors or sellers set up a Prime Exclusive Discount in Vendor Central or Seller Central.
- The discounted price appears on the PDP and in search results with the blue “Prime Exclusive Deal” or “Prime Member Deal” badge.
- Non-Prime shoppers see the crossed-out regular price but cannot access the deal.
- PEDs can run during major events (Prime Day, PD2, Black Friday) or as standalone promotions.
Requirements (Typical):
- The product must be Prime-eligible (FBA or Vendor fulfilled).
- Must meet minimum discount thresholds (usually 10% or more below the lowest price in the past 30 days).
- The deal must maintain a 4-star rating (or higher) and good in-stock levels.
- PEDs are funded entirely by the vendor/seller, not by Amazon.
Benefits for Vendors/Sellers:
- Boosted visibility: Products display the Prime-exclusive badge in search and on PDPs.
- Higher conversions: Prime members are more likely to purchase discounted items.
- Traffic surge during events: PEDs perform exceptionally during Prime Day (PD1/PD4) and Prime Fall Event (PD2).
- Brand exposure: Helps capture new Prime customers and repeat buyers.
Benefits for Amazon:
- Customer retention: Adds value to Prime membership.
- Event momentum: PEDs are a core component of Prime Day and seasonal promotions.
- Higher GMV (Gross Merchandise Volume): Discounts increase purchase frequency and basket size.
Challenges:
- Margin pressure: 100% vendor-funded discounts reduce profitability.
- Strict eligibility: ASINs with low ratings or stock may be excluded.
- Short duration: Deals typically run 24–48 hours, requiring careful timing.
Why It Matters:
PEDs are one of Amazon’s most impactful promotional mechanisms, driving massive traffic and conversions during Prime-exclusive events. For vendors, PED participation can improve organic ranking, sales velocity, and brand visibility long after the promotion ends.
Example:
A vendor lists an air purifier at $199 but runs a Prime Exclusive Deal at $159 (20% off) for two days during Prime Day. The product gains the Prime badge, appears higher in search results, and sees a +300% sales increase.
In short:
PED (Prime Exclusive Deal / Prime Exclusive Discount) is a vendor- or seller-funded promotion offering limited-time discounts exclusively to Amazon Prime members, designed to boost sales, visibility, and Prime engagement.
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