Amazon Mom is a relatively new program, that offers exclusive promotions and discounts to parents and caretakers from the prenatal days through the toddler years. Despite the name, Amazon Mom is open to anyone who is responsible for caring for a baby or young child. It was launched September 9, 2010, without too much fuss, with the apparent intention to offer quality products at discount prices. In fact, the move has deeper roots, an attempt to counter Diapers.com’s success, and interjecting the Amazon brand on a market with high profit margins.
Apparently Amazon attempted to buy Diapers.com, yet Quidsi, the company that runs the site, refused to sell. And why would you sell a business that brings you so much revenue? The company reported $182.5 million in sales in 2009. The numbers for 2010 are not available yet, but you can assume that they are considerably higher if Amazon decided to counterattack.
But Amazon Mom is not that strong… yet. The problem faced by Amazon Mom now is its relative young age. Members signing up for Amazon Mom receive three months of Amazon Prime shipping benefits, including unlimited FREE Two-Day Shipping on eligible items and the ability to earn additional free months, up to one year. Amazon Moms also receive a 30 percent discount on select diapers and wipes when using Subscribe & Save delivery. By comparison, Diapers.com offers 30% cash-back on all diapers, and 10% off everything else. The company offers free shipping as well, yet a minim purchase of $49 is mandatory.
There are obvious benefits for Amazon Mom members, and this could become Amazon’s most profitable department in a very short time. But the company’s marketing strategy for this new program are soft-core, depending more on promotion through the company’s network of affiliates than on PR.