The news: Amazon is looking to pull college-age consumers deeper into its orbit with its latest back-to-school campaign.
The retailer is partnering with Gatorade, Michael Kors, and SharkNinja on a “First Day Ready” campaign that directs shoppers to storefronts where they can buy those brands’ products, per Adweek.
In addition to streaming ads on Prime Video and Fire TV, Amazon is hosting a block party and concert at the University of Wisconsin on September 5 featuring country singer Kane Brown and DJ D-Nice. The event will be livestreamed on Prime Video, Amazon Music, Twitch, Fire TV, and Samsung TV.
The strategy: The campus event builds on other Amazon initiatives to attract more spending from younger consumers. The retailer recently expanded its locker network to over 500 campuses across the US, making delivery more convenient for students. Amazon is also promoting its Prime for Young Adults offering, which gives eligible shoppers ages 18 to 24 access to all Prime benefits in addition to 5% cashback on popular categories for half the cost of a typical membership.
The rationale for these moves is simple: Customers who engage with Prime benefits tend to spend more over time, while spending from nonmembers either flattens or trends downward. The more shoppers become accustomed to benefits such as free and fast shipping, access to Prime Day and other sales, and Prime Video content, the more likely they are to concentrate their spending with Amazon.
Amazon has room to expand its reach with younger consumers. The company saw 26.3 million unique visitors ages 18 to 24 in February, fewer than the number of baby boomers who visited its properties in that period, per Comscore.
Implications for retail: Amazon’s back-to-school event could become a blueprint for college activations as the retailer looks to build deeper connections with Gen Z and younger shoppers. That in turn could lead to more Prime sign-ups among these consumers, helping Amazon tighten its grip on ecommerce spending.
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