The Ultimate Guide on How to Market Amazon Products
However, less than 1% of those sell above $1 million worth of product each year. Marketing on Amazon is absolutely essential to growing your bottom line.
Amazon is designed to reward momentum, so if you can get the ball rolling, Amazon will happily drive thousands of sales your way.
But Amazon also bumps products without momentum down to the bottom of the list, where they may never get another chance to build back up again.
Having a powerful marketing system prepared that gives your products the boost they need right at their debut is the secret. So how to do it? Read on to learn about how to market on Amazon.
Marketing on Amazon: Brand management
We used to worry about how customers viewed our brand. Times have changed, and on Amazon, we now have to worry about how both Amazon and our customers view our brand.
If your customers don’t trust or recognize your brand, then it can use some refinement. But Amazon tracks your brand with electronic algorithmic precision, and if you do something to turn Amazon off of your brand, it can be a long, hard slog to get it back to where you can keep making sales.
Customer Service, Shipping Speed, and Product Quality
Alt text: A white cardboard delivery box that has been shipped on time.
The key to keeping Amazon on the side of your brand is to score high marks on the various metrics it uses to rank brands from best to worst. Some of the metrics that Amazon uses to judge brands include customer service responsiveness and their shipping performance.
In other words, it’s not enough to just send products out and be done with it. You have to make your shipping as fast and reliable as possible so that Amazon doesn’t look like a slow service to the customers.
Any dissatisfied customer is a much more serious issue than a single lost sale. Don’t just absorb customer dissatisfaction, or Amazon will drop your brand to the bottom of the pile.
Each customer must be managed and hopefully appeased until they will sign off on the value and trustworthiness of your brand. This applies whether they’re upset over shipping times, product quality, advertising accuracy, or anything else.
Speaking of product quality, it’s also important to be upfront about your products’ features and functionality. Dishonesty will kill an Amazon brand.
On the other hand, being honest about a low-quality product is not a recipe for success, so you’ll have to make sure your products make Amazon look good.
If you can manage that, then Amazon will use your products to show off its value to customers, and that means putting you in the spotlight for 100 million buyers to peruse!
Our software allows brands to track all product reviews and quickly engage with their customers to build credibility and ensure Amazon continues to promote your products. For more information regarding our customer feedback management and our many other tools, contact us here.
Dealing With Counterfeiters and Patent Violators
Amazon is constantly dealing with counterfeiters who try to hijack your brand or product and steal your sales. Someone might start selling exactly or almost exactly the same product as you and try to take 40% of your sales while doing 0% of the work you’ve done to build your brand.
That’s bad enough, but if they use a cheaper and lower quality version of your product, then your customers can lose faith in your brand when they receive a subpar delivery.
As we just discussed, shipping and customer service are a huge part of building a brand, so even if a counterfeiter delivers a high-quality product, if they do so slowly or ignore customer service (as they are likely to do), then you can still end up not only with lost sales but a damaged brand.
Fortunately, Amazon is on your side when it comes to counterfeiters. They use brand Registry and Project Zero to help establish you as the real brand. They’ve prepared both of these programs, but you’ll have to enroll in them and do the work of reporting any violations of your patents or any other legal rights.
If Amazon sees your report and finds a duplicate listing, they’ll roll over that listing into your own listings.
Alternatively, if someone is making a cheap knockoff of your product, the fastest way to prove that to Amazon is to buy one and then show Amazon that it is a fake.
Setting your product’s price is one of the most important contributors to its future success. There’s a simple formula that a lot of brands believe in and follow.
This formula says that the higher your price, the less you sell, but the more you make per sale. In contrast, the lower your price, the more you sell, and the less you make per sale.
According to this model, the right price is one that balances your sales with your profit per sale in a way that makes you the most money.
Both fortunately and unfortunately, this model is oversimplified and wrong. Unfortunately, reality can be far more complex. But fortunately, understanding that reality better than your competitors can give you an advantage.
On top of that, if you play your cards right, you can enjoy both high sales and high profits per sale.
Don’t Price Your Product Too Low
According to Forbes, raising your prices can actually increase your sales!
There’s a story of a jewelry store that lowered and lowered the price on a particular item but couldn’t sell it. Finally, just to get rid of their inventory, they wrote “3 x” next to the item’s pricing to indicate that you could buy 3 items for the listed price.
Customers quickly bought up all the products, but with a twist. They mistakenly understood the writing to mean that the product was actually 3 times more expensive than it really was!
How could this increase sales? People want to get the best product at the cheapest price, that’s true. But at the same time, people usually don’t know what the best product is. In order to guess at a product’s quality, they use the sales price as a clue.
They assume that a higher price means higher quality, and they stay away from extremely low-cost items which they assume to be low quality. That’s why you need to avoid making your prices too low, or else people will assume that your brand sells low-quality products.
Some people recommend selling at a price 1.5% higher than the lowest priced product, just high enough to be seen as higher quality, without costing too much.
Take advantage of key pricing insights by using our Buy Box Manager and Repricer tools. For more information regarding the above or our many other brand tools, contact us today!
People hate added fees. When people pay more for the product itself, they assume the extra cost is worth it because of the extra quality they’re receiving. But when they’re paying more for add-on fees, they feel like they’re being tricked into paying more for something than it’s worth.
If you’re going to end up charging a certain total amount, anyway, it’s usually best to put as much of that price into the product’s listed price as possible, and as little of it as possible into added fees.
While people can understand a shipping and handling fee, anything else risks making them feel cheated.
ASDAL’s software suite, GRIT, provides tools for brands forecasting demand, sales, and inventory. Our tools take into account up to 4 years of your past Amazon data to carefully forecast your key metrics in order to maximize sales and never run out of stock. Amazon also allows you to forecast data, however, many brands are skeptical of their tools due to inconsistencies and poor visibility. GRIT quickly provides brands with everything they need to know and review in one centralized suite.
For more information regarding our forecasting tools as well as the many other crucial tools brands need to streamline their Amazon account, contact us here.
Many brands write their product name and description according to intuition and nothing more, so learning about keywords helps you know more about how to promote your product on amazon.
Let’s say you list an “ice melt” product, and get some number of views from searching customers. But with a little research, you might find out that “snow salt,” for whatever reason, could be getting far more searches. The key to keyword tracking is using the same words your customers are using.
ASDAL has keyword tracking tools that help you to view which keywords are driving traffic.
Once you know which keywords you should be using, make sure to place them in prominent positions. Your product title, bullet points, and product descriptions are all places where a well-placed keyword can get the most bang for the buck.
For more information regarding our keyword tracking tools as well as the many other keyword management tools, contact us here.
Pay-Per-Click ads can be a powerful way to advertise amazon products. Especially right at a product’s debut, extra sales can mean building the momentum that Amazon looks for to place products at the top of the page.
PPC ads can vary widely in their cost. In general, a good rule-of-thumb is that the more general the keyword you use, the more people are likely to use it, and the more expensive it is to tie your ad to it.
A simple method to find which keywords you should be using is to create ads for the keywords you have in mind, and then just wait and see which ones are actually driving the most traffic and sales.
Once you have your most successful keywords, you can stick with them, or you can flesh them out into long-tail keywords. As long as you keep examining your results, you should be able to guide your campaign to success.
If you don’t know what to look at or how a campaign or keyword is performing, contact us today to learn how our PPC dashboard can provide you with actionable insights to streamline your PPC management.
Alt text: Two women assess customer feedback on their laptop.
Customer feedback is essential for maintaining your brand as well as for building up a loyal customer base.
Each bad review or poor rating is an occurrence of great significance. You have to remember that each of these events represents more than one lost customer or one lost sale. Every bad rating can cost you many more sales down the road.
Not only do future customers use those reviews and ratings to decide whether or not to trust your product, but Amazon uses them to bump you up or down the list. Let a few bad reviews go unmanaged, and your product and even your brand can end up where no one ever sees it.
Offering refunds, free items, and coupons are all ways that can help turn a customer from unhappy to happy, and if you’re lucky, they can turn a bad review to a good one.
For help automating and streamlining your customer feedback operations, contact us here.
Conversions and Traffic
You can view your sales and traffic on Amazon under “Business Reports.” There you can also view your conversion rate. As you apply the above principles, keep a close eye on these metrics so you can see which adjustments to your marketing strategy are producing the biggest gains.
Unlike Amazon, our software and success managers provide brands with actionable insights and key performance metrics based on their conversion and traffic reports.
For more information on how ASDAL can turn your data into actionable metrics, contact us today!
With these tips, we’re confident you’ll see fantastic improvements!
Give Your Products the Chance They Deserve
We hope you learned something helpful about marketing on Amazon. To learn more about how to market on Amazon, check out our many other blogs. You can find the best direct to consumer marketing strategies and the eCommerce trends to watch in 2020.
Our software tools at ASDAL can help you build your brand to success. 90% of our customers who sign up for a year decide to sign up again for another year or more. Schedule an appointment to learn more.