Selling on Amazon .
Amazon Selling
Starting to sell on external sites such as Amazon can have a hugely beneficial impact on your business. But before you start you will need to research a few things and see if it’s the right option for your company. Over the years Amazon has continued to grow and it doesn’t look like it will be stopping anytime soon.
One of the new features that Amazon has optimised for its sellers is the brand store. The Brand store is now more discoverable to customers. In addition, brands can be searched for more easily as brand stores can now be found in the search bar. When starting with online selling it can be an overwhelming experience as there are so many choices. Each has its own benefits and disadvantages and you will have to decide which is right for your business.
If you don’t know where to start with selling on Amazon or creating a Brand Store, our team are experienced with Amazon selling and can be on hand to guide you along the way, even if you just need someone to set it up and show you the ropes.
Benefits:
1. Potential sale growth
As Amazon is one of the industries leaders, they are already established and have a huge range of customers. Therefore, you will have access to a large target market straight away. A 2020 study has shown that 89% of consumers are more likely to buy a product from Amazon than anywhere else.
2. Less Marketing work
Standalone sites have to put in the Marketing work to get themselves get found on search engines. With this, you can end up spending large amounts of money in advertising just to let people know your company exists. Luckily, Amazon has an address book of returning customers.
3. Less manual work
Amazon offers a Fulfillment service where your company won’t have to package or ship your products. This will save you money on staff, warehouse storage and packaging. This service also offers free shipping for Amazon Prime members, and also assists with international exports as well as customer service and returns.
Disadvantages:
1. It costs money
When selling on Amazon, they take a cut of your profits. You have to pay two different fees. You will have to pay Amazon per sale. In addition, you will also have to pay a monthly fee.
2. Competitive pricing
If you’re selling your own manufactured products, you will have nothing to worry about but if you’re a stockist selling other peoples products Amazon will start stocking the product directly and will price it for less money.
3. Potential decrease in Brand Awareness
When your customer buys through Amazon, the consumer might forget they are actually buying from you. Therefore, the customer might think that Amazon gave them a great experience and not your company.
Tips on how to sell on Amazon:
1. Preparation
The first thing you need to do is create a business plan. This should include a variety of things including your target audience and market research. You need to decide what your unique selling points are and what will make you stand out from the rest to your target audience.
2. Setting up
Before starting to sell, you need to create an account and brand storefront. Earlier this year Amazon updated where you’ll be penalised for not having a storefront. This is so that it gives brand visibility to consumers so that the shopping experience is more seamless and userfriendly. A storefront is one of the main things to getting your brand identity and values across. In addition to this, customers can easier browse across your whole range of products in one place. You should invest in professional photography for both brand and product images. This will make the consumer take your brand seriously and will more likely convert into sales.
3. Starting to sell
So now you’re ready to start selling. First, you need to create a product listing, this is similar to how you would upload a product to a website. Therefore, this will include general details about the product, a description, the price and name of the product. You will need to optimise your product details in order for it to get searched for. Fill out all areas on the product as this is how the customers will be able to find your products. In addition to this, you should use competitive pricing as many customers on Amazon will try and find the lowest price for the product.
Once you’ve created your products you will need to manage your inventory. Here you will be able to keep everything up to date. You should consider using Fulfillment by Amazon, this will mean your orders can be sent out by Amazon. As the marketplace is competitive, you should set goals to keep improving your performance. Monitor your performance and analyse where there are areas to improve. In addition to this, you should follow up on customer reviews. This way you can show your customer that they aren’t just buying from Amazon, but your brand.
Lastly, remember to follow Amazons selling policies. You won’t get away with cutting corners. Make sure you constantly stay up to date with Amazon’s policies, you can read the current guidelines here.
If you need help with starting up selling on Amazon, integration with your website or consultancy we will be happy to help.