Sep 15, 2023 12:00AM
Amazon's Next-Level Tools Unveiled at Accelerate Day 2. Amazon Accelerate reveals key tools for better customer targeting and fewer returns. Get ready for loyalty analytics, sentiment insights, AR-based 'View in Your Room,' and smarter apparel sizing with Fit Insights. Thanks, Prem.
Prem Gupta
Customer analytics, View in Your Room and Fit Insights announced at Accelerate
Here are some highlights from the Day 2 of Amazon Accelerate:
Customer Loyalty Analytics Dashboard
✅Amazon's new customer Loyalty Analytics Dashboard offers a quick look at consumer behavior and historical trends.
✅Analyze purchasing trends and adapt your products, offers, and communications to the proper customers to maximize your marketing efforts and boost your overall customer lifetime value.
✅Customer Loyalty Analytics will be available soon to registered brands in the US.
Customer Sentiment Insights
✅You'll be able to receive complete analytics on customer preferences with the newly updated Customer Sentiment Insights tool with the touch of a button.
✅New feature additions will provide more information on consumer sentiment, including not only reviews but also customer returns.
✅Analyze trend changes over time and compare customer sentiment for all ASINs to the best sellers in a category to better understand customer wants and boost your brand positioning.
✅These insights will be available later this year in the US, UK, DE, FR, IT, and Spain, with Japan following soon after.
Visualize products on tables and countertops
✅Amazon is improving product discovery experience to help customers identify products and make smart purchasing decisions.
✅View in Your Room tool employs augmented reality to assist buyers in visualizing how your product will appear in their environment.
✅In addition to objects placed on the floor, the capability is now available on iOS and Android devices for items that fit on your tabletop. The new experience is accessible for over 200 different tabletop product kinds, including lamps and home décor.
Fit Insights
✅Fit Insights assists brands in better understanding the size and fit of their apparel and shoe items, allowing them to improve their product offering and reduce returns.
✅Fit Insights analyzes returns data, size charts, and consumer input on fit, materials, and style to recommend modifications to a brand's size chart and product listings using machine learning, including big language models.
✅Beginning in October, Fit Insights will be available to US apparel and shoe makers and their authorized distributors.
Sep 15, 2023 12:00AM
Amazon's Accelerate conference introduced "Amazon Shipping". A ground package delivery service for independent sellers. Utilize Amazon's delivery network for shipping your own orders and products, with real-time tracking and no extra fees for residential or weekend deliveries. Thanks, Prem.
Prem Gupta
Amazon delivers for sellers with Amazon Shipping
➡️Exciting news from Amazon's Accelerate conference! They've introduced "Amazon Shipping," a new ground package delivery service tailored for independent sellers.
➡️This service allows sellers to tap into Amazon's extensive delivery network for shipping their Amazon orders and products from their own websites and selling platforms.
➡️Amazon Shipping promises speedy deliveries within 2 to 5 days, even on weekends, at a competitive cost with no extra charges for residential or weekend deliveries. Sellers can now benefit from real-time package tracking and receive delivery confirmation photos.
➡️Currently available in fifteen metropolitan areas across the U.S., Amazon Shipping plans to expand further in the future.
Sep 14, 2023 12:00AM
Amazon Video Builder now allows 3-product showcases. You can now feature up to 3 products in your video ad campaigns. This aligns well with the option to set your store as the landing page and spotlight 3 key products. Thanks, Prem.
Prem Gupta
Amazon Video Builder tool offers multi-product video creation
➡️The updated Amazon Video builder tool now offers multi-product video creation with a choice of 3 products.
➡️This has been recently included as a feature to accommodate the updated video ad campaigns where you can choose the store as your landing page with 3 highlighted products.
Sep 14, 2023 12:00AM
New audiences added to brand-tailored promotions. Three fresh audiences have been added for more targeted brand promotions: At Risk, for those infrequent shoppers; Promising, for recent but occasional buyers; and Top-tier, for your consistent big spenders. Thanks, Prem.
Prem Gupta
Updated Audiences for Brand Tailored Promotions
The following 3 new audiences have been included in brand-tailored promotions:
✅At Risk - Customers who haven’t purchased recently nor frequently, with varied spending. At-risk customers can be engaged through discounts, promotions, and other incentives
✅Promising - Customers who purchase recently, buy occasionally, and spend above average. In order to convert to a Loyal customer, encourage purchase through marketing engagement
✅Top-tier - These are customers who purchased recently and spent the most. Most of these customers buy frequently.
Sep 13, 2023 12:00AM
Amazon launches "Supply Chain by Amazon". A fully automated service streamlining the entire supply chain for sellers. The service covers everything from manufacturing to customer delivery, promising faster shipping and lower costs. Thanks, Dharmesh.
Dharmesh Mehta
➡️ Post | Profile | Read the full article
I am so excited to share a big announcement coming out of Amazon Accelerate 2023 that we think will be great for our selling partners.
Today, we announced Supply Chain by Amazon, an end-to-end, fully automated set of supply chain services that will provide sellers with a complete solution to quickly and reliably move products directly from their manufacturers to customers around the world.
With Supply Chain by Amazon, we will pick up inventory from manufacturing facilities around the world, ship it across borders, handle customs clearance and ground transportation, store inventory in bulk, manage replenishment across Amazon and a seller's other sales channels, and deliver directly to customers.
Sellers can now benefit from Amazon’s advanced logistics, fulfillment, and transportation capabilities to keep products in stock, move them through the supply chain faster and more reliably, and significantly lower their overall costs. All of this enables sellers to spend even more time focused on building amazing products for customers and growing their business.
More about Supply Chain by Amazon will be shared during tomorrow’s Amazon Accelerate general session but in the meantime, you can learn more in my blog post.
Sep 13, 2023 12:00AM
georges.blog
Week 36 has been nothing short of revelations in the ever-evolving world of Amazon. Here are the key takeaways our team at georges.blog has gathered for you:
➡ Shopify Flexes Muscle in Amazon 'Buy with Prime' Deal
➡ Targeting Issues Can Make or Break Your Sponsored Brand Ads
➡ Risks of Using Amazon Authorized Resellers
➡ Sponsored Ads on Amazon Are Becoming More Tailored
➡ Amazon is Rolling Out a New Badge Indicating Items That Are Often Returned
In summary, the Amazon landscape is more dynamic than ever—Shopify's new integration, nuanced ad targeting, and new badging can significantly impact your brand's performance. Ignore these developments at your peril. The market is not just about listing products; it's about adapting, optimizing, and outsmarting your competition. Stay ahead with insights and strategy. Your brand deserves nothing less.
Book a PPC audit: https://georges.blog/audit
Amazon Design Examples: https://lnkd.in/gf2qXp3y
Subscribe: https://lnkd.in/diWt7CV9
Read our feed: https://lnkd.in/duMJ8eX3
Sep 13, 2023 12:00AM
Unlock sales quickly by zeroing in on the right strategy. For rapid sales, prioritize strategies that propel you towards your goal the fastest. The ideal strategy is the swiftest route. Thanks, Elizabeth.
Elizabeth Greene
How to get more sales FAST
It's all about leverage.
Strategy is simply prioritizing things that will get you to your goal
the "best" strategy is the one that gets you there the quickest.
Sep 13, 2023 12:00AM
Big sales days ahead on Amazon. Prepare for upcoming sales on Amazon by adding a holiday touch to your content. Dive into these standout holiday storefront examples for inspiration. Thanks, Daniel.
Daniel Tejada
Some big sales days coming up here on #amazon
Don't forget about refreshing your content with a holiday flare.
Here are some insane in the membrane holiday storefront refreshes on Amazon our content team found for inspiration.
Feel inspired, check out some good content and stay for a while.
Straight Up Growth = Amazon 📈says ABL always be learning
Sep 13, 2023 12:00AM
Boost sales with the right Amazon content strategy. Refresh your Amazon content to resonate more with potential customers. Through thorough market research, data-driven copy, and regular testing, we achieved an 88.09% rise in sessions and a staggering 178% increase in orders. Improve your brand image and dominate Amazon sales. Thanks, Daniela.
Daniela Anavitarte Bolzmann
This is your friendly reminder to refresh your Amazon content...
Flavorful products? Yes.
But your Amazon listings? Not quite hitting the spot.
Here's the Secret Sauce:
🌶️Do deep market research
🌶️Create data-driven copy & creative
🌶️Test, iterate, repeat
That is EXACTLY what we did for these Results:
🔥A whopping 88.09% surge in Amazon sessions!
🔥178% jump in orders for their signature Pad Thai sauce.
🔥A conversion rate uplift by 5.11%.
🔥69% better performance on their main image, leading to 16% more sales.
🚀 Bottom Line: Double your sales with an amplified brand image, and a trailblazing presence on Amazon.
🤓
Sep 13, 2023 12:00AM
Amazon Enables Video in Store Campaigns for Brands. Clicking individual products leads to their respective detail pages, offering brands a richer ad experience to highlight product collections. Thanks, Yogesh.
Yogesh Kumar
🌟 Exciting News from Amazon: Showcase your product collection with video to Stores campaigns 🌟
➡️ Sponsored Brands video creatives will now allow video campaigns that select Brand Store as a landing page to highlight a product collection in the ad creative. By clicking on any of the individual products shown in the creative, audiences will visit the respective detail page; by clicking on any ad element beyond the product icon, audiences will visit the Brand Store to explore the brand’s offering.
➡️ To stay informed about such features, make sure to subscribe to our weekly newsletter https://lnkd.in/dr3Uyd5E
Sep 13, 2023 12:00AM
FTC Takes Aim at Amazon Review Tricks. The FTC is cracking down on sellers manipulating Amazon reviews by misusing product variations. If caught, your listings could get split—or worse. Thanks, Vanessa.
Vanessa Hung
Have you ever checked out reviews on Amazon, but they didn't really match the product you were trying to buy? 🤔
You are probably in the face of a review manipulation case.
Reviews are the most important commodity for a seller. They serve as vital "social proof" of their products and can significantly influence purchasing decisions.
It's like having your own personal shopping advisor, right?
For this reason, they are tightly regulated by law so sellers cannot make false claims or engage in deceptive practices.
This is where the Federal Trade Commission (FTC) steps in. Their job is to keep an eye on deceptive advertising and misleading practices.
So, what's currently happening between the FTC and Amazon?
The FTC is examining cases where Amazon's system combines product variations that don't accurately align with the actual product being purchased.
Some sellers have misused product variations to manipulate Best Seller Rankings (BSR) and transfer reviews from one fast-selling product to another not-so-good product.
This has created significant disparities in review representation, which can be confusing and misleading for customers who are trying to make a purchase.
The FTC is now taking a stand against review manipulation and enforcing fair competition for both sellers and customers by splitting several variations on Amazon.
So, next time you're trying to revamp a product - do not mess up with variations, or your listings could end up being split (OR WORSE!) 😨
Let's ensure a fair and transparent selling environment!
If you have any doubts about Amazon's stand on variations, check out their policy.
Sep 13, 2023 12:00AM
Maximize Subscribe & Save. For optimum use of Subscribe and Save coupons, focus on longer durations to recapture past buyers, target high-traffic items for increased visibility, and position these on generic branded searches to capture those with a high intent to purchase. Thanks, Brett.
Brett Bohannon
Client asked me how to leverage Subscribe and Save coupons.. this is what I just sent them:
- longer duration (we are trying to capture the customers that already bought, so how long does it take to have them come back and buy again? 30 + days)
- High traffic items - more eyeballs on the the listing
- Place these items on generic branded search ( terms like " brand name " - customers with high purchase intent)
Sep 13, 2023 12:00AM
Amazon's new KDP rules require disclosure of AI-generated content in books. The guidelines don't apply to AI-assisted material and may influence other publishers. Thanks, Todd.
Todd Hassenfelt
➡️ Post | Profile | Read the full article
This looks to only apply to Books for now, but could it be a preview for PDP content in the future on Amazon?
Highlights: Amazon’s new guidelines for self-publishers require that they disclose AI-generated content.
Bu Amazon makes a distinction between AI-generated and AI-assisted material. While the rules specifically pertain to books, they could serve as a standard for other types of publishers.
“We require you to inform us of AI-generated content (text, images, or translations) when you publish a new book or make edits to and republish an existing book through KDP (Kindle Direct Publishing),” Amazon states in its KDP Community Forum. “AI-generated images include cover and interior images and artwork.”
But it adds, you are not required to disclose AI-assisted content.”
Sep 13, 2023 12:00AM
Boost Amazon Search Volume with TikTok Ads. Leverage TikTok to skyrocket your Amazon 'Branded Search.' Start with a catchy video, direct viewers to Amazon by name, and monitor key metrics. This isn't a quick fix but a strategic move to increase your brand's Amazon visibility. Thanks, Paul.
Paul Harvey
3 steps to Boost Your Amazon Search Volume using TikTok Ads
TikTok is the BEST platform to increase your 'Branded Search'
_____________________________________________
👉 1. Create engaging content
- Make a short, engaging video about your product. Research what's trending and hire an influencer to create that specific content
- Remember, TikTok is a 'Product Discovery' platform.
- Use TikTok's Creative Centre to get ideas and even create briefs.
👉 2. Direct viewers to Amazon
- In the video, explain to viewers how to find your product on Amazon. Use the phrase, "Just search, [BRAND NAME] [KEYWORD] on Amazon".
- A lot of TikTok users will not click on ads, but search on Amazon as the default.
👉 3. Monitor your metrics:
- Don't rely on Amazon Attribution data (it's glitchy on a good day).
- Instead, keep an eye on your Amazon Search Volume. IE. Are more people searching for your product on Amazon as a result of TikTok?
Be patient: This isn't a quick fix. It's a long-term strategy that can significantly boost your brand's visibility on Amazon.
_____________________________________________
Remember, the more impressions you get on TikTok, the higher your Amazon Search Volume will be.
Sep 13, 2023 12:00AM
Think twice before switching from 1P to 3P on Amazon. The debate is hot on shifting from 1P to 3P models on Amazon. But beware, the reasons cited—like bypassing capacity constraints—are not valid for making the switch. Amazon doesn't prioritize 3P inventory, and you risk overwhelming your team with self-management. Thanks, Martin.
Martin Heubel
Should #Amazon 1P Vendors consider a 3P/FBA model?
Moving from 1P to 3P is a hot debate among vendors right now.
Unfortunately, I keep hearing reasons that do not justify a switch to a hybrid or full 3P model at all.
For example:
» Bypassing capacity constraints,
» Avoiding price-matching, or
» Escaping vendor negotiations
❌ All these are »no« valid reasons to change from 1P to 3P.
Amazon does not prioritise 3P over 1P inventory in its warehouses and may also suspend the Buy Box for prices from sellers that are not competitive.
Without a crystal clear business case, most vendors underestimate the number of tools and mechanisms they have to manage themselves when moving to 3P.
This can crush your operation and overwhelm your teams from one day to the other.
Worse, you'll have to invest in external agencies that can make up for the lack of knowledge within your business.
So if you are planning to switch to 3P:
Do it for the right reasons, and make sure you hire Amazon experts with 3P/FBA experience well ahead of time.
PS: Amazon has just recently announced hikes to its SFP offer by 2% and FBA rates will increase once again during the upcoming holiday quarter.
This underlines how chasing short-term cost benefits can quickly become unprofitable in the mid-to-long term.
---
Are you thinking of moving from Vendor to Seller Central? What's your #1 motivation?
Let me know in the comments!
Sep 13, 2023 12:00AM
Boost odds, reduce risks. Diversifying product launches with the "Rule of 3" can increase your chances of success and minimize risks. This approach allows you to learn from wins and losses, optimize strategies, and enhance product development. Thanks, Steven.
Steven Pope
Diversifying your product launches can boost your success odds and reduce risks. The "Rule of 3" suggests launching three products to learn from both wins and losses, refine strategies, and improve product development.
While it's no guarantee, this framework helps you test ideas and adapt based on results.
Successful launches depend on market demand, competition, pricing, and quality.
Stay flexible and adapt your strategy as you learn.
Sep 13, 2023 12:00AM
Amazon's New Service Revolutionizes Supply Chain Management. enefits include up to 25% discounts on cross-border and domestic transit, 80% off on bulk storage, and an automatic inventory replenishment system. This service is poised to streamline supply chain operations across all sales channels. Thanks, Prem.
Prem Gupta
New service offers end-to-end supply chain management across all sales channels
➡️Exciting news from Amazon's Accelerate conference! They've just unveiled "Supply Chain by Amazon," an all-encompassing, automated supply chain solution.
➡️This service is designed to effortlessly move your products from manufacturers to global customers, leveraging Amazon's logistics prowess to reduce costs and improve efficiency.
Key benefits include:
✅Cross-Border Discounts: Access up to 25% discounts on cross-border transportation to Amazon Warehousing and Distribution (AWD), where you can store inventory conveniently and distribute in bulk.
✅Streamlined Domestic Transportation: Utilize the Partnered Carrier Program (PCP) for cost-effective, fast transit into AWD centers, at up to 25% lower costs compared to alternatives.
✅Expanded AWD Offering: Enjoy up to 80% discounts on bulk storage compared to Fulfillment by Amazon (FBA), with no peak pricing during Q4. Plus, reserve long-term bulk storage at deeper discounts later this year.
✅Multi-Channel Distribution: Soon, move bulk inventory from AWD to various sales locations, online and physical stores alike, and replenish inventory across all channels from a single inventory pool.
✅Automatic Inventory Replenishment: Amazon can now automatically restock the right quantities in the right fulfillment centers, improving delivery speed and potentially boosting unit sales by 15%.
This game-changing service is set to enhance supply chain management across all sales channels. Stay tuned for more updates!
Sep 12, 2023 12:00AM
Unlock sales with Amazon's new Brand Tailored Promotions. Amazon's Brand Tailored Promotions lets sellers target six key audiences, including cart abandoners and high spenders. These promotional codes, ranging from 10-50% off, retrieve lost sales. Thanks, Joshua.
Joshua Rawe
Did you know you can target cart abandoners on Amazon now?
You're losing money by not using this NEW feature. 😱 Here's how 👇
It's called Brand Tailored Promotions and lives under the Advertising tab in Seller Central.
You can create promotional codes of 10-50% off to 6 audience types:
Brand Followers: Customers who have clicked to follow your brand in Amazon’s store.
Repeat Customers: Customers who have ordered your brand’s products more than once in the last 12 months.
Recent Customers: The most recent 5% of customers who have purchased from your brand.
High Spend Customers: The highest-spending 5% of customers with your brand in the last 12 months.
Potential New Customers: Customers who have clicked on your brand and products or added to cart in the last 90 days, but have not purchased in the last 12 months.
Cart Abandoners: Customers who have added one or more of your brand’s products in their cart in the last 3 months, but haven’t purchased yet.
You should be running these all the time to capture those lost sales.
We are seeing 5 figure sales numbers from these campaigns.
And the best part, they are FREE to run! 😱
♻️ REPOST to your network if you found this valuable.
Sep 12, 2023 12:00AM
Unlock the 'Where' in Driving Amazon Traffic. Driving external traffic to your Amazon store is critical, but where should it go? Thanks, Jon.
Jon Derkits
There's widespread agreement on the value of driving external traffic to your Amazon store. But...HOW do you drive it, and WHERE do you drive it to?
Here's a quick primer on the "Where" 👇
Sep 12, 2023 12:00AM
From 3MM last year to over 8MM now. The strategy? Two pillars: efficient new customer acquisition and optimizing customer lifetime value. Solid growth, efficient advertising, and strategic cross-promotions pave the way. Thanks, Daniel.
Daniel Tejada
#menshealth another fun win on #amazon this year up 171% year over year
At this point last year we were at just over 3MM (still grew over 100% last year)
Same time today over 8MM in sales on Amazon for the year.
Tacos so low coulda been a special at Taco Bell
How did we do it?
The same we always do it, by focusing on 2 Pillars:
1. New Customer Acquisition - Straight Up Enhance Advertising Efficiency |
Straight Up Increase Overall Conversion Rates | Straight Up Grow Organic Sales
2. Increasing Customer Lifetime value - Straight Up Highly Proven Cross Promo Ad Strategies | Straight Up Expand Cross Sell Through Content + Media
It's not 200% but it's still really some Straight Up Growth = Amazon 📈if you ask me....
Sep 12, 2023 12:00AM
Color choices can make or break your Amazon listing's readability. Misjudging colors can render your packaging or graphics unreadable. A poor contrast, like blue with red text, harms AmazonCTR. Ensure readability for better clicks and conversions. Save this color guide for your designer's reference. Thanks, Steven.
Steven Pope
If you mess this up, no one will ever be able to read the text on your packaging or graphics. COLOR.
For example if you have a blue background and put red text on it. RIP.
Readability is important for #AmazonCTR and affects whether someone clicks on your listing to begin with.
Readability also affects conversion because if the customer can't read your features or benefits, they will bounce.
Save this #color guide (click the save button on linkedin) and you'll be able to send it to your designer when they deliver something unreadable.
Sep 12, 2023 12:00AM
Aggregator Gold Rush Ends: Impacts on Amazon FBA Sellers Explained. The once-thriving aggregator model for Amazon FBA sellers is seeing shifts—layoffs, bankruptcies, and mergers. Despite challenges, it's not all bad news for FBA sellers planning an exit. Thanks, Kevin.
Kevin King
AGGREGATOR GOLD RUSH OVER - NOW WHAT?
The gold rush to launch and fund new aggregators has been over for 15 months, but the remaining players are pivoting, maturating or simply surviving.
Last week, Bentigao became the latest aggregator in a long line to declare bankruptcy with liabilities of $50-$100 million. They have 15 brands that sell over 300 products, including health supplements, office products and beauty items.
Earlier this summer SellerX acquired Elevate Brands to create a company with 80 Amazon brands, 40,000 products and a $431 million run rate.
The most famous aggregator, Thrasio, acquired more than 200 brands and raised more than $3.4 billion in funding before radically cutting back with layoffs and the departure of key executives.
Source: The Fortia Group Insights Report - July 2023
This Thursday in London, the eCommerce Acquiror Conference is happening with 20+ aggregators in attendance. Topics include “M&A amongst Aggregators” and “The future of the aggregation space.”
The Fortia Group’s Q2 2023 Quarterly Insights report dives deep into eCommerce brand valuations and is worth a gander.
Quietlght brokerage recently published a blog article called “The Rise and Fall of Amazon Aggregators: What It Means for Your FBA Exit Strategy.”
The article details the swift ascent and decline of Amazon aggregators and its implications for FBA sellers. As Amazon aggregators experienced a sharp increase, especially in 2021, they impacted the valuation of Amazon businesses.
However, the decline in their prominence has brought about challenges and changes in how Amazon business owners should strategize their exits.
Source: The Fortia Group Insights Report - July 2023
What went wrong for Amazon aggregators:
2022 saw a return to brick-and-mortar shopping, though ecommerce still stayed above pre-pandemic levels.
Revenues decreased, competition rose, and Amazon seller fees increased, affecting profitability.
Aggregators began layoffs and mergers, and investments in them plummeted to $68 million by May 2023.
What You Need to Know to Successfully Sell Your Amazon Business in the Post-Amazon Aggregator Boom:
Amazon business valuation in 2023:
Valuations of Amazon businesses have dropped due to changing consumer trends and the retreat of aggregators.
Even with decreased valuations, successful exits are still achievable.
Who Is Buying Amazon Businesses in 2023?:
Despite the decline of aggregators, they only made up 30% of buyers at their peak.
Potential buyers include individuals and partnerships, private equity groups, and other businesses.
Strategic buyers look for businesses that align with their existing strategies, offering another pool of potential buyers.
Things You Need to Know to Navigate a Successful Amazon Exit:
Now is still a great time to sell: Current valuations are on par with historic standards, waiting for another 2021-like peak may be futile.
There is always a market for strong businesses: Focus on internal improvements to make the business more attractive.
Know how to position your business correctly: Highlight potential growth opportunities to stand out to potential buyers.
Find an experienced advisor and get a valuation: Engage a qualified business advisor to guide through the selling process, from valuation to final transfer.
Sep 12, 2023 12:00AM
Amazon shoppers take 25.9 days to purchase. Far longer than the 8.2 days most guessed. This data could influence Amazon advertising tactics. Reconsider bid adjustments, expand time frames, and integrate DSP into budgets for a more nuanced approach. Thanks, Destaney.
Destaney Wishon
How many days on average do you think Amazon shoppers spend between their INITIAL shopping query and PURCHASE?
Amazon says 25.9 days!!!
386 of you guessed 8.2 days!!!
That's a big discrepancy.
------------------------------------------------
A few points to consider -
🔶 How many people "add to cart" but do not purchase until they have multiple items?
🔶 Mean, median, mode.....we don't know what Amazon is pulling here. There are a ton of variables that could be skewing this data. Price point, Category, Abandoned carts?
🔶 How does this influence your Amazon Advertising strategy?
Should we be less conservative with our bid adjustments? Maybe.
Should we be looking at larger time frames? YES.
Should DSP play a larger role in advertising budgets? Absolutely.
More time spent on driving awareness, and a heightened focus on re-marketing to force a shorter purchase window? Yes and yes.
They Amazon shopper journey is not as simple as we try to make it out to be in PPC.
We need to start considering every aspect of that journey with a curated strategy from awareness to loyalty.
Sep 12, 2023 12:00AM
Amazon's A9 Algorithm is set for a major shakeup. Amazon is upgrading its search with AI. Forget keyword stuffing; the new system understands context and matches queries to products in a smarter way. Existing keyword tools may become outdated. Thanks, Kevin.
Kevin King
COMING TO THE AMAZON A9 ALGORITHM
Amazon is working on both physical GPU-based technology and its own unique e-commerce LLM. It can process massive AI-related search analyses to serve up results in the blink of an eye.
This could take away the need to be indexed for everything, eliminate keyword stuffing, and change how we try to optimize listings to rank today.
Let me introduce you to Amazon’s new LLM:
Formerly introduced by Amazon this past May in Osaka Japan at the 27th Pacific-Asia Conference on Knowledge Discovery and Data Mining.
Traditional methods of matching products with search queries just look for exact words or phrases in the product data & descriptions. This is fast and simple but has some problems. For example, a small spelling mistake or a synonym, might not get the results someone wants.
To fix this, newer methods use something called "semantic matching" which tries to understand the meaning behind words rather than just the words themselves. Like a search for "sneakers," would also show "running shoes."
Now Amazon will soon be launching a new method to improve search results using a large language model called BERT.
There is a four-step method to train an e-commerce LLM model that can efficiently match queries to products to buy:
1. Domain-Specific Pretraining
Train it on e-commerce data. E-commerce language is different.
Amazon created a special vocabulary from around 1 billion product titles and descriptions from 14 languages, fine-tuning with 330 million query-product pairs using Amazon Web Services (AWS).
Tools like Deepspeed and PyTorch were used, and training was done on AWS P3DN instances.
2. Query-Product Interaction Pre-finetuning
They improve the model by making it understand how search queries relate to products. They use a dataset where the queries and products have a strong relation, and they mask parts to train the model to predict the missing parts.
3. Finetuning for Matching
This stage trains the model to match queries to products. They employ a bi-encoder system which is efficient for large-scale data.
4. Knowledge Distillation to a Smaller Model
The final step is to transfer the knowledge from the large, well-trained model to a smaller one that can work quickly in real-time for product search.
Bottomline: A single sentence in a product listing could soon match hundreds of search phrases without keywords needed explicitly mentioning them all.
Tools like Helium 10, Jungle Scout, and Data Dive will need to pivot with their keyword tools, or they could become irrelevant.
The rest of this story and many more tips for Amazon sellers are published 2x per week in my FREE Billion Dollar Sellers dot com newsletter (link in comments). Many of the industry elite and loads of big sellers read it religiously.
TAKE NOTE: There is no such thing as an A10 algorithm - that’s marketing click bait. It’s the A9. It evolves over time like you did during puberty. But its name doesn’t change.
Sep 12, 2023 12:00AM
Success on Amazon requires meticulous planning and standout content. Launching a product on Amazon is not just about the product; it's also about stellar content and robust SEO strategies. Don't compromise on quality; do your research and invest in top-notch creatives. Thanks, Daniela.
Daniela Anavitarte Bolzmann
There is so many things that go into launching a product on Amazon and being successful🤯
Don’t overlook content or SEO🙅🏽♀️
Do your research and invest into high quality creatives
You need to be able to stand out in 2023 going into 2024👀
Sep 12, 2023 12:00AM
Ex-Amazonian Spills Vendor Shipping Secrets. Get expert tips on vendor shipping from Fahad Jami. Learn how Amazon handles supplier issues and flags flawed shipments for efficiency. Thanks, Isaiah.
Isaiah Fritz
Ever wondered how Amazon handles Vendor shipping issues with so many Vendors on board? Ex-Amazon insider spills the beans on our latest podcast episode!
Dive deep with Fahad Jami as he reveals:
How Amazon breaks down supplier issues in straightforward ways.
The unexpected problems that even Amazon's internal processes aren't prepared for.
The importance of feedback between parties for smoother operations.
An insider's look at how fulfillment centers flag potentially defective shipments – a game-changer for efficiency.
The balance between controlling processes and learning from past challenges.
Equip yourself with invaluable insights from an ex-Amazonian. Understand the world of online selling better, and discover tips to navigate common challenges. Don't miss out!
🎙️ Listen now to our exclusive interview with Fahad Jami on the Online Selling Partner Podcast! 🎧
Sep 12, 2023 12:00AM
Unlock Better Amazon Terms with Net PPM. Optimize your product mix and logistics to influence Net PPM and secure better terms with Amazon. Plan wisely for win-win deals. Thanks, Martin.
Martin Heubel
Can you reduce terms with Amazon in your upcoming vendor negotiation?
✅ Yes, you can.
✋ But only if you can bridge the subsequent Net PPM impact.
That's because your Vendor Manager is targeted on this key margin metric.
So instead of cutting down investments and risking Amazon to stop ordering on your account …
… make sure you prepare your game plan.
You can bridge the resulting Net PPM impact by:
1 - Driving your portfolio mix
When you activate products through advertising or price promotions, you are likely not only stimulating growth.
Instead, you're also driving an impact to your overall account Net PPM. So if you can reliably sell more of your margin-accretive items, this net margin benefit allows your teams to position a reduction in trade terms to your Vendor Manager.
2 - Launching logistics initiatives
Reducing the cost along your shared supply chain with Amazon is another way to reduce trade terms. While Vendor Managers ask for investment in logistics initiatives by default, your teams need to pause and evaluate which side is actually saving costs.
For example, setting up a Vendor Flex or Direct Fulfilment node should almost always be compensated through 1) an increase in cost prices, or 2) a reduction in trade terms.
This is because you, as the vendor, bear a greater share of the variable handling costs that Amazon saves because it does not inbound the items in its warehouses.
3 - Improving your price-pack architecture
This point is particularly important for CPG brands: If your product portfolio includes many low-ASP items, your Amazon buyer must command higher trade terms to offset the cost of handling and shipping these items to end customers.
So if you launch SIOC/FFP-eligible products or introduce new value bundles at higher price points, you can ask for a reduced trade investment in exchange for listing these items on Amazon.
---
What other ways can you think of to reduce your terms with Amazon?
Sep 09, 2023 12:00AM
New Amazon feature revolutionizes Category Insights. Amazon adds a 'Total Sales' graph to Category Insight, offering invaluable insight into market trends. Thanks, Mansour.
Mansour Norouzi
Great New Addition to Category Insights | Net Sales
Amazon just added a new graph to Category Insight: Total Sales
This is an amazing way to understand the total market and overall market cap trend for the category.
Check the links in the comment sections for my deep dive into category insights.
Sep 07, 2023 12:00AM
AI boosts Ghirardelli's e-commerce conversions. Using AI, Ghirardelli enhances online content, resulting in significant conversion rate growth with just minor image tweaks. Thanks, Jehan.
Jehan Hamedi
👀 🍫 💰 What does premium chocolate need to look like online? Ghirardelli Chocolate Company has the secret with the help of #AI....
It's really illuminating to hear about the journey Pam Perino, Julie L. and the whole team at Ghirardelli have been on to use AI to enable the future of #ecommerce content.
“We are excited about artificial intelligence as a digital technology and how can it help us be faster and more nimble... and improve our content."
Just imagine having the power to make a few minor tweaks to your product images - and then see the #conversion power of your PDPs grow by double digits.
Link to the full story by April Berthene in Digital Commerce 360 is below 👇
Thank you for letting the Vizit team join you on such an exciting journey - we can't wait to see what you will accomplish next with AI!
Sep 07, 2023 12:00AM
High-quality content is the lifeblood of Amazon brands. Low-effort content will drown your brand amid Amazon's sea of competition. Stand out by investing in unique, high-quality content that converts. The longevity of your brand depends on it. Thanks, Daniela.
Daniela Anavitarte Bolzmann
Your Amazon brand will die if you don’t have high quality content💀😅
Stop the cookie cutter imagery😭
Creating high quality Amazon that converts takes time
BUT neglecting your content is not an option if you want your brand to last✅
There are so many brands competing on amazon and you are not going to stick out if you have the same content as every other brand
Sep 07, 2023 12:00AM
Maximize ROI: Size Matters in Amazon's REC Ads. New reporting tools let you analyze performance by creative size. Tailor your strategy to get the most bang for your buck. Thanks, Joe.
Joe Shelerud
Not all creatives are created equally.
Some are 300x250, while others are 728x90 or even 970x250! There are many different creative sizes available when using Amazon’s Responsive E-commerce Creatives (REC), a baker’s dozen to be exact. So, should you use all of them or only some?
A new option in the Report Center can help answer that question. Reporting by Placement Size lets you drill down to analyze performance for each size. Some key metrics we like to track are:
- Viewability Rates
- Click-Through Rates
- Detail Page View Rates
Whether your goal is to boost visibility, increase clicks, or drive more conversions, these detailed metrics allow you to tailor your strategy accordingly.
By identifying which creative sizes perform best, you can strategically allocate your resources and make your advertising budgets go further.
Sep 07, 2023 12:00AM
Build your influencer list. Avoid ready-made Amazon influencer lists; they often fall short. Thanks, Paul.
Paul Harvey
🤔 Are you targeting the wrong influencers?
🚀 Build your own list..... don't rely on others
The PURCHASED List is from a well known Amazon influencer platform and the MANUAL list is from our own research.
The PURCHASED list has terrible reach and engagement, yet the platform loves to boast that their influencers are the best 😞
Don't be lazy.....
Buying a list of contact details or using the platform's lists are useless.
You may be saving time, but everyone goes for the easy option.
After 30min of research:
- Created our list of influencers
- Reached out to them and had a 90% open rate
We now have our own private list of TikTok Influencers to use for Amazon, Shopify and TikTok Shop.
We are adding 50 new influencers each week.
This is how you build the best asset in your business.....
We can do the same for you.... let me know in the comments 👊
Sep 07, 2023 12:00AM
Amazon mandates "Brand name permanently affixed" to product packaging. No stickers allowed. Failure to comply results in losing Brand Registry, which costs you A+ content, brand store, and sponsored ads. Thanks, Steven.
Steven Pope
The day of brown boxing on Amazon is over.
Amazon is pushing "Brand name permanently affixed" to the product.
No stickers.
Must be printed onto packaging.
Failure to do this will result in losing Brand Registry.
Without Brand Registry you lose A+ content, brand store, sponsored brand ads, and more.
Heed this warning.
Sep 07, 2023 12:00AM
Rethinking your Amazon price hike? Read this. Amazon's Vendor Managers are likely to push back on price raises this year. If you're a 1P brand, come prepared with solid data to justify your hike. Thanks, Martin.
Martin Heubel
Are you planning to raise cost prices in the upcoming negotiations with #Amazon? 🔺💰 You may want to think twice about that.
Vendor Managers have a known track record of rejecting price increases of 1P brands.
And as a price follower with low inventory levels, the online retailer tries to delay cost increases for as long as possible.
But at some point, buyers still had to accept cost increases to continue trading.
This year, however, could be different.
🚨 That's because unit prices of CPG items significantly exceed CPI inflation rates.
Instead, the chart below shows that previous price increases by manufacturer brands may have been done in part not only to cover increased cost structures.
But also to unlock greater profit opportunities.
Coupled with a continued deflation in raw material and logistics costs, Vendor Managers will come prepared to demand that CPG brands:
- Reduce their cost prices
- Grant cost support agreements
- Provide funding to prevent delistings
So if you're a 1P vendor planning to raise your cost prices with Amazon, make sure you follow a data-driven approach.
Highlight which commodity price trends and cost centres are supporting your cost increase.
Then, refer to your ASP and Net PPM trends at account and market level. If these metrics have increased over the last 3-6 months, chances are your Vendor Manager will have a hard time rejecting your cost increase.
And if Amazon has not accepted your cost increases in the past, you can now use this opportunity to adjust your cost prices to bring them in line with other retailers.
---
What's your approach to cost increases with Amazon this year?
Let me know in the comments!
Sep 07, 2023 12:00AM
Don't sabotage your Amazon product titles. Amazon sellers unanimously value product titles for keyword stuffing and length. But there are pitfalls to avoid for effective product listing. Thanks, Steven.
Steven Pope
Amazon product titles are probably the most widely agreed upon field among sellers.
Everyone knows the importance of titles, and generally to stuff keywords in and keep them long.
But here's some things you should NOT do:
Sep 07, 2023 12:00AM
AI is making Amazon selling easier. But it can't build iconic brands. While AI manages tasks like advertising and inventory, it can't capture the nuance needed to make a brand really pop. It's never been simpler to start selling, but building a standout brand is another story. Thanks, Marketplace Pulse.
Marketplace Pulse
➡️ Post | Profile | Read the full article
AI will take over most of the seller's tasks on Amazon. It will remove the gap between new and experienced sellers and between domestic and international sellers. But it's never been harder to launch the next Anker, and no AI has the answer.
Sep 07, 2023 12:00AM
Amazon's AI now auto-generates your product listings. With a brief input, you can swiftly produce your product's Title, Description, and Bullet Points. Thanks, Prem.
Prem Gupta
Amazon has granted early access to AI for listing generation. A short input can be used to generate content for the Title, Description, and Bullet Points.
Sep 07, 2023 12:00AM
Amazon is rolling out a new badge indicating items that are often returned. Earning this badge can adversely affect product reputation, making recovery challenging. Thanks, Prem.
Prem Gupta
New Badge testing - "Frequently returned item"
✅Amazon announced that they will start testing a new badge called "Frequently returned item" this month.
✅This program will identify products with the highest return rates in their product category.
✅If any product receives this badge, it will be difficult to recover.
Sep 07, 2023 12:00AM
Specificity is key when it comes to Amazon advertising KPIs. Blanket goals like a 10% TACOS won't suffice when each product has its unique margin and life stage. Use different KPIs based on criteria such as brand, margin, or product lifecycle to get accurate insights. Thanks, Jason.
Jason Landro
If you aren’t setting KPIs for Amazon advertising at the ASIN level, you’re making a grave mistake
I talk to way too many brands that only have very broad goals (e.g. 10% TACOS)
Not all your products have the same margin, so why would you have the same TACOS goal for all your products?
In addition, your best selling product shouldn’t have the same TACOS goal as a brand new product.
The new product will likely need to rely on advertising to generate sales and will have little to no organic sales initially.
Therefore, TACOS is probably the wrong KPI for a brand new product.
This doesn’t mean you need a separate KPI for every single ASIN.
Instead, you can group them appropriately (e.g., brand, product lifecycle stage, margin, etc.)
But it almost never makes sense to have one KPI for the entire account
How are you setting advertising KPIs for your products?
Sep 07, 2023 12:00AM
AI-Books on Amazon: Risky Business? AI-generated books are flooding Amazon, causing concerns over quality, plagiarism, and even safety. Calls for regulation are on the rise as distinguishing real from fake gets trickier. Thanks, Kevin.
Kevin King
Amazon’s sandbox
Amazon earned $52.9 billion from its online sales in the second quarter. Additionally, it made $32.3 billion from marketplace transaction and fulfillment charges, and $10.6 billion from advertising. Together, the revenues coming from Amazon's online retail infrastructure services were 81% the size of Amazon's actual e-commerce sales.
Over the past five years the growth of Amazon's online retail infrastructure business outpaced its online sales. If this growth trajectory persists, within two years the revenue from services provided to sellers and brands could exceed Amazon's online product sales.
AI-generated pseudo-books are spamming Amazon and other online bookstores, sometimes borrowing real authors' names to squat on their virtual real estate.
Partly due to videos like this where some users claim they have made $1 million in four months using Chat GPT to write Kindle books.
Amazon is estimated to control at least half of all U.S. book sales, and an even bigger share of the growing e-book market.
Authors and booksellers are urging the US Justice Department to investigate Amazon, claiming Amazon’s power affects the free exchange of information.
It doesn’t help that Amazon search is increasingly turning up mediocre AI-generated titles filled with unreliable information and soggy prose.
Travel guides have become a key niche for this flood-the-zone-with-crud tactic, The New York Times has reported. Move over Rick Steves, Fodor’s and Lonely Planet. Mike Steves (an AI travel writer) has the best reviews!
AI-generated titles have also begun to infiltrate categories like cooking, programming, gardening, business, crafts, medicine, religion and mathematics, as well as self-help books and novels.
It's not always easy for buyers to distinguish these ersatz titles from human-written products.
Reviews can help — but the reviews are beginning to fill up with AI-generated posts intended to skew the ratings.
Additionally, concerns have arisen over AI-generated mushroom foraging and cook books found on Amazon.
The foraging guides appear poorly researched and might pose health risks. Many of the books have repetitive content, likely generated using ChatGPT, and feature filler material with no real value. Some include mistakes, like omitting crucial ingredients.
Sep 06, 2023 12:00AM
Maximize profit, not listings on Amazon. Focus on margins, not just listings. Use a data-driven strategy: know your Net PPM, assess the ASP-cost ratio, utilize tools like Profitero, and list wisely to sidestep Amazon issues. Thanks, Martin.
Martin Heubel
Stop listing your products with #Amazon 🛑✋
Forecast their profit margins instead.
I see far too many vendors offering their entire portfolio to the online marketplace.
Only to see their margins diluted a few weeks later.
The problem is:
If you ignore your ASP in the market, you can expect Vendor Managers to demand margin compensation or delist your products.
✅👇 So here's what to do instead:
1️⃣ Find out your average Net PPM for the last 12 months.
2️⃣ Identify the ratio between the ASP and the cost price of your products listed on Amazon that will allow you to reach your Net PPM target.
3️⃣ Use tools like Profitero to determine the ASP in the market for the product(s) you want to list on Amazon.
4️⃣ List mainly those products that meet or exceed your identified ASP-to-cost ratio (and earn you a margin).
Following this 4-step process ensures you adopt a data-driven approach to listing profitable selection with Amazon.
And reduces the likelihood of Amazon CRAP'ing your products and Vendor Managers asking for more cost support.
---
Do you follow a selective portfolio approach with Amazon?
Let me know in the comments!
Sep 06, 2023 12:00AM
The traditional annual planning needs an AMC upgrade. Stop relying solely on intuition; use AMC's data-driven insights for precise targeting, budget optimization, and enhanced engagement. Thanks, Jack.
Jack Lindberg
🔥 Introducing a Fresh Take on Annual Planning: The AMC Series! 🔥
Hey AMC Fam! As we embrace the final quarter of 2023, many of us are knee-deep in charting out the path for 2024. The whiteboards are filled, the meetings are intense, and the coffee is flowing (except for me cause I hate caffeine!). But here's a question: Are we simply going through the motions, or are we genuinely innovating our approach?
🚀 Ditch the Old, Embrace the New with AMC!🚀
Let's be honest - rehashing the same strategies and hoping for different results isn't just tedious, it's counterproductive. If you're on the brink of signing off on that "safe" 2024 plan, I urge you to consider the transformative power of AMC.
🎯 Reimagine Customer Profiles with Data-Driven Insights 🎯
Picture this: Customer profiles that are not just a mishmash of focus group feedback, panels, and the sixth sense of brand managers (no offense to that gut feeling - it's gotten us far!). But imagine if we could *validate* those intuitions with hard data? This is where AMC shines. By leveraging AMC, we can:
1. **Gauge Real Demographics**: Get a granular view of who your customers truly are.
2. **Delve into Interests**: Understand what really piques their interests and tailor your messaging accordingly.
3. **Unearth Lifestyle Traits**: Customize campaigns that resonate with their life choices and aspirations.
But here's the clincher: AMC doesn't just stop at giving you insights about your customers. It juxtaposes this data against the folks of those viewing your ads. Now, imagine the power of aligning these two!
🌐 **Strategic Implications of Reframing Customer Profiles** 🌐
1. **Precision Targeting**: By understanding the delta between your perceived audience and the actual one, your ad campaigns can be far more precise and effective. USE AMC AUDIENCES!
2. **Budget Optimization**: No more wasteful spending on demographics or audiences that don't align with your brand. Efficiently allocate resources where they matter.
3. **Enhanced Engagement**: Tailored messaging based on real data leads to better engagement, loyalty, and ultimately, conversion.
4. **Future-proofing**: By continuously updating profiles based on real data, you ensure that your strategies evolve as your customers do.
As we gear up for 2024, let's not just plan. Let's innovate, evolve, and lead with insight. Looking forward to delving deeper into how AMC can revolutionize our strategies in the upcoming posts!
Stay tuned, and as always, let's drive the future, together! 🚀
Sep 06, 2023 12:00AM
Amazon Seller nails 7 sales on TikTok Shop. In just days, an Amazon seller broke ground with 7 sales on TikTok Shop. No influencers, just ads. It's proof this platform has untapped potential. Thanks, Paul.
Paul Harvey
🛍️ Amazon Seller just launched on TikTok Shop
🚀 7 sales in!!
Making sales on a new platform in only a few days is a big deal!
This Amazon seller just launched on TikTok Shop
I tried to help, but due to time constraints (ie. Kids) I was unable to help them
👉 They pushed ahead and tried everything:
- Published 4 videos on TikTok Shop (these videos were not great… but perfection is the enemy of execution).
- Boosted the video with TikTok Shop ads
- Contacted over 30 influencers on the TikTok Shop platform.
THE RESULT?………. 7 SALES
They had a negative ROI ($300 spent on a product that costs $25).
But who cares🫣 …. within 3 days they proved that TikTok Shop works.
Do you remember your first sale on Amazon?
It felt great right?
Now you get to relive that feeling by using TikTok Shop.
What was very interesting…… not a single influencer replied and the only sales were from TikTok Shop Ads.
Which means…..
They still have tons of untapped opportunities on TikTok Shop (even their ads were not optimised).
🔥 TikTok Shop is the new kid on the block…. Your new best friend.
Sep 06, 2023 12:00AM
Sponsored Ads on Amazon Are Becoming More Tailored. Amazon is using your shopping trends to show more personalized ads. Good news for PPC and shoppers, but it may limit reach. Thanks, Himanshu.
Himanshu Verma
👉 Sponsored Ads are getting more personalized
Recently noticed categories such as: "recommended based on shopping trends", "based on your browsing history", and "related to items you've viewed".
This indicates Amazon is closely observing the shopping trends and collecting user data.
From a PPC standpoint, this could open up new avenues to target more groups of audiences, including lookalikes perhaps.
Showing Ads to shoppers more likely to be interested, could help provide higher ROI, but could be somewhat limiting as well in terms of reach. For which, general ad placements, would still be a way.
For shoppers, this could mean enhanced user experience, as Ads could be more aligned with their interests and preferences.
Sep 06, 2023 12:00AM
Amazon is piloting a badge to spotlight items with high return rates. Earning this badge could make recovery difficult for products, potentially impacting sales and reputation. Thanks, Prem.
Prem Gupta
New Badge testing - "Frequently returned item"
✅Amazon announced that they will start testing a new badge called "Frequently returned item" this month.
✅This program will identify products with the highest return rates in their product category.
✅If any product receives this badge, it will be difficult to recover.
Sep 06, 2023 12:00AM
Risks of Using Amazon Authorized Resellers. While authorized resellers on Amazon offer convenience, they often shortchange your brand. Cutting corners to profit may limit growth. For many, in-house management or an agency offers better brand expansion and full margins. Thanks, Jason.
Jason Landro
Authorized Resellers can harm your brand on Amazon
A lot of brands are sold on authorized resellers because it's easy
The brands sell wholesale to a company that will resell those products on Amazon
However, the brands don't think about the bigger picture
Those authorized resellers have to buy products at a wholesale cost
Yet the authorized resellers still have significant overhead to sell those products
And the cost to sell products on Amazon is typically higher than in store
The authorized resellers are the middleman
So they have to minimize overhead to be as profitable as possible
That includes graphic design, copywriting, advertising, overall strategy, and more
Or they can only sell the best products from each brand's assortment
That means your brand isn't getting the comprehensive resources it needs to grow
However, there are legitimate reasons to use an authorized reseller:
1. Your Amazon business is brand new or so small relative to your revenue that it doesn't justify an additional overhead investment
Let the authorized reseller get the business going
2. You have large products and don't have the capability to fulfill them D2C
Authorized resellers typically have those capabilities
3. You have a very small selection of products
It's relatively easy to generate the creative you need and be relatively hands off and still see success
However, I'd argue a reseller is still not the best option in this case
4. You aren't set up to sell on Amazon or your organization won't get behind it
Use an authorized reseller and let them grow the business until it makes sense to change your approach
If you don't fall into one of these groups, it likely makes sense to hire resources in house or hire an agency
Then you can focus on growing your brand holistically
And you'll have the full margin to make that investment
Because you'll be cutting out the middleman
We've partnered with so many brands that used to work with authorized resellers
And we see fantastic results every time by putting a comprehensive plan in place and the resources to scale
If you're currently working with an authorized reseller or considering it, don't hesitate to reach out if you want to chat about your channel strategy
Sep 06, 2023 12:00AM
Testing on Amazon is a make-or-break game. Brands on Amazon can't afford to ignore constant testing. Using the scientific method—defining a question, forming a hypothesis, and conducting experiments—helps brands adapt based on data, not emotion. Thanks, Jeffrey.
Jeffrey Cohen
Testing and iteration are fundamental muscles that every brand on Amazon needs to develop and master. Failure to do so will lead to complacency and brand decline. Am I being over dramatic? I don’t think so.
In junior high, we learned the basics of the scientific method. The steps are: 1) Define a Question to Investigate, 2) Research, 3) Hypothesis, 4) Experiment, 5) Conclusion, and 6) Communicate (Action). This data-driven approach allows the data to make the decision, not the emotion. So, what does this have to do with eCommerce or selling on Amazon? Everything.
Here is an example. This system ensures that you are constantly improving your product to meet customer needs. The data that you gather may be reviews, customer interviews, a/b testing, competitive analysis, or more. But at the end of the day, your product has to evolve. Sure, one of you will point out a product that is successful and hasn’t changed, but do you want to search for the one, or do you want to build a system to be successful?
A few years back, I attended a local event where two well-known restaurateurs were speaking. Both of these individuals have built international companies starting from local establishments. During the Q&A part of the event, a question was asked, “When do you know if a new concept will be successful?” The response was something to the effect of our ability to react to customer feedback in the first 90 days, determines our success. We can plan for everything, the theme, the menu concept, the wait staff.. etc., but we don’t know how the customers will react until we open the door. We have to open with the idea that the market will dictate the changes we need to make and then react to those signals when we hear them.
Next week, I will be speaking at #amazonaccelerate with Destaney Wishon and Gabi Viljoen, MBA. While our presentation is on strategies for upper funnel advertising, it's rooted in the basics of junior high science. Many times in life, we have asked, “Why did we take this class?” Here is a great example of where our education is coming back to benefit us. Advertising is a mix of art and science. If you master Sponsored Products and only focus on conversation-focused tactics, you are limiting the reach and potential of your product. Moving upper funnel to awareness and consideration can be scary. It requires additional budget and a changing of your mental model around the metrics you use to measure success. But, if you go back to your roots and apply the scientific method, you can develop a framework that sets you up for success.
What methods are you using to test and learn? I would love to learn of additional frameworks for what has made you successful.
Want to learn more? Join us live in Settle (or online) on Thursday as we dive deeper into this topic. https://lnkd.in/eKN853BF
Sep 06, 2023 12:00AM
Evaluating only ROAS can mislead. A protein shake's immediate 1X ROAS masks its true 5X when considering repeat buys. Always factor in a customer's lifetime value. Thanks, Joe.
Joe Shelerud
Focusing just on reported ROAS or ACoS can lead you down the wrong path.
A quick example…
Say I sell a protein shake pack that costs $20. Let’s say it costs me $20 in advertising spend to drive a sale for a customer that is new to my brand.
Once someone purchases the first pack from me, some customers don’t purchase again but others will purchase quite a few more times. On average, a new customer will order my product 4 more times next year.
Let’s start with the reported ROAS of this campaign. Advertising sales metrics will just be attributed back to the first sale made so my reported ROAS will be:
Reported ROAS = Ad Sales / Ad Spend = $20 / $20 = 1X ROAS (or 100% ACoS)
However, if we include the lifetime value of the client, the numbers look a lot different. Instead of just including the first purchase in our ad sales calculation, let’s include the additional four purchases.
Actual ROAS = Lifetime value from Ad Sales / Ad Spend = ($20 x 5) / $20 = 5X ROAS (or 20% ACoS)
If we just used the reported ROAS to direct our decision, we may have shut down the campaign. However, when we take into account the lifetime value, the campaign could be highly profitable.
High level: If you have a consumable product or a brand that receives a lot of cross purchases, make sure you take the lifetime value of a customer into account in your advertising metrics.
Sep 06, 2023 12:00AM
FBA Fees Spike for Holidays. Amazon's FBA fees are up from Oct 15 to Jan 14, 2024. Small items see a $0.20 rise, and oversize leaps by $2.5. Time to reprice. Thanks, Jon.
Jon Elder
The 2023 Holiday Peak Fulfillment Fee Apocalypse has arrived!
From Oct 15, 2023 to Jan 14, 2024, FBA fees are temporarily increased:
• Small standard +$0.20
• Large standard +$0.30 (up to 2 lbs)
• Small oversize $1
• Medium, large & oversize +$2.5
Raise your prices!
Sep 05, 2023 12:00AM
Success on Amazon doesn't always require ads. Brands with captivating, scroll-stopping content are nabbing sales from competitors. Before investing in ads, ensure your listings convert well. Thanks, Daniela.
Daniela Anavitarte Bolzmann
You don’t need Ads to be successful on Amazon🤯
This is a hot take…but there are brands that have success and sales without running ads💰
The difference between them and other brands is their creative
Their content is droolworthy and scroll stopping that their product is stealing sales from their competitors👀
Better said, before you drop 💰 💰 on boosting traffic, be sure your conversion is on 🔒
PS - I do love ads and yes most of our clients run ads. But ads are the end all be all for success on Amazon. Throwing money at poorly converting listings is just lighting your cash on fire.