If you own an e-commerce business, you know Amazon would be a great place to reach new customers. Amazon has hundreds of millions of customers. Yet while it’s an excellent way to grow your customer base, Amazon also comes with a ton of competition.
When you browse the site and search for a specific product, chances are you’ve found at least three or four sellers that sell the same one. So how do you make sure your Amazon e-commerce business stands out from the rest?
The key is to find the right tactics that enable you to increase sales. The following guide gives you tips for boosting your profits on Amazon.
1. Sell What People Want
As an Amazon e-commerce business owner, it’s up to you what products you want to sell. However, you need to understand your product’s audience and market to meet potential customers’ needs. When you meet your customers’ needs, you have the opportunity to face the competition.
A straightforward approach involves identifying low competition and high demand for your products. Yet, this barely scratches the surface. One way you can achieve this is by looking at a product’s search volume.
You can verify a healthy search volume by checking if people search for the product regularly. In a crowded marketplace like Amazon, consider aiming for at least 5,000 search volumes each month.
Another way to indicate if it’s a good product is if it offers a minimum profit margin of 20% and has a good sales volume of 250 units per month. This profit margin and sales volume will give you enough breathing room to keep things afloat.
2. Make Your Products Easy to Find and Buy
Make your products easy to find and buy by optimizing your product listings for Amazon’s search engine. Doing this will enable your products to show at the top of the results, giving you a leg up on the competition.
To ensure your products are easy to find, start by using the right keywords in the product title and description. Inserting keywords in these places will influence the search results on Amazon and Google.
Next, the product descriptions should be scannable, so it’s easy for users to read. You can make this happen using one to two sentences, bold text and bullet points. Ensure your product descriptions describe what makes each item unique.
Another way to improve visibility is by including a clear call to action (CTA). A CTA should be at the end of each listing and guide users through their journey until they’re ready to place an order.
3. Get Customer Reviews
A good review strategy has many benefits for you and the customer:
- It builds trust with new customers.
- Gives them confidence in the quality of what they’re buying.
- Helps them make purchasing decisions because of the insights they provide about the product’s performance.
By aiming to get good reviews, you build your brand in a way that’s credible in the eyes of the potential customer. Once they see the feedback — the customer may find it helpful and authentic — giving you the potential to increase your sales on Amazon.
However, you must have a mixture of reviews to come off as authentic. This allows customers to get a full picture of the product. If you influence too much of a good thing, the reviews may come off as disingenuous.
The best way to get more sales on e-commerce platforms like Amazon is to encourage customers to leave reviews at your Amazon store. Make sure you follow up with customers through email and send a reminder in their package.
A product review is the most powerful tool to use in your marketing arsenal. Make sure you use it to collect feedback and improve customer service.
4. Create a Good Buying Experience
Since many companies compete for the same listings on Amazon, it can be challenging to get a winning streak. Yet the best way to succeed is by standing out with an amazing buying experience.
By building this reputation, people are more likely to turn to your store to purchase items instead of your competitors. You have various ways to provide an outstanding experience for your customers. Consider these ideas:
- Make transparent listings: Customers should be able to know about the quality of your products, how you made them and what your return and shipping policies are like. Be as descriptive as possible in your listings so they can trust you as a brand.
- Tell your story: Give people a further understanding of your company and why your business exists. Include storytelling about your products, partners, employees and more. That way, you can build trust and excitement around your listings.
- Personalized communication: Consider engaging with your customers online by sending email follow-ups. You could even handwrite a thank-you letter and place it in the packages. Doing so delights your customers and can go a long way in building positive relationships.
5. Compete On Price and Quality
Price is a key factor for customers — especially on Amazon. Depending on certain factors, you may want to compete on price to gain more customers. However, the price needs to be at the right point where you can still profit and stay competitive.
Keep in mind that it’s impossible to compete with Amazon directly — they have the upper hand in volume and distribution channels. Therefore, it can generally afford to offer better prices.
Instead, consider looking at other sellers in your niche and whether you want to compete on price or quality. If you’re selling similar products in quality and features, it may be better to compete on price. Yet if your products are different from each other, then it may be a good idea to differentiate yourself by emphasizing quality over price.
6. Use High-Quality Product Images
Product descriptions aren’t the only element that builds trust with customers. You need to sell your products with high-quality imagery. Product images are one of the best ways to help your customers overcome objections.
If you put yourself in their shoes, you’ll see that a prospective customer misses out on the opportunity to shop in the same way as a customer who walks into a store. Therefore, online shoppers need help visualizing your product in their hands.
To optimize your product images for more sales, make sure to implement these tips:
- Upload as many photos as Amazon allows.
- Show instances of where models are using your product in the real world.
- Display your product from various angles, and include images that display your product’s scale to give them an idea of the actual size.
- Hire a photographer to take high-quality and high-resolution photos of your product.
7. Use Amazon’s Advertising to Promote Your Products
Imagine having a buyer land on your product page ready to buy. Yet, they suddenly see the same listing for a better price because it was sponsored. You may miss out on that sale due to another company competing for a lower price.
However, you can minimize these occurrences by leveraging Amazon Advertising. It’s the quickest way to boost your listings — especially if you have no reviews or past sales to help you rank higher.
Amazon e-commerce ads are a great way to get your listings at the top of the search results and increase traffic to your store. Investing in sponsored product listings gives you a quick payoff as well since Amazon customers are typically ready to buy.
Generate More Revenue by Expanding Your E-commerce Products to Amazon
With planning and lots of hustle, you can win more sales on Amazon e-commerce. The key is finding products people want to buy and making it easy to do so. Ensure you implement these tips, keep testing your listings and optimize them.
When you put in the work on your Amazon listings, it will pay off in the long run.