Last year was very successful for Amazon despite the pandemic (no surprises there). Amazon’s Prime Day 2020 sales performance alone delivered more than “$3.5 billion in sales” for third-party sellers.
Despite these setbacks, Amazon’s performance makes it the best online selling destination for sellers worldwide. Globally, Amazon has almost 10 million sellers, of which nearly 2 million are active on the marketplace. Hence, making Amazon both a dynamic and competitive marketplace.
For Amazon sellers to rise above the competition this year, it’s important to take a strategic and planned out approach.
How Sellers Can Improve Their Amazon Sales in 2021
Reliance on the influence and market reach of Amazon is not enough to improve Amazon sales. For sellers to increase product visibility and profitability in the Q3 of 2021, substantial adjustments can be made, like the ones suggested below:
Prioritize Your Business
If you wish to increase your Amazon sales, prioritize your Amazon business. This means that you should dedicate significant time to audit, optimize, and manage your Amazon business on a daily, weekly, and even monthly basis.
Focusing your time, effort, and other resources can be both demanding and stressful. Outsourcing tasks using offshore staffing and/or technology softwares is a good alternative.
For example, you may outsource product photography or image optimization to a reputable third-party agency. Thus, allowing you to focus on other important details of your business that you have more expertise in.
More and more online sellers are joining Amazon’s platform each year, therefore, routine audits are important in order to stay ahead of the competition.
Auditing your listing will help you increase your Amazon sales in 2021. Some of the essential listing components to focus on include the following:
- Target Keyword
- Product Title
- Product Description
- Product Images
- Product Reviews
Get to Know the Algorithm
The function of the Amazon algorithm is mainly divided into two, the Search Result and Buy Box function.
The former pertains to how Amazon ranks products in their organic search result pages. The Amazon search algorithm evaluates fundamental factors like the product itself, category, keywords, price, and reviews.
On the other hand, the Amazon Buy Box algorithm determines which product it would showcase on the Buy Box section of the product detail page. In this context, the algorithm considers factors like pricing, shipping method, and seller performance.
Win More Amazon Buy Box
The Amazon Buy Box is prime real estate on the Amazon product detail page; it is where the “Add to Cart” and “Buy Now” buttons are positioned.
Since the Buy Box accounts for more than 80% of Amazon sales, you should focus on winning more Buy Box.
To secure a position in the Amazon Buy Box, you need to be Buy Box eligible, as well as observing correct listing and pricing optimization. With the latter, it is more convenient to optimize price with the help of an Amazon repricer.
The use of an Amazon repricing tool helps in winning more Amazon Buy Box. The automatic Amazon repricer is known to be the top choice due to predefined thought out logic, learning capabilities, time saving, convenience and proven performance.
Explore Backend Keywords
Adding backend keywords to your product listings can help give your listings a boost.
Backend keywords are simply the Search Terms you add via a section in your Amazon Seller Central account. Unlike the keywords you use on the actual listings visible to shoppers, the backend keywords remain invisible.
The backend keywords’ main purpose is for sellers to add specific keywords that they were not able to add to their listing due to certain restrictions. Typically, sellers may end up with five backend keywords.
Common Mistakes That Affect Amazon Sales Performance
Knowing how to optimize your Amazon business is not enough for achieving Amazon sales in 2021. You should also learn to recognize some of these eCommerce mistakes to help you improve your Amazon sales performance.
One of the common mistakes that Amazon sellers commit is choosing an overly saturated niche. Immersing in a saturated niche means competing with multiple established sellers or brands.
It is best to avoid going head to head with prominent and established Amazon sellers as much as possible when starting from scratch. To do so, thorough product research is required to narrow down the competition.
Mismanagement of Inventory
Always check your inventory levels. See to it that you never run out of products in order to avoid a negative impact on rankings that may affect your sales.
Make it a habit to always keep track of your inventory. Utilize inventory management softwares to help you conveniently assess your inventory.
Neglecting Amazon Updates
Another mistake that Amazon sellers make is not monitoring the regular news and system updates. Some of the important updates to watch out for include algorithm updates, shipment deadlines, dashboard interface updates, and latest seller guidelines.
Knowing these updates will help you adjust your strategy for better yield while avoiding any violations resulting in penalties.
When creating a listing, precision is essential as pricing and inventory quantities are posted almost immediately. To avoid overselling beyond your current inventory that may lead to a possible account suspension, keep an eye on your listing entries.
Encountering such mistakes will inevitably lead to poor sales performance as well as disruption of your overall Amazon business.
Slow Response To Customers
Amazon is known to be a customer-obsessed company. Hence, you should also be customer-centric as an Amazon seller.
This means that any queries or concerns coming from customers should be addressed promptly, especially since customer satisfaction is one of Amazon’s key metrics for awarding the Buy Box.
Enable Success in 2021
Beyond the tips mentioned above, the most crucial way to grow your Amazon business and improve its sales is to focus on the needs of your shoppers.
It is never too late to research your audience thoroughly and know exactly what they need. Develop a strategy that attracts customers and increases store engagement.
When providing a service, always go the extra mile.