fbpx

How to boost your Amazon profitability and make your Amazon Business more profitable

Remember that boosting sales is a process which requires time and patience, but with applied methods it is possible to achieve great results. Amazon is a marketplace where any brand or retailer can list their products and sell them directly to consumers.  

In order to boost your amazon product or brand with the help of amazon plex, you have to focus on certain aspects.

What are these aspects and how does one go about boosting a product through amazon PPC?

Here is a short introduction into Amazon PPC, along with some tips that will help you optimize it for better results.

When someone searches for something on the internet, they use various parameters to define what results they want. These parameters can be anything – general search terms like ‘women shoes’, or category-specific ones like ‘air conditioners’. The website that manages to rank highest in Google SERP ( Search Engine Result Page ) gets all the business from this customer.

Amazon PPC is similar to Google Adwords and serves the same purpose. It allows you to promote your product or brand, by placing an advertisement on Amazon’s search and browse pages. The good thing about this platform is that it only allows people who are interested in your product, i.e., those who have already visited your website or mean to visit it, to view the ads. This reduces the wastage of money as unwanted visitors cannot see these ads and click on them. 

Keep these ‘Points To Keep In Mind’ so as to boost amazon plex:

1.) Segment your audience wisely: The first point regarding amazon PPC is segmentation of audiences. You must decide which  audience to target, depending on your product or brand. Don’t just go by the number of people in that segment. Look for specific keywords and phrases used in the description of these products.  For instance, if you are selling women shoes , you can separate your audience into ‘for work’, ‘casual wear’, etc., like:
-Women’s Work Shoes
-Women’s Casual Shoes

2.) Don’t be picky with words: You may want to use specific words when running an amazon PPC campaign but make sure they are not too specific. If you target only two or three searches per day, then this is fine because it will increase your chances of conversions (the act of making a purchase). However, if you choose popular but very general words  or combinations of words, you will have a huge audience to cater to.  This increases the chances of more conversions.

3.) Use negative keywords: While running amazon PPC campaigns, it’s good to use negative keywords so that your ad is not displayed in response to any other related searches. So when someone looks for ‘women shoes’, your ad may come up on the search page but if they look for ‘men shoes’, your ad should not be there. This keeps your ads relevant and saves you money which you can better invest in increasing traffic through other means.

4.) Increase CPC (Cost Per Click): The main aim behind best Amazon PPC services is to increase ROI (Return on investment). You must  put your best efforts in increasing CPC (Cost per click) by looking at the following points:

a.) Split test your keywords and ads-use A/B testing on different ad groups. This will make it easier for you to understand which ad is performing well; therefore, more funds can be invested in that particular campaign.

b.) Using tools like Adwords is helpful. They provide data related to the performance of your ads, thus letting you know where exactly you are lacking behind. Further, they also show information related to top performing adverts of other companies running PPC campaigns on Amazon, which is very useful if you want even better results with amazon plex.

c.) Find the right balance between relevance and cost.

5.) Find the right balance between relevance and cost: Everything in business is a trade off. If you want to be successful, you need to find the perfect balance between relevant ads and higher bids. This means that when your ad reaches more people who are looking for your product or service, it will increase sales but at the same time, it will also increase your CPC (Cost per click). The trick is knowing when to stop increasing CPC so as to make sure it doesn’t reflect on ROI (Return on investment).

6.) Optimize amazon PPC campaigns: When a customer makes a purchase, Amazon gives you a certain time to optimize your campaigns. This means that before the allotted time runs out, you need to look for all those ads which are not performing well and pause them. This will free up some of your ad spots so that new ads can be launched to replace these under-performing ones.

7.) Hire professionals: The easiest way is to hire an amazon PPC service provider who knows what they are doing. These consultants will offer you extensive training on various techniques and tips related to running an effective campaign . They know how and when to use tools like Adwords and A/B testing based on your product category, geographical area etc., making sure you get the best out  of your ad campaigns.

8.) Track conversions properly: The more you track conversions, the better you will be able to categorize them under ‘revenue’ and ‘non-revenue’. By doing this, you can calculate ROI (return on investment) which is a very important factor in determining the success of your amazon plex campaign. Also, by keeping a track of revenue related information, you can take decisions related to increasing bids for keywords so as to increase sales further. At times it may happen that after running PPC campaigns for a long time, certain keywords stop giving good results – thus these should also be paused so as to free up some extra spots for other ads which are performing well.

If you have a successful product you’ll probably want it to be on page 1 of the first results page on Amazon search engine. We will now focus on a few simple things, however they give big impact over your profitability:

SEO for Amazon listings: the most important part of any SEO campaign is choosing primary keywords for ranking purposes. You should always start with those terms before doing anything else. Amazon SEO is an easy way to boost Amazon’s organic traffic by getting your Amazon product in the search engine result. It is not only simple but also efficient if done right. The Amazon SEO service will help you to increase Amazon organic ranking and get more clicks to your Amazon products. 

The ways in which Amazon ranks its listings are often kept under wraps, that’s because it is a well-guarded secret of Amazon! While no one can crack it down completely, there are few factors that play a key role in ranking the amazon listing.

Second step and equally important is to make sure your product page is optimized for all search engines. Product page should be optimized for all  the factors that are involved in the buying process. If you have not paid attention to any one of these then it is likely that your product page will fail to convert visitors into customers. The good news is that even with a poorly optimized product page, there are still chances for conversion if you optimize it progressively using various tactics. 

Users usually do not want to go through the hassle of reading hundreds of words on a page about a certain product or service they are looking for. Instead, they prefer spending their time only on the important stuff which can help them make better decisions about what to buy and how much they should spend on it.  

If you’ve done both of the things mentioned above, congratulations! You’re on the right path towards achieving higher rankings in Amazon organic results.

Driving traffic from relevant keywords: to your website is one of the best ways to improve overall site rankings. It’s also important for improving conversions, which can have a big impact on your bottom line.

Hence, the ever changing search algorithm in amazon FBA has made it more important for us sellers to know which keywords are getting searched way too often for our product that might have a huge potential in generating sales. On another hand, if you are trying to rank higher for trending products in the market with less competition, you will need to target lower volume but highly relevant keywords rather than targeting high volume head terms or generic terms which is very competitive and difficult to outrank big brands. 

But if you’re not patient enough to wait for organic traffic to come in over time, there are paid advertising options that can do the job quickly. While it’s true Google Ads provide some level of SEO boost, don’t expect the same results as you might get with other search engines or platforms like Facebook or LinkedIn ads. 

Optimizing price: elasticity is a key part of any ecommerce business.  It can either make or break a sale. Price optimization is one of the most important parts of a successful Amazon FBA business. When you are new in this business, it can be very confusing to find out what prices you should sell items for. After all, there are so many products on Amazon and not all have great demand! 

Price is a key driver in whether someone purchases from your website or picks up their smartphone, tablet or laptop and goes elsewhere to shop. This means understanding your customer’s purchase behavior is always important. But even more so when keeping prices competitive becomes a challenge. Especially now that people have become accustomed to bargain deals on just about everything. Let’s face it though no one wants to be taken advantage of either, especially those who are loyal customers with your brand as well as those who pay for goods and services  with their hard-earned cash.

Remembering customers’ needs:  and satisfying them is the key to success in everyone’s life. This can be a good thing for someone who is trying to establish their own enterprise but on the other hand one negative comment or review can destroy everything you built up during years. That’s why – especially when your company deals with clients’ data – you should never forget about security. It’s important that every part of your system works flawlessly, because even small mistakes can cost money, time or even lives. 

If any of your buyers in amazon returns the product and cancels the order for some reason, it is very important to follow up on the customer satisfaction and what they expect from you in that case.

Some customers will want cheap refunds with no questions asked. Other customers might want a replacement or a full refund. It is good to get back to every customer personally so you can find out their choice and get better feedback on how to do things right next time. If you have done something wrong it is always key to solve the issue as soon as possible so everyone can be happy!

High quality images and descriptions: amazon  listings are very important because it makes conversion higher. Images are responsible for 50% of the weight that various search engines such as Google and Amazon assign their rankings. In other words, images account for half of a website’s “weight” in ranking. And since product page images affect conversions… Well, you do the math!

 If a customer will buy an item with a high quality picture and description , he/she is more likely to purchase the product. Needless to say we should always pay close attention to what we put on our amazon product pages and how high (or low) quality those images are. Before we go any further: let me make this clear – mediocre images WILL NOT SAVE YOU MONEY! If anything they will eat away at your margins by not maximizing conversions; which I’m sure every business  owner would agree is the bottom line when selling on amazon. 

So how do you make your amazon FBA business more profitable?

Here are some other tips!

1.)  Use Helium10 software: Helium10 is a web-based app that allows shop owners to optimize the frontend of their ecommerce stores. It’s accessible via browser and the majority of its features are available for free. It also offers paid plans with advanced functionalities. This service was introduced in 2016 under the name of PriceYak. The startup bootstrapped its growth until January 2018, when it received funding from investors based in Canada and California.

Helium10 does not handle payments, shipping or inventory management. However, it can work with other services like Shopify, BigCommerce, WooCommerce, etc,. to improve conversions. The app also offers an integration with Amazon that allows users to manage their stores and listings all in one place.

Helium10 does not require any coding knowledge or assistance from IT experts. But it still gives plenty of opportunities for customization to power users, who are familiar with HTML & CSS. The startup’s goal is to become a complete ecommerce solution for businesses of all sizes. 

As of January 2018, the company has over 7000 clients including recognized brands like Skagen, Revolve, DailyLook. It seems like by 2020 Helium10 aims to service 1 million active sellers .

Currently, there are three plans available: Free (limited features), Retail (basic) and Pro (most advanced). The startup’s pricing strategy follows  a subscription model, where merchants are charged monthly fees based on the number of their customers. The Pro plan is currently available for $49/mo per store .

2.) Great design: Don’t forget about customizing your listing. Make it look good, but also let the visitor know at once what it is about – this can be done via clever use of colors , images and other visual elements. Product photos are the key to winning the Buy Box. This means that your product images should be of high quality, attractive and sell your product.

However, if your main priority is to sell, you need not worry about image quality. This series of articles will discuss the key elements that influence Amazon’s Buy Box algorithm and how they affect your win rate. 

Your product photos are among the most important factors in determining whether or not you can win the buy box which means higher sales for both you and Amazon. Here are some basic guidelines to help boost your chances of winning it each time: there needs to be a visible brand logo on at least one photo of the listing. The more views your listing gets, the more likely a potential buyer would see these photos and recognize a familiar brand name on them. 

3.) Easy and instant updating: Speaking of customizing – don’t forget about creating multiple variations of your product. Making a listing look and function differently based on the visitor’s location or their past experiences with your products can significantly increase your sales. Product images are the first thing that amazon customers see when your product is listed on Amazon. The right product image can make them want to click “Add to Cart” while the wrong one, for example, poor quality photos or no photo at all can make them abandon their carts entirely. Also for this task you need an ecommerce software which provides effective, easy ways to update content as well as change images , price and other important elements fast and conveniently.

A lot can go wrong with product images. For instance, they may not be properly cropped or contain images of low resolution. If the main image of your product is of low quality, chances are that it will be hard for customers to place an order or even recognize your product at all. Remember that there are many different factors that affect whether or not a customer will buy from you and some of them are related to aesthetics. 

4.) Shipping options: Make sure to offer as many shipping options as possible – no matter if it is free or paid shipping. This way you’ll double the chances that people will actually buy from you!

After a customer places an order in Amazon, you have to ship it quickly to the Fulfillment center. After that, the products are stored there and when somebody places an order for your product from Amazon, they will be shipped to their shipping address from there.

Amazon provides various shipping options in FBA. In this article we will discuss each of them with pros and cons. These are:

Shipping option Number 1: Two-day shipping – Usually ships within 2 business days after being processed in Amazon’s warehouse. It qualifies for Amazon Prime service which needs a separate subscription fee. For books, DVDs/CDs and standard products under 4 pounds it is free if you opt for “Super Saver  Shipping”.

Pros: Two-day shipping is fast and usually qualifies for free delivery in Amazon Prime service.

Cons: If you are not opted for Amazon Prime, it has a separate subscription fee. It also opens your items to the possibility of being the #1 Best Seller in its category which means more searches by customers.

It can be very costly if you have products under 4 pounds so it makes sense to ship them via some other option rather than two-day shipping. You may even lose money on that due to fulfillment fees.

Shipping Option number 2: Expedited Shipping – Ships within 1 business day after being processed in Amazon’s warehouse and qualified only for Standard products over 4 pounds. Also known  as “Saver Shipping” which needs a separate subscription fee.

Pros: Expedited shipping is very fast and qualifies for Saver Shipping which means it’s free for products over 4 pounds if you opt for Amazon Prime service. Usually ships within one business day after being processed in Amazon’s warehouse.

Cons: It has a separate subscription fee like that of Two-day shipping. You may end up losing money due to fulfillment fees for under 4 pound products if you opt for Expedited shipping. Since this is a very fast method, your items will be exposed to a high chance of ranking Number 1 Best Seller in its category on Amazon search results page so there is a higher chance of getting a lot more organic traffic compared to some other slow shipping methods.

5.) Get involved in Amazon Product Ratings: There are two types of amazon product reviews , incentivised and un-incentivised. Un-incentivised means that the reviewer has not received anything for their review besides the product they are reviewing. Incentivised reviews on the other hand mean that people receive products either free or at reduced cost in exchange for an honest review. I have chosen to focus mainly on un-incentivised as these seem to be much more common than incentivised ones, although there are some genuine companies offering incentives this may not be sustainable way of earning money (or anything  for that matter) without actually doing any work, or if you live in a country where this income will be taxed. 

Let customers rate each product by themselves on a regular basis not only when the review system asks  them to ( e.g. after 30 days of purchase). Not only will this help you be more open with customers, but also show potential customers that people love your products – which will increase sales even further!
 
6.) Customer reviews: You probably already know about the power of satisfied customer’s opinion – if they like your product (and hopefully tell others about it), why not give them a chance to share their thoughts? By leaving their own review on Amazon, they’ll not only say great things about you and your product, but also bring in new visitors who might become future buyers as well! Remember however to ask those who have been really pleased with your service for a positive review, as those are much more likely to encourage others as opposed  to those who are not happy with their purchase!


A word of caution however: Do NOT let amazon customer feedback fool you into believing something that is not true about your product! Make sure that your analysis on customer behavior is backed up by actual evidence. If there is no data to support what customers are saying, then they do not necessarily speak for everyone in total nor even for most people in general when it comes to specific areas like performance issues. Just because  a lot of people have the same issue does not mean that you should treat it as a big problem.

7.) Use Amazon’s services: Speaking of increasing your customer base – don’t forget about pulling in Amazon users. Make use of Amazon Subscribe & Save program  and Amazon Prime, both giving you access to millions of active clients!
 
You won’t have to worry about picking, packing and shipping your items. Also, FBA private label sellers don’t even need to bother with warehouse storage and inbound shipments if the product meets Amazon size and weight requirements (meaning: not too bulky). Instead, there’s a service called ‘Fulfillment by Amazon’ that takes care of all of this for you.  There’s no need to buy or rent warehouse space – all you have to do is ship your product to one of Amazon’s warehouses, FBA will take care of the rest. 
 
8.) Always communicate with your potential compromisers : Communication is key! One of the biggest mistakes sellers make when trying to sell their wares online is that they do not speak to their potential buyers. Make sure you welcome them in advance , tell them about yourself and your business , provide clear contact details and let people know that you’re available to answer any questions or  concerns they might have.


Most of all: Always make sure to follow Amazon’s rules: Be careful! One of the biggest dangers when it comes to selling on amazon are their Terms of Service . Make sure you read them fully, as well as all other additional rules which will come with using Amazon marketplace – this way you’ll avoid any unpleasant surprises later on. 

 
 
Sign up for Amazon Marketing Services: It’s no secret that Amazon loves giving away free promotion, so why not take advantage of some of those promotional programs they offer through Amazon Marketing  Services . Promoting your products through FBA , Webstore and A9 can definitely help to increase your revenue!!

 
 

Leave a Comment