Educate Yourself Ahead of Selling on Amazon
28
Mar

Educate Yourself Ahead of Selling on Amazon

Amazon is an expansive and complex marketplace.  Consumers love it because it is user-friendly, and it enables shoppers to navigate huge stocks of merchandise with just a few clicks.

Sellers love Amazon, too, but for different reasons.  Amazon allows anyone to become an entrepreneur.  However, there’s more to Amazon than just posting products.  Before getting started on Amazon, it’s vital to understand some key terms and processes.

FBA

This service is “Fulfillment by Amazon.”  This frees you up to run your business while Amazon handles the rest.  Amazon sellers can send their merchandise to one of Amazon’s fulfillment centers.  Amazon will stock the products and ship them out when customers purchase them.

Buy Box?  Huh?

The Buy Box is a highlighted call-to-action area on a product page.  When customers click on this, they can add items to their shopping carts instantly and move one step closer to purchasing.  If your site ranks high enough, you can win the Buy Box for your product, meaning you become the default seller for products added to a buyer’s cart.

How do you win the Buy Box?

Winning the Buy Box is tricky—especially if there are a lot of people selling similar products on Amazon. But there are some things that you can do to increase your rankings on Amazon and move you closer to the Buy Box holy grail.

  • Don’t enter saturated markets—If there is already a glut of people selling a certain product, consider selling something different. If you can offer items in categories with very little competition, you can increase your standing on Amazon.
  • Work for reviews—If you have a lot of glowing reviews for your product, you’ll almost always outsell a similar product with fewer positive reviews. Merchants are not allowed to solicit or pay for seller reviews, but when you offer stellar products and customer service, the reviews will roll in naturally.
  • Earn a reputation—If you’re a trusted merchant with a long, strong track record, you’ll be more likely to win the Buy Box. Hang in there for the long haul and do right by your customers.
  • Price competitively—Make sure that your product and shipping prices are as good as or better than the competition’s. If you are trying to break into a new market, try pricing an item very low.  This can get you some initial attention that will pay off in improved rankings.

Amazon is not for the easily discouraged.  There’s a lot to learn and many processes to navigate, but as you get more experience and start to increase your seller rankings, your profits will increase, too.  If you need more information, attend Amazon seller expos to meet service providers and learn from e-commerce experts.