Hi everyone, I'm Priyanka Prakash, senior staff writer at Fundera.
If you're an entrepreneur in the ecommerce industry, it's no secret that selling on Amazon
can help you maximize your customer base and revenue.
More than 50% of Amazon sales come from third party sellers, so selling your goods on the
platform is a great way to tap into the power of Amazon and increase your business's reach.
In this video, we're going to cover five proven selling on Amazon tips that will help you
quickly go from beginner to pro.
Let's get started with our first tip.
Our first tip for selling on Amazon is to keep tabs on your inventory.
How many times have you gone to place an Amazon order as a customer only to find that the
item is unavailable?
Fortunately, this is an easily avoidable problem for Amazon sellers.
If you use your own inventory management software, make sure you've synced it up with your Amazon
seller account.
That way, you can see inventory totals across your Amazon product categories, and you can
receive reorder alerts when stock hits a certain low.
Some inventory software tools even allow you to set up automatic reorders when stock hits
a specific low point.
If you use Fulfillment by Amazon, then you can run reports in your seller dashboard showing
historic inventory levels.
That should help you plan for the following months.
Our second tip for selling on Amazon is to get five-star reviews for your products.
Getting good product ratings seems like a no brainer, but this is something that new
businesses often forget to focus on.
It takes time and work to develop five-star ratings on your different product listings.
Be very careful to ensure that your product information is complete and accurate.
Many customers use the Amazon question and answers feature to learn more about a product.
It's fine to let other customers answer some questions on your behalf, but it lends more
authority to a product when the seller directly answers questions as well.
Another smart idea is to use packaging inserts to solicit reviews from your customers.
Here's a sample page where a necklace seller on Amazon has garnered very positive reviews
for their products and answered several customer questions about the product.
For example, the seller has answered questions about the necklace’s length and whether
it's adjustable.
People will be more likely to buy this product since the seller has provided clear details.
Customers have also followed up with five-star reviews.
Our third tip for selling on Amazon is to optimize your listings.
Don't forget about SEO (search engine optimization) when you list your products for sale on Amazon.
Amazon lists product results to closely match up with what customers are typing into the
search box, and many Amazon listings make their way into Google search results, so SEO
is particularly important for boosting your sales.
Make sure your product titles and descriptions are user-centric and contain the key terms
that a customer would use when shopping around for your type of product.
Your brand name, product color, product size, product quantity (if applicable), and any
other key attributes should appear in your product title.
Here's an example of an Amazon seller with a solid SEO strategy.
You can see the seller’s brand name in the title, you know you're getting a set of six
lipsticks, and the title includes several keywords that customers might be searching
for related to lipsticks, such as waterproof or matte.
Our fourth selling on Amazon tip is to keep pricing accurate and up to date.
The one thing that keeps customers coming back to Amazon is the ability to get the best
prices on the best products.
As a seller, it's super important to keep tabs on your competitors’ prices and then
try to out compete them.
There are several ways you can do this.
Option one is to offer a coupon.
Third party Amazon sellers can now offer a coupon on their product page to entice buyers
to add to cart.
Here's an example of a seller offering a 10% coupon.
Another option is to offer a Lightning Deal.
With a Lightning Deal, you offer a specific quantity of items at a reduced price for a
period of less than 12 hours.
This can give a quick boost to your sales.
But to qualify, you need a professional Amazon seller account, your product should be prime
eligible, you need to receive at least five seller feedback ratings per month, and the
product must have at least a three-star rating.
There are fees associated with Lightning Deal participation, but these are usually offset
by the rise in sales.
Yet another option is to participate in Deal of the Day.
This is similar to a Lightning Deal offer, but typically lasts for 24 hours.
The qualification criteria are similar to Lightning Deals, but Amazon uses more discretion
in choosing Deals of the Day, so it can be harder for new sellers to utilize this tool.
To access price savings, customers can either navigate directly to a product page, or search
the Today’s Deals page from the Amazon homepage.
And remember, if you can't beat a competitor on price, an alternative way to entice buyers
is to offer free shipping.
Free shipping is something that customers have come to expect on Amazon, so by offering
this you give customers more reasons to choose your product.
If you use Fulfillment by Amazon to fulfill customer orders, we also recommend making
your products Prime Eligible so they automatically come with free shipping.
Select sellers can also fulfill their own orders and offer Prime shipping.
And our final tip for selling on Amazon is to win the Amazon Buy Box.
The Buy Box appears to the right of the product page and invites customers to either buy the
item instantly, add the item to their cart, or add the item to a Dash button or wish list.
The Buy Box is especially prominent on mobile.
For highly sought after products, winning the Buy Box won't be easy for a new seller
because of the level of competition.
However, in product categories where competition isn't as high, even a new seller can win the
Buy Box.
To increase your chances of winning the Buy Box, use Fulfillment by Amazon to fulfill
your orders.
Always have inventory in stock of your product, or Amazon will just rotate to another seller.
Solicit positive reviews for your product.
Offer the lowest price on your product, and offer the fastest shipping time
And that wraps up our five tips for selling on Amazon.
Armed with these tips, you should be able to quickly go from a newbie Amazon seller
to a pro.
For more insights on selling through a variety of channels, check out fundera.com/blog and
subscribe to our YouTube channel for more videos.
Thanks for watching.