Amazon sellers have noticed the significant boom in the number of shoppers, sales, and profits sparked by the pandemic. But the steep increase in CPCs throughout 2021 has become difficult to combat. With an increase of 14.3% YoY for sponsored products and 7.5% YoY for sponsored brands, sellers have had to rethink their advertising budgets.
In the recent Serious Sellers podcast, Helium 10 discussed this with Pacvue’s President and Co-founder Melissa Burdick as the creator of Amazon’s first sponsored video ad. In this blog, we’ll cover the best campaign optimization practices for sellers, an overview of Amazon’s brand registry program, automating inventory management, and some of Amazon’s newest features.
Campaign Optimization Practices for Better Conversions
Visual content is a crucial element to impactful advertising on Amazon. Optimized product displays include updated images along with a product video that displays a 360° view for prospective buyers. Digital merchandising has become essential to increasing conversions. This Pacvue blog includes key figures highlighting how best to leverage video content for sellers.
Once you have the product up and ready to sell, the next step is to choose the right keywords. Having a multi-keyword campaign is an effective way to capitalize on Amazon’s algorithm and increase your brand’s visibility. Additionally, Pacvue now offers an enhanced keyword research tool using Helium 10’s data to help sellers rank on Amazon.
As your brand grows, you need to ensure your products are being promoted where they are most likely to be added in carts by consumers. Bid placement modifiers are an excellent way of ensuring you stay relevant to the search query and optimize for better conversions.
Another important feature to utilize is dayparting. Although Amazon automatically schedules campaigns to begin and end at midnight, you should utilize third-party tools to ensure you don’t run out of budget too early during the day. Marketing resources are limited, so avoid aggressive bidding during peak times and instead focus on getting the highest ROIs strategically.
Leverage Amazon’s Brand Registry Program
Amazon offers its sellers a Brand Registry Program, which is a nifty tool with a lot of underutilized features to squeeze the most out of your advertising. Tools like A+ Content, Amazon Posts, virtual product bundles, Amazon Stores, and video ads are all solutions you can use as a registered brand seller.
These allow you to gain an edge over your competitors and build your brand image over time. This way, you can create a pool of regular customers to target and remarket during peak sale seasons throughout the year.
Once you set up your Amazon’s Brand Registry program, you will also find it easier to dive into your store’s weekly, monthly, and seasonal performance stats. You can pinpoint what works and what doesn’t, optimizing for both efficiently.
Automate Inventory Management
One of the most underrated tips for Amazon sellers is understanding your stock and the effects your supply chain can have on your brand’s image, customer loyalty, shipping costs, and more.
The easiest way to combat this is by creating email alerts for items that are about to run out of stock. Amazon recently increased its FBA fees/costs, so you should always make sure you have your advertised products well in stock for sales.
Avoid spending your precious resources by running ads for products that are or will soon be out of stock, as that leaves a bad taste with your prospective consumers and impacts the brand negatively. Instead, keep an agile budget allotment system in place to promote items that fit into smaller package sizes and save you shipping costs.
New Amazon Features You Must Know
As the last segment of the blog, we want to give you a quick run-through of 4 of the newly introduced features, tools, and techniques on Amazon for sellers.
- Amazon Live Program: The Amazon Live program is exclusive to brands who have enrolled in the Brand Registry Program. In real-time, you can share insights into your brand, get Amazon influencers to promote your products and skyrocket your sales.
- Amazon Attribution: This is Amazon’s way of sharing your brand’s growth rate on the eCommerce platform. You can measure your ad performance, access full-funnel analytics, and optimize your advertisements for maximum returns.
- The "Follow” Button: This feature has been creating waves in the industry since its introduction. Each brand page on Amazon now comes equipped with a “follow” button, mimicking social media interactions and helping you form better relationships with loyal customers.
- MYCE Tool: The MYCE, or Manage Your Customer Engagement tool, allows brands to send email marketing campaigns to customers who follow your brand page on Amazon stores. You get direct access to learn about their preferences, promote sales, and boost your engagement on the platform throughout the year.
With this blog, you have been handed the keys to taking your brand to the next level using Amazon advertising. To learn more about Amazon’s Q4 earnings report 2021, and the best ways to leverage a multi-channel business, listen to the Serious Sellers podcast episode featuring Melissa Burdick here.