Everyone is aware of the unique opportunity that Amazon offers to manufacturing brands (1P). In all its categories and subcategories a large number of brands compete for the leadership in sales. However, at Amazon, the competition is not only the other brands in the category, but also the sellers of the brand’s own products (3P). Sometimes these sellers lower their prices and take over the buy box, which is a problem in terms of sales. Faced with this situation, brands are asking themselves how they can cope with them to maximize their sales.
The main problem that this kind of sealer can cause is the disorder of the catalogue and, as a consequence, the loss of sales. How can they produce this disorder?
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- By circumventing the policies required by Amazon.
- By lowering the prices of the current listings.
- By selling products beyond their assigned life cycle.
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Attract traffic and improve positioning
To address this issue, at Vendor Central, manufacturing brands have at their disposal the pay-per-click advertising platform, Sponsored Ads. Thanks to this platform, they can develop strategies that allow them to direct consumers to the stores and product sheets that interest them in order to position themselves better than the sellers.
By using Sponsored Brands, brands can drive traffic to their store so that consumers can see their entire catalog. The advantage of this kind of advertising is that they continue to appear even if you have run out of stock of some of your products. But, above all, you will have a more favorable positioning for conversion than your ASIN competitors.
On the other hand, Sponsored Products and Sponsored Display allow you to direct consumers to specific ASINs. Thanks to this type of advertising, brands can ensure that their leading or newest products are the ones that consumers see most.
Maximize conversions
In many cases, brands carry a share of useless advertising expenditure, which they do not know how to get rid of. To reduce this, it is necessary to implement a highly segmented campaign structure. First you can start with a Sponsored Brands campaign to ensure that the leading or newest products of the brand appear in preference to the older ones. However, to maximize conversions, the keyword structure designed should include broad or phrase matches to ensure that the products the brand wants to sell are the first ones the user finds.
The customer’s experience in the purchasing process is an issue that Amazon works hard to ensure is as satisfactory as possible. Therefore, it has been developing different tools that help to achieve this goal. Thanks to them, brands can make indications about the products in their catalogue that differentiate old products from new or updated ones (e.g. Model 2015). At the same time, the brands, owners of the products and therefore of the store and the detail pages, can worsen the quality or make certain old or less interesting products less attractive for sale (remove photos, reduce quality, reduce description and eliminate the A+, etc.). However, it is important that you measure the balance between what you gain from it and what you may lose at the image level. Through these actions, brands minimize traffic to these products.
At Amazing | Amazon Data Driven Agency, we are well aware that this problem is suffered by most brands. Therefore, we have a team of advertising specialists at Amazon that develop strategies for brand defense and attack through pay-per-click advertising to maximize our clients’ sales.
We are an agency specialized in helping sellers in the marketing and advertising management on Amazon
