SHOULD I START SELLING ON AMAZON?
“Getting ready to sell on Amazon? Buckle up buttercup! You're in for a wild ride!”
FIRST THINGS FIRST...
We all know and love Amazon from a consumer perspective - the convenience, variety, quality, reliability - but what about the brands of the world out there doing what they do best that can now claim the official title of Amazon Seller?
What does it entail exactly to be a brand that Amazon welcomes and approves as one of their sellers and how do you know if it’s right for you? (To learn more about how to be invited onto the Amazon platform click HERE.)
Here’s the deal, it’s not for everyone. There are variables to consider to ensure it’s the next right step for your brand that will result in the goals that you, as the owner, are looking to achieve short and long term.
Before we get to the five things for you to consider, within these variables there are a few questions that need to be on your radar first. Read them, let it simmer, read them again, talk to your team, write down your answers and then we can move forward. Ready, GO
What is my brand mission?
Who is my target audience?
What am I selling?
Why am I selling on Amazon?
What would be my goals for selling on Amazon?
Does my target audience shop on Amazon or would I be tapping into a new audience? Is this a short or long term decision?
Yes, these are some big questions, but the goal of answering these big picture branding questions is to take the answers you come up with and determine whether they align with your brand and with the potential of your brand transitioning onto the Amazon platform.
NOW, WHAT’S NEXT?
Here are FIVE things to consider before even beginning the transition to becoming a seller on Amazon:
1. Short Term Top Line Growth | What does short term top line growth even mean? The expectation of your brand or products’ success for the next 6-12 months is not to be profitable but to maximize growth based on the 80/20 rule (future article). For most brands, the top 20% of your products generate 80% of your revenue. This is where you take a minute to think about how this applies to your brand - understanding which products from your catalog are in the top 20% in terms of revenue and exploit them to maximize your brand’s traffic, audience relevance and exposure. THIS IS KEY, but listen closely… you cannot expect to be profitable on those items YET because everything you get from those products must be reinvested in order to achieve the desired Top Line Growth (to learn more about the difference between Short Term Top Line Growth and Long Term Business click HERE)
2. Long Term Business | Long term business is when your products have already achieved maturity and profitability and are running on autopilot for your brand. This means you have already identified which products are your cash cows, rising stars and dogs. Simply put, your Cash Cow Products ensure you remain in business (bring the revenue) your Rising Stars give you long term momentum (bring you a competitive edge) and your Dogs (give your catalog texterity and legitimize your brand even though they may not generate much revenue, also called areas of opportunity).
Your cash cows often get most of the love and reviews from customers, contains high quality content and claims the majority of investments within your advertising. This is where you start to generate some of that autopilot momentum.
3. New Platform Brand Exposure / New Audience | Where does your target audience like to shop? Think about the virtual platforms your customers are shopping from. Does Amazon fit into the mix or would you be exposing your brand to a brand new audience? Think about how your marketing is supporting your brand exposure on your current platforms. Your products should be as accessible as possible where your target audience is hanging out virtually. Are you ready to develop a new strategy surrounding new customer acquisition? Would adding the additional platform (Amazon) expand the reach of your brand exposure that in turn results in reaching your short and long term profitability goals? The purpose of brand awareness is connecting consumers to your product and identity within your brand. What are your current platforms doing to elevate your brand and separate you from your competition? Would being on Amazon support or defer from this?
4. Brand Alignment | Think back to those questions we asked before - the platforms where you’re marketing and selling your product should support the mission vision, values of your company. There is value in targeting, one, and there is also value in expanding your reach to multiple if it aligns with your brand and goals. There is no one
size fits all for maximum profitability and brand exposure on virtual platforms. Gain a concrete perspective on who your target audience is, the mission, vision, values and assess where your brand fits in.
5. Brand Legitimacy | Beyond brand alignment with the virtual platforms you choose, something that factors in tremendously is if those platforms support the legitimacy of your brand. You’ve worked your butt off to do all the steps to get you to where you are now, don’t let a platform keep you from your brand’s integrity, credibility and authenticity. Amazon has proved itself time and time again that it supports and authenticates the legitimacy of brands on their platform through programs such as Brand Registry, Project
Zero, Launchpad, Transparency, and more (to learn more about these programs click HERE). These are many of the major benefits available to sellers on the Amazon platform. As we all know, Amazon claims to be the “The most customer centric company in the world” and if that is true, supplying customers with brand integrity and legitimacy should also be your top priority in order to connect with this audience.
Your gut telling you it’s go-time in selling on Amazon? Let’s do this. Click HERE to learn How to Build a Brand from Scratch on Amazon.
Want more like this? The Trisbell team is here to take your brand next level on Amazon. We’dlove to hear from you on how we can support you and your success. Contact usHERE!