Would you eat an undercooked meal despite the dangers of food poisoning? What does it have to do with an Amazon product launch? It is easy to jump the gun when you’re hungry for the sales and success that you will get from your offering. Are you willing to risk your selling privileges for a half-baked Amazon product launch?
It’s quite a concern, but Seller Interactive has come up with a guide on how to successfully launch a product on Amazon. Here are the factors you should consider when launching a new product:
Don’t be another “me too” brand victim. These are the brands that are piggy-backing on the hottest trends in the market. Sure, a viral launch inspired by the latest bandwagon is an easy way to get your brand out there, but you’re also running the risk of fad-based buying intent. If you’re adamant about selling a product, try to recalibrate or upgrade it. Whether it’s an add-on feature or lower prices, your product must have at least one unique selling point, a competitive edge. According to a Forbes article, instead of following this knee-jerk reaction, look to what makes you different. In this way, when the waves of trend die, your product can stand on its own and continue selling.
In other words, create a comprehensive to-do list or laundry list. Launching a new product can make you excited and anxious at the same time. When emotions are high, you tend to forget or miss things, especially as the launch date nears. But having a list, no matter how long it is, gives you a sense of assurance that things are going as planned.
It would be better to write a complete list that includes pre-launch and post-launch tasks. Pre-launch covers tasks like searching for a product, choosing a supplier, and writing a product listing. On the other hand, post-launch is when you start optimizing your listings and setting up PPC campaigns to promote your product further.
Initially, your Amazon legal entity is a sole proprietorship where you mix personal and business life. But if you’re planning to scale your business, you may switch to LLC (Limited Liability Company), one of the most common separate legal entities in the marketplace.
You choose to stick with a sole proprietorship, but when a customer files a lawsuit against you, your personal and business assets are at stake. On the contrary, an LLC business may protect your company because you can still keep your assets to yourself, even if your business assets are wiped out.
You’re also obligated to have a separate bank account and credit card, which makes tracking your finances more manageable. Moreover, it boosts your reputation among customers as they see you as an established company.
Whether you want to operate as an LLC or not, you must first consult a lawyer specializing in Amazon business and legal entities. Remember that choosing a legal structure depends on the income level, business location, and your requirements as a business.
When you’re deciding which product to sell, ask yourself: who will buy this product? How can you determine this? Don’t rely on your instincts; instead, take a data-driven decision to choose the right product.
Your product idea must be high in demand with low competition. Sell a product between $15-50 to allow for healthy profit margins. Pick a product that you can improve to make it more saleable.
Make sure there are no existing patents or trademarks for your chosen product to avoid legal issues. Find also a product that is safe, easy to manufacture, and easy to ship.
Keep in mind that if you choose the wrong product to sell, your Amazon product launch may have a possibility to fail.
Determine if the product belongs to the restricted list because you must undergo a legal process to sell it. Examples of restricted products are cosmetics & skin/hair care, dietary supplements, electronics, food & beverage, jewelry & precious gems, medical devices & accessories, and surveillance equipment.
If your product idea belongs to the restricted list, you must get approval from Amazon first before even having an Amazon product launch. For example, cosmetics & skin/hair care products must be:
The success of your Amazon product launch doesn’t only depend on how in-demand your product is. It must come from a reliable and reputable source, as well. If your supplier is not Amazon-compliant, then your business will be in jeopardy.
You may check on Amazon if their products are getting impressive reviews or high star ratings. Find out their level of experience and of how long they’re making the product. Choose a supplier that has a fair pricing strategy and who is willing to answer all your questions.
How will you determine their level of professionalism and commitment to do business with you? Try a test run by ordering sample products from them. Rate them according to the quality of the product, speed of shipment, and communication.
High-quality products are not all about functionality and appearance. It must also pass under safety and hazard measures, especially if it’s a new product.
Have your products assessed before coming up with an Amazon product launch and selling them. Perform product testing while you’re still choosing a supplier. Once you’ve chosen three suppliers, ask for samples, and examine the product thoroughly.
Can I just ask the supplier if it is safe or not?
It would be better to hire third-party inspectors to test the products as they are more knowledgeable about safety standards.
Keep in mind that offering an untested product may cost your selling privileges on Amazon, and it may have legal consequences from suing customers. Your product must pass the safety and compliance rules of Amazon as it continues to strive to be the most customer-centric company in the world.
One of the Amazon product launch strategies to get your customers to love your product is wrapping it with attractive and practical packaging. It could help boost your sales and enhance your brand’s awareness on Amazon.
It is a way to stand apart from the thousands of products like yours. Your product’s packaging should be unique and beautiful. It is how customers can distinguish your product and recall it at a moment’s notice. “Ah, it is the one that has light blue packaging with a cool design!”
However, make sure that you still follow Amazon’s guidelines with regards to packaging and prep requirements. If you’re not creative at heart, ask for help from an experienced designer that can make your products pop online.
For most of us, Amazon is an online marketplace to buy products at an affordable price. But as an Amazon seller, you should always consider the platform a search engine if you want your product to rank high on the search results.
According to Moz.com, 54% of product searches are made on Amazon, making it the third-largest search engine in the world. It is different from Google, though. Because, besides searching for products, its A9 algorithm ranks products that can sell or customers will most likely buy.
For “pleasing” A9, you must target these metrics: sales velocity, CTR (click-through rate), and conversion rate. Don’t forget to satisfy your customers as well by offering them a high-quality product and excellent service.
While we’re on the topic of making A9 and your customers happy, you should know how to optimize Amazon listing. An Amazon listing or a product detail page is like a virtual storefront for your products, and the way you structure it will determine if it is worthy of winning the Buy Box.
Here is a short crash course on how to optimize Amazon listing:
It is the first thing customers will see when they’re searching for a product. The customers may see your product if it passes A9’s requirements, including keyword relevancy and conversion rate. Maximize its 200 characters by doing the following:
Capitalize the first letter of each word except for conjunctions, articles, and prepositions.
It is a precious space where you can mention the five main features of your product. When you’re writing the key features, keep in mind this question: how can it solve my customer’s pain points or problems? Here are other tips for creating optimized product features:
You can say here whatever you missed out in the key features section. Try explaining further your five top features and how they can help the customers. Enhance it by doing the following:
Other than the product title, the photos are what catch the attention of the customers first. Your product photos should tell a story and show the actual size of your product. Impress your customers by doing these:
If you’re interested in selling Prime on Amazon, then the first thing you need to decide upon is your fulfillment strategy. As an Amazon seller, you’re not limited to how you can deliver your products to your customers. But if you want to be an Amazon Prime seller, the speed of the delivery matters the most.
One of the perks Prime members enjoy is the same-day or two-day shipping. However, on your part, it may put a lot of pressure on you to fulfill Amazon’s promise to its high intent customers.
That is why it is vital to devise an effective fulfillment strategy. There are different types of fulfillment strategies, as mentioned below:
What is good about dropshipping is the supplier will be the one to ship the order to the customer. You’re not holding any physical inventory as it directly comes from the supplier.
Dropshipping may seem a convenient method to ship orders considering some online apps can automate the process. However, it has several drawbacks, such as slow or late delivery times, especially if your supplier is overseas. Another disadvantage is the lack of quality control. You can’t control the product’s quality since the shipping is between the customer and supplier only.
SFP (Seller Fulfilled Prime)
It is a program for Amazon sellers who want to be Prime-eligible. SFP follows strict guidelines and selection criteria so your products can have a shiny blue badge.
In this program, you’re responsible for storing the inventory, delivering the orders, handling returns, and customer service. As for the selection process, you must accomplish the following:
These are quite difficult to attain since you’re only starting on Amazon. The two-day shipping requirement might hurt your business. Good thing there is FBA, which we will discuss next.
FBA (Fulfillment by Amazon)
It is like dropshipping a la Amazon. When you’re under the FBA program, you’re automatically considered as a Prime Amazon seller. Plus, Amazon will handle the picking, packing, and shipment.
Amazon’s fulfillment centers are committed to the two-day or same-day shipping process. Besides, they will also take care of your returns and customer queries.
All you have to do is learn more about optimizing Amazon listings and market them to success.
Typically, promotions or advertising campaigns come after you launch your product. It was like your “plan B” when your Amazon product launch didn’t go well. Or you want to maintain the hype of your successful product launch.
Amazon has its PPC (pay-per-click) campaigns, namely, sponsored products and sponsored brands. It has different features but with one goal: to promote your product within Amazon pages.
Sponsored product ads help market individual listings. You don’t have to create content for it since Amazon pulls it out of your listings. On the other hand, sponsored brand ads boost your products’ visibility, but you have to build content for them.
You must plan your Amazon PPC campaign ahead of time to gain more traction as you establish your presence in the Amazon marketplace.
If you want to shield yourself from unfair business practices on Amazon, you better register in Amazon Brand Registry before deciding the date of your Amazon product launch.
What is a Brand Registry? It gives you complete control over your listings to confirm their authenticity and access to tools that can help you report any potential infringement. Moreover, it enables you to scale your business as it allows you to have A+ content (more on this later), Amazon PPC sponsored ads, Amazon stores, and many more.
Remember that you need an active trademark to sign up. Another plus point since a trademark can also protect your brand from listing hijackers and counterfeiters.
It is a product description version 2.0. You can add enhanced product images, comparison charts, and videos to the content. This premium multimedia space within the product listing page gives you more chances to drive traffic and sales.
Humans are visual beings, and A+ content helps improve user experience. Although Amazon’s A9 does not index it, Google’s algorithm considers it, and its contents may appear on its search results. So it is like you’re also advertising your products on the largest search engine worldwide.
A successful Amazon product launch isn’t done overnight or for a week. It takes months of preparation to come up with a foolproof Amazon product launch strategy. You must know how to optimize a product listing and do it regularly. You should be fully adept at how to sell Prime on Amazon. On top of that, make sure you didn’t miss any of the tips above if you want your hard work to bear fruit.
If you want to understand more about executing an Amazon product launch, Seller Interactive has a team of expert Amazon consultants willing to help you plan an Amazon launch service fit for your business. For inquiries, email [email protected]
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