Mistakes are a part of the business journey, but they can cause huge losses if not fixed on time. Therefore, whether it is a startup, an SME, or an online seller of an eCommerce platform, everyone tries to avoid mistakes as it significantly impacts their business as a whole.
Online marketplaces like Amazon, eBay have become favourite platforms as they allow people to become their own boss and earn from their comfort. Every 3 out of 5 people have become an Amazon seller today, and why not? This platform gives you both thrills and an opportunity to make money in huge digits.
Today, Amazon has become the top eCommerce marketplace globally; it came as a robust business tool that online sellers cannot afford to ignore.
According to a recent report by Statista- In 2017, Amazon’s market share was 37% in the U.S. e-commerce retail market, which was expected to increase significantly by 2021. As of the date of the survey, it has been projected that Amazon’s market share will account for 50% of the entire e-commerce retail market’s gross merchandise volume (GMV).
Undoubtedly, Amazon is the leader in online sales, and if you plan to become an online seller on Amazon, congrats, you are on the profitable side. Selling on Amazon is not easy as it looks; it is highly competitive. However, Amazon has transparent and crystal clear selling policies and practices to help retailers avoid errors, but it still happens. If you are a beginner on Amazon, you might make mistakes at times. But it’s better to find out how to avoid them when they affect your business.
This blog will guide you with the critical mistakes every seller must take care of to make better money from the platform.
Top 6 Mistakes To Avoid As An Amazon Seller
- Don’t rush while picking a niche- Discovering a niche is crucial before initiating an online selling business on Amazon. The sellers often choose a niche that is already oversaturated with products they find feasible for their business.
It is a common mistake that often happens due to a lack of market knowledge and competitor analysis. Here, thorough research of the product, market, and competition plays a vital role that every business must do. If a seller thoughtlessly chooses a product without proper analysis, things will certainly not be in their favour.
Another main reason for choosing a niche first is the established competitors present in the market. The market is already jammed with businesses delivering similar products and services. If you are new to the market, it would be difficult for you to give fierce competition to the current marketers.
Hence, it is one of the biggest mistakes you can avoid before starting an Amazon selling business.
To help you in selecting your niche accurately, you can go for professional Amazon Seller Consulting Services. These professional service providers hold expertise in the eCommerce marketplace, understand your business goals, and help you with strategic marketing plans based on data-driven approaches.
- Don’t Forget to optimize Product Listings- Amazon Product Listing is another most significant factor that sellers must consider before diving into the selling market. Amazon Product Listings is a product page for the items that you want to sell on Amazon.
This page is packed with information like product description, images, title, bullet points, tags, and prices, describing your product well to your end-users. Whenever a shopper visits the Amazon platform, they use these product listings for their purchase. Therefore, you need to keep your product listing section optimized, updated, and error-free if you are a beginner.
The other reason that makes Amazon Product listing demanding is that it supports your product to be visible on Amazon searches and motivates shoppers to buy your product.
For an effective product listing, the thing that matters the most is the content and format; these two aspects clearly define your product over the Amazon platform. If the product’s information is not accurate or incomplete, you will witness the user’s bounce rates in high numbers. This negatively impacts your business;
To keep your products searchable and clickable, make sure you put extra effort into the product listings. However, as an Amazon seller, your primary focus is on increasing sales rather than listings new products. Here you need expert Amazon Product Listing Services to help you run your seller’s account and boost your business.
- Never Ignore your Competition- As new to Amazon selling business, you might not have enough ideas about the competition, but when you start putting your product on sale, make sure you know who your real competitors are.
Ignoring competitors is one of the biggest common mistakes sellers make while doing business. As a result, they see a fall in their visitor’s numbers and sales. Keeping track of your competitors helps you to empower your product and strategize the marketing plan that makes you outperform them.
You can boost your product selling in many ways; you only require to keep a close eye on your competitor’s activities. You must focus on several factors and gain intelligent insights, including competitor keyword ranking, best seller ranking changes, listing improvements, pricing changes, seller rating, and reviews.
Pricing is the crucial factor that marks a significant difference between you and your competitor’s offerings. To sell more products, sellers often lower down their prices and make their products extremely cheap. It is one of the most significant setbacks that only causes loss.
The other competitors might have low prices, but one thing to keep in mind is the buying power of your competitors—the buying power of purchasing products at wholesale prices with low shipping costs. And as a new seller, it is not possible for you to have strong buying power at the start. Hence never try this at first.
To get the best idea about your competitor’s pricing strategies, use competitor price tracking services. These services help you to monitor and compare the competitor’s prices and increase your sales growth & profit margins. As per a study
- Never Compromise with the Customer Services- Customer service is the most critical factor every business pays attention to. Today, customers’ loyalty no longer stays with the price or product; instead, they remain loyal due to the experience they get from the companies.
These stats define how vital customer service is for the success of your business. It is entirely natural that after letting down by companies in their services, customers always hesitate to buy from them again. Therefore, with every customer visit or purchase, you need to be prepared with the issues as well.
How efficiently you resolved your customer’s problems play a vital role in determining their turnaround time with your business. Their issues can be related to anything; they can be connected to expensive shipping, late shipping, packaging, defective items, broken seals; here, what matters most is the time and patience you’ll take to resolve these problems. If you fail to address their concerns, you might lose your customers forever.
Here, taking online customer support services can be a profitable idea for your business, as it helps you deliver excellent customer services to your customers across multiple support channels.
Make sure that you provide your customers with a stellar customer experience from start to finish. It only expands your customer base but can lead to tremendous business growth in terms of revenues as well.
- Don’t Negotiate with Product Advertising- Marketing is a robust tool that helps you to showcase your product and services in the market splendidly. It aids in boosting your brand image and business reach to new customers. Amazon already provides a platform to expand your business presence globally and enhance your sales.
Many sellers still fail to grab this opportunity, as they find Amazon’s marketing requirements complex. There is already aggressive competition within the marketplace; hence building a strong position in the market is the most challenging task for new sellers.
To streamline business performance and profitability, you must put effort into engaging brand image, optimizing listings for conversion, and improving ranking and brand affinity.
Setting up an account on Amazon is one thing but managing, updating, and selling the products are the critical areas where most businesses fail. Here Amazon Marketplace Management Services play the role of the right partner that can help you with several services right from advertising optimization, cataloging, brand content creation, product optimization to advertising, accounting, account creation, management, and product listings.
- Lack of strategy for Amazon PPC Campaigns- This point is more relevant to Amazon sellers who are new to the platform. The Amazon Sponsored Products missions can be a gold mine for sellers, but only if they are performed flawlessly. The Amazon PPC crusades are a whole different thing than what it looks like.
Before venturing into the exciting world of Amazon advertising, Amazon sellers, especially newcomers, must carefully consider all of the vital aspects.
Massive improvement and consistent management characterize Amazon PPC campaigns. Setting up a marketing campaign without a proper plan in place will result in a negative return on investment, and your company could end up losing a lot of money.
You may end up making several mistakes if you are a new seller on Amazon, and it is entirely acceptable. You must keep in mind that it is a broad platform packed with unlimited products, services, and competition.
Therefore it is highly strict with the selling policies and businesses. If you made some mistakes, try to learn from them. Don’t let these mistakes overstress you. It is possible to get ahead of them by implementing the right set of strategies and plans or hire professional Amazon seller consulting services.
Hopefully, this blog has helped you with the things to keep in mind before starting Amazon online selling business and prevent you from making big mistakes that could doom your Amazon selling business.
If you wish to start Amazon selling business or any other eCommerce-based solutions, feel free to contact us. We are a leading eCommerce catalog and product data management services provider that assists you with the complete eCommerce-based solutions right from Amazon seller consulting services to eCommerce product image editing services. We will be glad to hear from you.