Do you want to create a winning product on Amazon?

In this podcast, Arindam Paul, CBO of Atomberg Technologies, clearly explains how you should position yourself on E-commerce stores like Amazon

These are 8 lessons you should learn when you position your product on Amazon

1. How to find a winning product?:

If you already have a product idea, then please skip this. I don’t want you to get distracted.

You can follow these steps and start a winning product:

• Go to Amazon or any other E-Commerce platform

• Search for the category in which you want to start a product

• Look for the best-selling product, and if the reviews, feedback are bad, you've got the product

• Check what pain points the customers are facing because of the product

• Solve those problems and your product is ready to launch in the market

2. Revenue equation:

Revenue equation in Amazon = Traffic x Conversion Rate x Average Order

Traffic → Number of clicks on your product

Conversion Rate → Percentage of purchase from the traffic

Average Order → The average price at which your product is being sold

But why do you want to learn this?

In the above equation, you can see that Revenue is dependent on 3 factors, but the main factor is: Conversion Rate.

You cannot increase your average order price because the price should be reasonable, and the traffic is not a very good controllable factor.

Whereas the conversion rate is the only thing you can control through easy navigation, fast setup, feedback loops, and so on.

So remember, conversion rate will be the key factor.

Basics

3. Traffic Ways:

There are 2 ways to get traffic to your product:

 Organic Traffic: These clicks come from how you are going to market your product. You need to do marketing outside Amazon, such as promotion, SEO optimisation, customer feedback, and so on.

This type of traffic is very effective:

1. You don’t need to pay anything to the platform for such traffic

2. The platform will come to know that your product actually has a great demand and start listing top of the list organically.

 Paid Traffic: You pay a certain amount to Amazon for the clicks that you will get when a particular keyword is searched. For example, I will search “Leather Shoes”, so if you have paid a certain amount to Amazon for the “leather shoes” keyword, your product will be shown at the top of the list.

This is useful when your product has reached a certain threshold through organic traffic.

4. Perfect Listing:

This is the checklist for what a perfect product listing page should look like (you may modify according to your requirements):

• Hero Image(the first image) should display the best shot of your product

• Optional, but will play a vital role: Add a video of your product on the next page

• Remaining images should contain the features of the products

• There should be 4-5 bullet points in the listing explaining the Unique Feature of your product, all the features, and so on.

5. Operation changes your game:

This is the thing that matters once your customer places the order for your product

 Replication Strategy: Instead of keeping all your products in a single central warehouse, distribute your products across the region.

Why should you do this? Because customers always expect a fast delivery. According to Arindam, if your delivery time is more than 48 hours, your conversion rate decreases drastically.

Here are some questions you may have:

• How can I find a warehouse? There are some platforms that offer shared warehouses, like Delhivery, or you can contact some local warehouse dealers in the initial stages.

• On what basis should my quantity in the warehouse be? In the beginning, distribute equally and then monitor the sales in all the regions, and then start distributing according to the percentage of sales.

Next Steps

6. Ratings and Reviews:

Once you have delivered your product, the customer is now your boss. So you should deliver the best experience to your boss; only then will he give incentives.

For you, your customers’ ratings and reviews are incentives. Why? Your next customers will buy based on this. Amazon, or other platforms, will move to the top of the chart based on this.

If the customer is not satisfied with your product, contact them personally and solve the issue. It may take time and money, but it is worth doing for the long run.

7. New Gen is a blessing:

Today’s youth generation loves to try new things and experiment with them, not like our older generations, who are used to trusting a single brand for their whole lifetime. For example, if something is from TATA, our older generations would have bought it blindly.

Take advantage of this, add innovation, make it attractive, and sell it.

8. Customer is your product manager:

Consumer product category is something that you cannot figure out on your own. Your customers may have different expectations, and your product is solving a different problem, which will not work.

So talk to your customers, they will suggest a better product than yours, and try to align with them.

Conclusion:

Amazon is a huge marketplace, and it is not easy to penetrate. But if you do it in the right way, you could reduce some initial obstacles.
 
Remember, it is a huge ocean, and if you get a bucket of water from it, it is a huge amount of money.


Keep building yourself everyday!

P.S.: Ever wonder how AtomBerg uses these strategies in Amazon? Do check one of AtomBerg’s products on Amazon

P.S.S: Do you want a complete Amazon PlayBook Template? Just DM “Amazon” on my X.