So how do you navigate the Amazon waters?...and what if you really don't want to sell on Amazon? It's still so important that you have an understanding of how Amazon works, what consumers are saying about your products on Amazon and how you can control your brand's listings so that current and accurate information is being shared.
How Does Amazon Work?
A key feature of the Amazon platform is that the same product can be sold by multiple sellers. If several sellers offer the same product in "New" condition, they may compete for the "Buy Box" for that product. So a single listing of your item could potentially have 1 Seller or 100 Sellers. Amazon evaluates each seller based on several factors including Featured Merchant Status, price to the customer (including shipping), and product availability - then one seller is chosen to "win" the Buy Box. When a customer navigates to your product page on Amazon, the winning seller is the one who will get the order when the customer clicks "Add to Cart." It is this competition for the Buy Box that leads to sellers undercutting your MSRP.
Keeping Track of Consumer Reviews
It is so important to keep up with what consumers are saying about your items on Amazon, and everywhere on the internet. By reading Amazon reviews, you are able to hear valuable feedback from your consumers. You may find that everyone loves everything about your items! Often times, you'll read a similar issue that many people are having with the same product - which allows you to look further into it and react where necessary. Most of the time some clarification to your product description or instructions is all that's needed.
Managing Your Brand's Listings
Even if you don't want to list your products yourself (or sell direct to Amazon), in most cases you have at least one customer who is listing your items on Amazon - sometimes many customers, and you may not know who they really are! As a brand owner, you can gain control of the listing and make sure that the descriptions are accurate, the images are current and the overall messaging is consistent with your branding.