Scaling Your Amazon Business with these 5 Simple Tips
- Amazon, eCommerce

Scaling Your Amazon Business with these 5 Simple Tips

Starting an Amazon business is relatively simple, providing quality products and a well-managed supply chain. On the other hand, scaling your company presents its challenges. There is no secret formula to achieving instant success or growing your business overnight. Still, there are specific steps that you can take to accelerate the growth and expand your online business to the next level. Here are five steps to take your Amazon business to the next level:

Diversify Product Range

Once you’re already selling in a specific product category and start seeing some success, it is essential to continuously build on the momentum by developing new products and diversifying your product range. Getting up and running is the easy part.

Reinvest your profits into developing a more comprehensive range of products in your category to build your brand and gain exposure for a competitive advantage. This can also be done by adding child ASINs/SKUs through color, size, or pack quantity variations to high-performing listings with established sales history and ranking to gain higher and faster exposure. In addition, developing new products or adding variations to diversify existing products will also cater to your already existing customers who are loyal to your brand and want to buy more of your products.

Developing new products over time is a great way to boost your revenue. However, it is not as simple as listing random effects for the sake of diversifying your range. Instead, do your research on Amazon and take your time with a competitive analysis to understand what is selling in the marketplace. Customers are spoilt with limitless options now. The best way for exposure and clicks that ultimately lead to sales is to have a professional listing with high-quality images, content, and a high-quality product with a competitive market price.

Optimize and Refresh Existing Listings

In addition to focusing on diversifying your product range to scale your Amazon business, it is also essential to review your existing product listings to improve the content. This will allow you to stay relevant to consumer searches and your competitors. This will directly affect your Amazon organic rankings, visibility, conversion, and revenue.

Improve your Amazon SEO by refreshing content in your product titles, descriptions, bullet points, and search terms to capture as many consumer searches as possible. Having an optimized product listing with high volume searched keywords will help improve sales by assisting customers in finding your product with the most relevant inquiries to your listings. The more relevant your content is to the searches consumers are doing, the more likely you are to get impressions, clicks, and conversions.

Now that your content is optimized and visible in the searches relevant to what the consumer is looking for, the following essential step is to entice the consumer to want to click on your listing to generate a sale. Consumers are becoming more tech-savvy, with most shopping now happening via smartphones. People do not spend their time reading titles, descriptions, and features of the products as they prefer to engage visually. Consumers will decide to click on your product listings with high-quality imagery and attractive infographics. Professional-looking images will directly affect your click-through rates and conversion rates which will, in turn, boost your rankings in the organic search results.

Continually optimizing your Amazon listings by refreshing your content and updating your images will enable you to capture search results and secure clicks from customers leading to more sales on Amazon.

Inventory Management

One of the most challenging and integral aspects of running an e-commerce business is inventory management. With all the marketing efforts to increase sales and customers, entrepreneurs often look past the importance of managing their inventory. However, failing to adapt to the increase in demand can significantly impact the growth and scaling of your business.

The consequence of poor inventory management on Amazon can lead to a rapid decline in organic rankings, which leads to your sales and revenue plummeting. However, forecasting demand and using data analysis on previous sales history can help you stay on top of managing your inventory.

At the other end of the scale, inventory management also means ensuring that you are not over-ordering or carrying excess stock, as every unit you hold represents money that has been invested. Managing cash flow is a game-changer when it comes to scaling your business. It is an essential strategy within your business that allows you to have a competitive advantage, or it can ultimately lead to the downfall of your business. When you can efficiently manage your inventory and supply chain, it can also help you reduce the costs of carrying excess inventory while maximizing your sales.

Take Advantage of FBA

Using Fulfilled by Amazon (FBA) is a strategic way to expand your Amazon business if you’re not already doing so. Taking advantage of Amazon’s fulfillment service, which fully handles picking, packing, and shipping your orders, will help you scale your Amazon business. By outsourcing the storage, fulfillment, and customer service to Amazon’s experts, you can allocate your resources and concentrate on your core business and your supply chain management.

Scaling your Amazon business
Scaling Your Amazon Business

With your products in FBA centers, your products automatically qualify for Amazon Prime, which will give you visibility and help expand your customer base tremendously. It is estimated that Amazon memberships have doubled in the past two years to more than 90 million people in the USA, and about 60% of Amazon shoppers in the US are prime members.

Selling with FBA will attract Prime members to your listing as they know they can rely on Amazon’s trusted customer service and free returns process. Using FBA can help you scale your business by reaching more customers through Prime memberships. Outsourcing the fulfillment operation gives you the time to focus on expanding your business with the strategies mentioned in the points above.

Amazon also offers a Multi-Channel Fulfillment program (MCF) which allows you to sell on other channels and have Amazon FBA provide the fulfillment for these orders. Outsourcing all fulfillment to Amazon is a great opportunity, mainly if you already use FBA. You are centralizing your inventory in one place, and having orders fulfilled by FBA for all your sales channels will give you much more control of your list.

Amazon Prime - Scaling Your Amazon Business with these 5 Simple Tips
Amazon Prime – Scaling Your Amazon Business with these 5 Simple Tips

Expand Your Online Presence

To grow your business, a natural step is to expand your sales channel and online presence beyond Amazon. It can be challenging to navigate and determine the right sales channels for your business when there are many different online marketplaces. However, one of the critical aspects of having a digitally native brand is having your standalone retail website.

Having your eCommerce website allows you to have much more control over every aspect of managing your selling environment. Ultimately, by selling on your website platform, you own the customer relationship and access your customer’s data to expand your business. It is more challenging to acquire traffic and convert transactions than selling on mega marketplaces such as Amazon; however, having an established standalone website provides more credibility for your brand overall. In addition, operating your business through various channels and avenues offers business and brand security and more room for generating sales.

Business growth comes from making smart decisions. You are responsible for the success of your own business. If you want to take your business to the next level, follow these simple and strategic steps to set you up to scale your Amazon business efficiently and successfully. Alternatively, there are digital marketing agencies specializing in helping you scale your Amazon business online.

Scaling Your Amazon Business with these 5 Simple Tips

Digital Marketing Strategies by Understanding eCommerce

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