To run an online business, you need to wear many hats. From marketing and inventory management to shipping and customer service. Business owners can use the systems already in place on other platforms to simplify their daily tasks. Amazon is a great site for small businesses.
In 2019, millions of users were active on Amazon. This includes 105 million Amazon Prime members, who shop there daily.
Amazon is a great way to launch your online business. It provides a platform that allows you to market, connect with customers, sell, bill, and ship your products. You can start your online business with less money, learn how to grow it faster, and gain valuable experience.
Why Amazon can help you grow your business
Amazon is a great e-commerce tool for businesses.
- Amazon has an existing customer base. Millions of people visit Amazon each day to buy thousands of items. This is qualified traffic that you cannot get on your own website. Especially not during your startup phase. This can allow you to make money in your early stages without spending all your resources and time trying to get customers.
- This is a brand name Customers are more likely trust companies whose names they know. Amazon has been in business for so long, and is so successful. It’s a site that people trust. You would need to put in a lot of effort as a brand new business to gain this kind of trust. When you sell through Amazon’s existing platform, you are able to leverage the credibility of Amazon with their customers right from the start.
- All the technical work has been done. One of the biggest tasks for online sellers is to set up a shopping cart and e-commerce site where customers can browse and easily order their products. Amazon will take care of the technical work and maintain it. You can focus your energy and time elsewhere.
Amazon offers two different levels of seller support. Individual sellers are allowed to list their products in over 20 categories for a $0.99 fee per sale. Professional sellers have the option to list products in 10 additional categories for a flat monthly fee of $39.99. They also get additional customization options and can customize their shipping and listing. Both types of sellers are charged additional fees for each sale. 5
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Amazon is not the best model for all businesses. Not every product will be a hit. Research Amazon trends, top-selling products, and best-selling categories before you spend time and money setting up your business as a seller.
How to use Fulfillment by Amazon for your business growth
You can process orders yourself and ship to customers if you sell on Amazon. FBA is a service that allows you to let Amazon process and ship orders for you. This can save you time and money.
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FBA stands for Fulfillment by Amazon. This means that Amazon.com will process and ship an order rather than the retailer.
FBA is an easy and standard process.
- Sending a few of your products to Amazon is a good idea.
- Amazon will take care of all the steps required to deliver your orders to customers.
- Amazon charges a percentage of every sale.
- Your bank account is regularly credited with the net profit from every sale.
- Amazon will handle any returns or exchanges.
Fulfillment by Amazon offers a variety of benefits to your business.
- Save time and money by processing and shipping your orders.
- Because you do not need to store any products, your space can be smaller.
- Profits can be reinvested into your business.
- Customers are more likely to purchase when they know what shipping and processing will be like. 6
Amazon can handle the order fulfillment and return process more efficiently than most small businesses. They also do so at a lower price per order. You will pay less for each FBA order than you would to store and ship the same number of items yourself.
How to run a successful business with Amazon
Utilizing the thousands of visitors that Amazon receives every minute to drive organic traffic will help you generate more sales. There are hundreds and sometimes thousands of listings for each Amazon search. You will need to ensure that your listings are easily found and stand out when customers see them to jumpstart your business.
Do Your Own Marketing
Use your own marketing in order to attract customers to your product. Search engine optimization will help you to grow your blog, landing page, or website so that they are near the top of search results. Social media can be used to drive organic traffic to your Amazon product or to advertise paid ads.
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Send customers who are interested in your product directly to Amazon using email marketing.
List your products accurately and with accurate titles
Your listing title should include important details and clearly describe what you’re selling. Consider what your customers would type in to Amazon or Google when searching for similar products. If you want to sell a protective iPhone case for iPhone 5, “Protective iPhone Case fits iPhone 5 shock resistant, multi colors” would be a better title. It will give your customers more information and show up in search results.
List your product for sale
Write your product description and listing with the customer’s needs in mind. This will help you stand out among the competitors. You can use your marketing knowledge, consumer psychology and copywriting skills to tell prospects how your product will enhance their lives. Add extras like a FAQ to your product so that all features and benefits are clearly explained.
Include multiple large and clear photos
You need to make sure that your customers know exactly what they are buying. You shouldn’t use images of similar products found on an image search online, because customers may not trust them. Invest in professional photography of your products instead, just like you would do if the photos were to be used on your website. Use a good camera, good lighting and a lightbox if you are taking your own photos.
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Consider adding video clips that demonstrate your product being used or assembled, or highlight any special features.
Encourage good reviews
Amazon customers love reading reviews. They can compare products and choose which ones to trust. Customers are more likely buy your products if they can read what other people think about them. Encourage customers to leave reviews by adding a note to the product package or by sending an email to your marketing list. You should never post or solicit fake customer reviews. This will not only cause your customers to lose trust, but also violate Amazon’s Terms of Service and could result in your business being removed from the website.
Select the right category and sub-categories
It is important to list your products in the correct categories when users are looking for similar products. You don’t want your organic soap listed with industrial cleaning products, for instance. Check all the categories and subcategories of every product to make sure you’re being found by your customers.
Grow Your E-Commerce Business
You can use the experience you gained from building your business on Amazon to create your own ecommerce platform and model. You can also continue to use third-party websites to simplify and streamline your business model, as many sellers do. You may be able, depending on the type of business you have, to sell products through sites such as Etsy or eBay.
Amazon is an excellent way to launch your online business.
