With 240 million shoppers, many Amazon sellers are using the platform as their main avenue for reaching customers. Research indicates that Amazon recruits close to 100,000 new sellers every year.
However, more than half of those will leave the marketplace in less than six months due to various reasons. Most people think that Amazon is an easy marketplace, where you just list your product and the sales will come automatically.
However, that is not always the case. If you are a seller on Amazon, here are some of the mistakes to avoid.
Incorrect Or Incomplete Product Data
As noted above, Amazon’s marketplace is ultra competitive and crowded. Customers have to go through millions of products every day before they can make a purchase.
The good news is that Amazon has categorized products in a way that makes it easy for shoppers to find what they are looking for. The ease of locating a product depends on the product’s description or details.
It is therefore important to ensure your product’s details and descriptions are correct and complete. If you fail to ensure that, customers will not find your products.
Costly Or Late Fulfillment
When it comes to online shopping, customers want their products delivered as soon as possible. Amazon ensures prime customers enjoy a free, two-day shipping service. Customers who buy products on Amazon expect a fast turn-around-time and at no extra charge.
This explains why buyers prefer buying on Amazon as opposed to other online marketplaces. Most customers will buy products denoted as Fulfilled by Amazon or Prime. If the product is not prime, they will still expect fast shipping times.
If you don’t offer low cost, fast and reliable fulfillment, then you will lose out on sales to your competitors.
Slow Response To Feedback From Amazon Sellers
Every seller on Amazon has a maximum of 24 hours to respond to customer feedback, questions and enquiries. It doesn’t matter whether it is a holiday or the time or day of the week.
If you fail to respond within 24 hours, Amazon can suspend your account, among other penalties. Furthermore, failing to respond on time means you don’t take customer feedback seriously.
No customer would want to deal with a business that doesn’t value their input. As you can see, it is imperative to respond to customer feedback as soon as possible.
Doing all that work manually can be challenging, especially if you are dealing with thousands of customers. Luckily, there are plenty of software programs available that can help you to automate this process.
Competing Against Amazon
If you are selling a product that competes directly with what Amazon Retail is offering, then you should not expect many sales or considerable profits. Amazon Retail has the ability to control the competition, even when it means unprofitability.
Therefore, before you venture into any inventory, you first need to check whether Amazon Retail is offering the same product or something similar. It’s almost impossible to compete with Amazon especially when it comes to profit margins.
As much as Amazon provides one of the best online marketplaces, selling products on the platform has challenges. The good news is that if you do it right, you will make sales and increase your profit margins.
Amazon sellers who avoid the above mistakes will ensure that they stay ahead of the competition and keep their customers happy.