With Amazon announcing that Australian retailers can now sell through its marketplace, Mark Gray from ChannelAdvisor shares five important tips that online businesses need to remember in order to succeed.
Amazon announced earlier this year that Australian retailers can now sell through the massive marketplace to customers on Amazon.com—a boon for retailers down under looking to get their products in front of Amazon’s hundreds of millions of loyal buyers.
The world’s largest online retailer has quite an expansion project underway with fulfilment centres popping up all over the world in Japan, China, Germany and the UK. Rumors are circulating about future fulfilment centres in India and Australia, though Amazon has yet to confirm either location.
Regardless of Amazon’s expansion plans, Aussie retailers are already looking to cash in on the benefits of being able to sell to Amazon customers all over the world. ChannelAdvisor customers like ANTA Sports (sponsoring the Chinese Olympic team) and Aimer (a China-based seller of high-end lingerie) are currently launching on Amazon to strike while the iron is hot.
Here are five tips to help retailers make the most of selling on Amazon:
1. Remember the different seasons
You may have a surplus of thongs right now that are off season in Australia, but what about Amazon shoppers in California? Or consider the benefits for a ski and snowboard outfitter based in Sydney. That retailer has an audience at home from April through to September, and a northern hemisphere audience from October through to March.
2. Don’t neglect Amazon’s high seller reputation standards
A retailer’s worst nightmare is getting kicked off Amazon due to poor ratings, delayed deliveries, mismanaged expectations or otherwise. Also, if you want to obtain Featured Merchant Status on Amazon, and thereby be eligible for the Buy Box, you have to make sure that you are meeting all of Amazon’s seller requirements. At ChannelAdvisor we have a dashboard called Amazon 360 where we surface all of the information for sellers that is a high priority for Amazon such as Order Defect Rate, Orders Needing to Ship, Buyer Claims, Negative Feedback, Account Errors, Product Listing Status and more. So long as you’re keeping track of all of these things you can maintain your “Good” seller status, which is crucial to success on Amazon.
3. Keep an eye on your top-sellers
If your top-selling products are in high demand, you’re going to want to check your inventory depth on them and make sure you’re well-stocked. Amazon considers your product depth when determining who wins the Buy Box, so you’ll certainly want to keep a surplus of best sellers.
4. Consider Fulfilment by Amazon
Fulfilment by Amazon (FBA) is definitely worth evaluating, even if you only chose to use it for certain products—especially if you have items that you have a hard time meeting shipping requirements for or that are difficult to ship. Using FBA will automatically make those products eligible for Super Saver Shipping and Amazon Prime, which can bump up the price competitiveness of your products and give you a greater chance of winning the Buy Box. Another positive part of FBA is that Amazon handles all of the returns, so any negative feedback that comes through won’t affect your performance.
5. Keep an eye out for listing errors
When you send your product feed over to Amazon, you need to make sure that it matches the specifications that Amazon has asked for, and that Amazon is matching your products to the correct Amazon listings. Since Amazon uses one picture for each listing, not necessarily an image that you’ve sent over, you need to verify that the image matches up with your product, as do the product details. Otherwise, you could end up with a disappointed customer who leaves negative feedback and causes your “Good” Seller Status to suffer.
We’re excited at ChannelAdvisor about the opportunity on Amazon for Aussie retailers, though a final note to retailers is to make sure that you’re diversifying and hitting all online channels. You don’t want to rely too heavily on any one online channel, especially when there are so many different ways to reach and acquire new customers.
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