With its low barrier to entry, ecommerce has quickly become one of the most popular routes to business ownership. Whether you want to generate side income or eventually scale operations to make a living off your business, one of the best places to start selling your products is on Amazon.
Amazon is a leading contender in the third-party marketplace industry. You can sell nearly anything and make a profit. However, doing so takes time, skill and dedication. Here's how to find success, according to experts whose majority of sales come from Amazon.
1. Build your brand
Before you start selling your products, you'll want to focus on building your brand. How can you set yourself aside from other sellers? Who is your target audience?
Kelly Fedio, founder of One Savvy Life, said you should first identify your niche and the products you want to sell. From there, analyze your competition to determine proper pricing. You'll want to focus on delivering the highest-quality products for your consumers. [Don't forget about setting a good return policy for your ecommerce business.]
2. Market your page
Setting up your account is the easy part; attracting potential customers to your page is more complicated. However, Amazon does much of the work for you, bringing traffic and buyers to your listing, according to Fedio.
"To be successful on Amazon, you simply need to know how to leverage their advantages for your own business," she said. This includes using Amazon Sponsored Product Ads, Amazon Internal Promotions and Fulfillment by Amazon.
Theo Prodromitis, an Amazon seller, advises fellow users to test advertising, promotions and deal opportunities, and to refresh listings and look at top 100 listings for inspiration.
3. Encourage reviews
If you want consumers to choose you over other brands, you'll need to make sure your reviews are positive. If they aren't, you'll need to acknowledge them head-on.
"Always put the customers' needs first," said Fedio. "Respond to customer inquiries quickly, be proactive, and respond to negative reviews as quickly as possible, and go above and beyond to make customers happy."
Overall, the most crucial practice to master is good customer service. One Savvy Life accomplishes this by focusing on listing content, following up on emails, offering tips and usage recommendations, and maintaining a dedicated customer support team.
4. Set up Fulfillment by Amazon (FBA)
Amazon offers great quality and delivery, which is why consumers are so loyal to the company. Having Amazon on your side, organizing orders and handling behind-the-scenes work through Fulfillment by Amazon will attract more buyers and boost your sales.
FBA is a service designed to meet your needs as a seller, such as shipping items stored at fulfillment centers and handling customer service issues. Experts use FBA to ensure their customers receive the most efficient service possible.
"We have most of our items as FBA," said Prodromitis. "We focus on offering the finest-quality products, customer responsiveness and amazing listings. The impact we see is that we have the 800-pound gorilla of trust in Amazon Fulfillment behind our brand."
"We have grown our business to seven figures with the power of FBA," added Fedio. "The sky's the limit when it comes selling on Amazon, and its full potential is truly realized by leveraging the power of FBA."
There's rarely been a better time to start selling on Amazon. The company's annual Prime Day sales extravaganza kicks off at 6 p.m. PT on July 10, 2017, and runs for 30 hours. Through the program, hundreds of thousands of products will be on sale exclusively for Amazon Prime members. Small businesses and entrepreneurs and primed to get a big piece of those sales. The increased traffic helps companies reach new customers and thus sales. Some even use the day to launch new products.
“Prime Day provides young brands like ours the opportunity to reach new customers and gain greater exposure through deals and increased traffic,” said Caron Proschan, Simply Gum.
Amazon says that on Prime Day 2016, small businesses and entrepreneurs saw orders nearly triple year-over-year, with customers ordering more than 20 million items from small businesses across more than 50 categories. The company predicts small business will account for more than 50 percent of the Lightning Deals.