The beginning process of any new venture can be difficult, and mistakes happen. In most cases, you can overcome these mistakes and get down to business. However, with Amazon, these shortcomings for beginners can often come back to haunt you!
Amazon is a competitive environment with millions of sellers and even more buyers. While listing on Amazon can open up access to a whole new market for you, simple errors can jeopardize any effort you make to capture these buyers.
Although listing on Amazon increases your reach, it does not automatically increase your sales. In fact, many new sellers sabotage their sales, without even realizing it. This is simply because they don’t understand the basics and best practices of selling products on Amazon.
Below are the most common mistakes that inexperienced sellers make, as well as a few recommendations on how to avoid making them:
MISTAKE #1. Failing to Properly Configure Your Amazon Account
An Amazon Seller’s account is where Amazon sellers spend most of their time ( depending on agency or management automation).
Choosing the wrong type of account might cost you time and even more money. It’s not just about the Amazon subscription fees. Getting started as an individual seller and switching to professional trading accounts, with increased sales is a common practice and does not cost third-party sellers much money.
Registration of multiple accounts is a direct violation of the terms and conditions of Amazon, which can and will lead to a permanent account suspension. It’s quite straight forward: one person is one account. The key to increasing sales is not the number of accounts you have, but rather the quality of your service as well as positive feedback from your customers.
- Make sure you create a solid foundation for your account and products, avoiding simple mistakes. Don’t try to confuse the system and set up multiple accounts. This can lead to permanent suspension.
- Owners of private labels, artisans, multi-faceted retailers, and manufacturers have several alternatives. Learn about the different ways to sell on Amazon and investigate their advantages and disadvantages.
MISTAKE #2. Not Knowing How Amazon Works
The first mistake leads us right onto the second one. On Amazon, the customer always comes first. Many Amazon sellers want to play with the system, therefore the rules are strict, and suspending an account is quite common. However, it’s not always that bad. Sellers are given an opportunity to justify their mistakes with regard to the procedure preceding the POA.
In addition, most sellers will not violate the current rules if they read them from the beginning. Copyright, operating instructions and tax issues are clearly explained on the Policies & Agreements page. Similarly, a section of the Seller Code of Conduct lists the required standards and defines unethical sales practices. Things like creating two Amazon accounts, promoting your business, or misleading content are all described here.
Do not treat Amazon like eBay or Google. The structure of Amazon is fundamentally different from any of these trading platforms.
- Make sure that your product is suitable to be sold on Amazon and that your strategy is in line with Amazon’s policy. This way, you will get the maximum return on your investment through the Amazon Marketplace.
- It is also very important to calculate your Amazon costs and predict your profit margin before you start fully operating on Amazon.
- For more information about an Amazon Seller account and frequently asked questions about an Amazon Seller, visit Amazon’s Seller Account help page.
MISTAKE #3. Referring Amazon Customers to Your Website
Several sellers have tried to include the URL of their product or personal seller’s information (e.g., inventory file or company name). This is a violation of Amazon’s policy.
Amazon is a closed environment that can be a disadvantage for other marketing and branding opportunities. The design of the Amazon trading platform and the bad reputation give your store a large customer base, but this is due to the loss of the ability to send customers back to the seller’s site.
- Use other sales channels and strategies to increase traffic and redirect customers rather than trying to play with Amazon.
MISTAKE #4. Misunderstanding Your Competitors
This is due to the fact that pricing your products is perhaps the most important and complex aspect of the sales process. You want to set a good rate of return, however, you have to satisfy your customer. You might want to have the longest share of the Buy Box, but you must be aware of your competition.
MISTAKE #5. Incorrect and Inaccurate Listings
Overpricing can block your products. However, undervaluation can also be a problem.
Amazon sellers are constantly undervalued by competitors, including Amazon itself. To maintain the advantage, they use pricing software, which automatically reduces prices and attracts more customers.
Unfortunately, if prices remain low and the products are sold inappropriately, all this work will be in vain. The software cannot stop the rapid fall in prices, so sellers need to monitor each of their listings personally. SellerSnap is an exception because it can review prices in real-time, using any margin so that you never sell at a loss.
- If you want to start selling quickly and almost instantly, you need to make sure that your listing is perfect. Make sure that your category has been correctly selected and that your spelling and grammar are correct.
- Make sure that you use high-quality images and keywords in both the product name and product description. Optimizing your ad will ensure that it appears as quickly as possible while searching for products.
Use special software for efficient real-time pricing without affecting your profits.
MISTAKE #6. Not Taking Customer Feedback Seriously
Of the hundreds of our clients, I spoke to, all of them have different options for this problem: negative feedback spoils your ratings and affects you from getting to the top.
Your last feedback has the biggest impact on the Purchaser’s Box and therefore on your sales. We have seen sellers underestimate their feedback ratings and how it directly impacts their sales.
- Consider negative customer feedback as constructive criticism. Don’t think of it as something that is cast in stone. You can change it relatively easily. Just be aware.
- Most negative reviews are written in the form of product reviews, which Amazon TOS believes is the wrong way to write a review. , This means that Amazon will definitely remove it.
In addition, FBA sellers have the right to remove reviews on any order placed on Amazon.
No one ever said it was an easy walk to sell on Amazon. But there is no reason to complicate the situation as it should be. Preparing to work with an environment like Amazon requires research and reflection. However, not many retailers have time to plan their future.
People often say that mistakes are proof that you are trying. However, on Amazon, I’m sorry to say, but that won’t work, even if you’re new. After a certain amount of time, Amazon entrepreneurs usually acquire a basic knowledge of how to sell goods: Sell competitive goods at competitive prices.