From the perspective of product keywords, market competition is also a very important screening method. Once the market competition is too fierce or the market is highly monopolized, it is not suitable for novice sellers to enter the market. So how should we analyze it specifically?
First, let me introduce the “Amazon Search Terms” function in the “Brand Analytics” tool in the backend of an Amazon seller account.
“Amazon Search Terms” is a free keyword tool officially produced by Amazon. Sellers who have completed brand registration can use this function. Before talking about practical applications, readers should first clarify the following concepts, otherwise it will be difficult to understand the key role of this data.
(1) #1 Clicked ASIN
#1 means the first place, and the following 2 and 3 mean the second and third places. Amazon Standard Identifcation Number (ASIN) refers to the product; #1 Clicked ASIN is the product with the most clicks under the search results based on this Search Term, and #2 Clicked ASIN is the product with the second highest clicks. The specific number of clicks is unknown.
(2) Click Share
Take power bank as an example. Assume that the #1 Clicked ASIN is an Anker power bank and the total number of clicks generated by power bank on Amazon is 100. At this time, if the Click Share of this #1 Clicked ASIN is 30%, it means that this Anker power bank has received 30 clicks from all the clicks on the word power bank. It should be noted that we do not know the exact number of clicks generated by the word power bank on Amazon. All considerations are based on relative quantities.
(3) Conversion Share
I will also use the above example to illustrate this concept. If the conversion volume of power bank on Amazon is 100, then if the conversion share of #1 Clicked ASIN is 30%, it means that this Anker power bank has received 30 clicks from all the conversions of the word power bank. We do not know the exact number of conversions of power bank on Amazon. We only know the proportional relationship.
(4) Search Frequency Rank
This data reflects the search frequency ranking of keywords on the entire Amazon site. The ranking here is not a specific value, it is just a relative data indicator. For example, if you rank first, you can get 100 points or 50 points. Therefore, Amazon only tells you the ranking of the keyword search volume, but does not tell you the specific search volume. You can only do comparative analysis, but cannot obtain absolute data.
After understanding the meaning of the above data indicators, you have noticed that the “Amazon Search Terms” data has a very obvious feature: it is relative data, not absolute data. This is unavoidable. After all, absolute data is more convincing, but I think even relative data has great reference value.
So how should we use the “Brand Analysis” tool in the Amazon backend to do market competition analysis?
It is very easy to operate: If you want to research the market competitiveness of a product, you can first find the core keyword with the largest traffic for this product, put this keyword into the “Amazon Search Terms” database for search, and then add up the Click Share and Conversion Share of the top three products. If the total ratio is greater than 60%, this indirectly indicates that this product has been monopolized by the top sellers, the entire market is close to saturation, and new sellers have fewer opportunities to enter.