Amazon sellers need to be cautious when opening a store: comprehensive guidance from product selection to operation

In the process of opening a store on Amazon, sellers often encounter various challenges. From product selection to operation, every link is crucial. This article will combine the experiences and lessons of many sellers to help everyone avoid common misunderstandings and master the correct strategies.

1. Misunderstandings in product selection and countermeasures

Do it directly without market research

Blindly selecting products without conducting sufficient market research is the first mistake many sellers tend to make. The correct approach is to use professional product selection tools to analyze market trends and competition before selecting products, and select products with high potential demand and low competition for expansion.

Ignoring quality control issues

Quality control is the guarantee of product quality and user experience. Neglecting quality control may result in user complaints and losses. Therefore, quality control issues should be paid attention to when selecting products, especially for products that require assembly, to ensure that product quality meets standards.

Eggs in one basket

Concentrating all resources on one product line and ignoring the overall level of competition in the market will lead to poor promotion results and ultimately serious losses. Therefore, it is recommended to diversify product lines and select products with competitive advantages for expansion.

2. Analysis of misunderstandings about global store opening

Misunderstanding 1: Misunderstanding of registration channels

Many people think that only accounts registered through specific channels are “global store” accounts, but in fact, whether registered through the Amazon China website or websites in other regions, they are all valid registration methods. Registering through the Amazon China website also has the advantage of a Chinese interface.

Misunderstanding 2: Choosing a sales plan

Individuals and companies can choose between a Personal Selling Plan or a Professional Selling Plan. The difference between these two plans lies in the fee structure and function usage rights. Sellers can choose a suitable sales plan according to their own needs.

3. Analysis of the three major sites

North America Station

North America has the largest market capacity and relatively low entry barriers. Although competition is fierce, as a market with high consumption levels, sellers can earn considerable profits. If the seller is confident in his products and has a complete business philosophy, the North American site is a good choice.

European Station

The European station consists of six developed countries, and consumers pay more attention to product quality than price. Although the registration requirements are high and the value-added tax issue also deters many sellers, as long as the product quality is excellent, you can still make good profits.

Japan Station

The Japanese station currently belongs to the blue ocean market and has huge potential. There is no VAT burden and low logistics costs, making it suitable for sellers who want to try new markets. However, it should be noted that the Japanese market is very different from the European and American markets, and sellers need to have an in-depth understanding of the local market characteristics.

4. Product selection risks and techniques

Brand infringement and patent infringement

During the product selection process, brand infringement and patent infringement are two major risks. Sellers need to conduct detailed market research before putting products on the shelves to avoid infringement.

Security authentication issues

The Amazon platform has strict certification requirements for certain categories. Sellers need to understand and prepare relevant certifications in advance to avoid the risk of products being removed from the shelves.

Negative review data analysis method

By analyzing the negative review data of popular products, you can find out where customers are dissatisfied, improve products or choose suppliers that can solve customer pain points. This method can not only mine useful information from negative reviews, but also find the real needs of customers from positive reviews.

Combination analysis method

Choose products based on product portfolio thinking, and plan core products, popular products and normal products. Sellers need to evaluate the gross profit of their products and choose a product combination that can bring high profits and traffic.

Google Trend Analysis

Use Google’s data analysis tools to analyze industry information and mine valuable information as a reference for product selection. Sellers can accumulate experience from successful and failed products and gradually become masters of product selection.

5. Precautions for agent operation

Field visit

Before choosing an operating company, it is recommended to conduct an on-site inspection to understand the actual situation of the company. A reliable company will understand the seller’s situation in detail before cooperating and will not rush into signing a contract.

Data is king

Good agency operating companies usually keep a low profile and rely on word of mouth. When negotiating, they will provide more valuable information rather than relying solely on low prices to attract customers.

Look at the strengths as well as the weaknesses

The agency operating companies that dare to point out the shortcomings of sellers are the ones who really want to help sellers grow. An excellent agency operation company will consider comprehensively before cooperation to ensure the feasibility of the project.

6. Advertising Strategy

“Three 30%” goals

The proportion of direct advertising sales to total sales is ≤30%, the ACOS value is ≤30%, and the gross profit margin of goods is ≥30%. By accurately interpreting and optimizing advertising data, sellers can avoid the embarrassing situation where advertising only brings sales but does not make money.

Negative keywords and bid adjustments

Appropriate use of negative keywords and adjusting bids are the keys to optimizing ad performance. Sellers need to avoid mistakenly negating high-performing keywords or negating too many keywords. The correct negative matching method should be precise negative.

7. Key points of product optimization

Product title optimization

Placing keywords reasonably and accurately in product titles can improve keyword rankings. But it should be noted that do not stuff keywords and keep the title logical and readable.

Product identification optimization

When adjusting product prices, sellers need to pay attention to price fluctuations not exceeding 30%-40%. Frequent price adjustments will affect the health of your account, and it is recommended to make adjustments through discounts and coupons.

Listing changes frequently

Frequent modifications to the Listing may cause it to lose its original ranking. It is recommended to make local fine-tuning during optimization, especially for Listings that are already ranked well.

Through the above content, I hope everyone can better understand and deal with the various challenges in the process of opening an Amazon store and achieve business growth.