Amazon has become the largest online retail site in the world, with almost 90% of UK shoppers using the site. It has over 21 distribution centres and employs over 27,000 people in the UK alone. The e-commerce giant currently has a market share of over 30% in the UK and as many as 15 million people here are now signed up to Amazon Prime. For these very reasons, brands should consider their Amazon presence and how the e-commerce platform can work for them, yet there is still a reluctance from some retailers to do so.
Misrepresentation of your brand on Amazon?
Many retailers fear that Amazon misrepresents their brand and takes away from the brand experience customers have when they go directly to its stores. Others see multiple independent retailers already selling their products and are uncertain how to take back control of them. For many, having tried to sell on Amazon, the reality of operating an Amazon seller account is too much of a headache for them to commit the time and energy that is required to see growth on this platform. There is also the case for a small minority, in which the cost of selling on Amazon erodes too much margin, so it is not cost effective for them to do so.
However, with the right support a brand could actually harness the power of Amazon to elevate their
sales, drive traffic and boost brand awareness in a way which compliments their off-Amazon sales.
Here’s why your brand should be on Amazon!
1. If you don’t sell it, someone else will
Purposely avoiding Amazon can often be counterproductive as multiple third-party retailers can get hold of your product and sell the products on Amazon, despite your desire for them not to. They often list the products under incorrect brand names with false information or poor representation which can negatively impact your brand image. If other sellers then jump on the listings, it can spark a price war with a continued degradation of price, leading to Amazon consumers being able to secure a better deal than if they went directly to your brand store. Taking control of Amazon can minimise the risk of this happening, putting you in greater control for how your products are represented as well as remaining in control of the price.
2. Amazon isn’t going anywhere
Amazon is far from being a fad, it is already the largest online retailer in the world and this growth is showing no signs of slowing anytime soon. More FBA centres are opening up in different countries around the world and Amazon has on average an impressive 53,000 daily active users in the UK alone. It is fair to say it has a huge captive audience and has quickly established itself as the go-to e-commerce platform for beginning the product purchasing process. Rather than shying away from Amazon, it is time to explore how you can make it work for your brand. As the saying goes “if you can’t beat them, join them.”
3. Prevent Counterfeits
Counterfeit products still remain a frequent problem for Amazon but it has a strict anti-counterfeiting policy in place and failure to abide by this policy can result in a loss of selling privileges, funds being withheld and destruction of inventory. If you have a registered trademark and/or registered patent against a brand on Amazon and suspect that someone is selling counterfeit products then you can raise a case with Amazon to prevent this from happening. Amazon is increasingly improving their speed at removing and preventing these counterfeit sellers which offers a greater level of protection for legitimate sellers as well as alleviating some of the hassle.
4. Poor Product Reviews
Reputation and trust are everything when it comes to online purchasing. If you are not selling your products but someone else is, you have no control over what the product looks like when it reaches the consumer. Damaged, expired or used goods are examples of products received by customers that often trigger a negative review on the website. Buyers searching the internet for products often use Amazon as a tool for evaluating a product’s worth – the negative reviews caused by rogue sellers on Amazon could sabotage potential customers for you as well as your brand. Ensuring that you maintain control of the platform means you can also manage quality control in line with your brand reputation, which you have worked hard to establish.
5. Increase your brand awareness
Being on Amazon with properly optimised product listings and a user-friendly store front is a highly effective way of increasing your brand awareness. It can also work seamlessly with your off-Amazon sales and marketing activity. The platform allows you to be seen by large numbers of potential customers but it is also highly competitive, so if your products are not on Amazon and your competitors are, they immediately have a distinct advantage over you. When used correctly, Amazon can drive traffic to your store front leading to an increase in sales and business growth. By ensuring your strong presence on Amazon you mark your place amongst your competitors and if your competitors are not on Amazon – better still.
Although Amazon can be a daunting platform to navigate, it offers many advantages to brands of all sizes and you do not have to tackle it alone. Whether it is a full turnkey service you are looking for, or just some hand-holding until you are all set up and have got to grips with it, Unified Retail can take the guesswork out of Amazon and get you to where you want to be.