Is now the right time to sell on Amazon Australia?
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John Doe

A far cry from the USA’s population of 330m+, you could be forgiven for thinking that the eCommerce opportunity that exists in Australia (population of c.27m is not where you should be placing your precious investment, time and energy.  However, now isn’t the time to underestimate the value of the domestic market.  With an eComm penetration rate (the proportion of Aussies getting involved in online shopping) of 75%+* and growing, the ability to reach more customers by improving your online presence and capability couldn’t be more obvious.  Amazon is set to take a big chunk of it!

Launched in Dec 2017, Amazon is still relatively new in Australia, but already one of Amazon’s fastest growing markets.  It is anticipated that Amazon will account for 25% of Australia’s online sales by 2030**.  To fully understand the opportunity here in Australia, you need to understand how Amazon’s proprietary A10 algorithm works, because if you play the waiting game, you will make it much harder (and more expensive) for your brand to win on the platform in the future.

You see, Amazon is not a list, set and forget platform- its algorithm favours product listings which are considered ‘retail ready’, and there is very specific criteria around this.  At its most basic level, the algorithm considers product listing title, bullet points (general listing copy), product imagery, star ratings and reviews, A+ Content (for another day) and inventory health.  

Assuming you’ve got amazing products that customers want, optimising your product listings is your best chance of landing on page 1 for Amazon search results within your category.  It’s worth pointing out that by Amazon’s own admission, 70%+ of their customers don’t look beyond page 1 of search results.  A big part of this optimisation process comes down to researching your competitors and having an intimate understanding of where they’re already winning on the platform.  

And therein lies the point…..now don’t get me wrong, Amazon Australia is already a highly competitive marketplace- but still considered early in its journey of domination, so many of your competitors may not even be selling via the platform yet.  And if they are, chances are they’re not doing a very good job.  With the right SEO support, your product’s organic growth journey from launch to page 1 is a much easier and cost effective proposition when fewer competitors are on the platform and/or not optimising particularly well.  Each day, as more of your competitors learn how to sell on Amazon Australia, your journey to Page 1 becomes that little bit harder and requires more investment in sponsored advertising.

So get in now, make your mistakes early, get to page 1, stay there, make it harder for late comers to do the same, and win.

*https://www.statista.com/outlook/dmo/ecommerce/australia*

** https://www.businessinsider.com.au/amazon-australia-forecasts-competition-ecommerce-market-2021-3

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Sponsored Advertising (PPC) & Promotions

For most products, even the best SEO refinement is unlikely to see your products list on page 1 organically.  Investing in sponsored advertising and promotional activities will be a key to improving product rank, discoverability and conversion….and that means sales.  Of course it’s all margin dependent, but we recommend investing at least 10% of sales as an ongoing baseline in PPC.  For new product and store launches, you’ll want to go harder and invest more to improve your rank early on. 

Amazon Store

An Amazon store is a branded destination on Amazon to feature curated content that inspires, educates, and helps shoppers discover your products.  We will work with you and your team to build a store that reflects your brand and showcases your full catalogue of products.  Share your Amazon store URL on social media and embed it on high traffic and relevant external websites to drive traffic and accelerate sales.

A+ Content

A+ Content brings your brand alive on individual product pages.  It’s the section of each listing that allows you to tell your story and showcase other products within your catalogue.  Once you’re locked into Amazon’s Brand Registry program, you can unlock the power of brand ownership on the platform.  We will work with you and your marketing team to create best-in-class A+ Content; another winning tool to optimise your listing for sales success.

Product Imagery

Amazon is a visual platform, so top notch product photography is one of the most  important elements in driving sales conversion.  We work with you to understand and follow Amazon’s best practice guidelines and take it a step further by creating the right balance of studio, lifestyle and informative shots to outplay your competition.  Product Videos are fast becoming the new normal on the Amazon platform and another strategy to consider to drive sales.  

Use your own product photographer and videographer, or we’ll leverage our own network of creative Amazon experts.   

Listing Optimisation (SEO)

If your products aren’t featured on the first page of Amazon search results, you’re unlikely to be ecstatic about your current sales performance. Understanding and optimising product listings towards Amazon’s search algorithm is the key to accelerating the organic discoverability of your products. By balancing this with listing copy that speaks to your audience, we create a winning formula.