How Can Selling on Amazon Help Increase Business Sales?

Sophie Biggerstaff - 17 March 2021

It started as a niche bookselling business. 25 years later, it’s a corporate giant, counting 86% of Brits among its customers. That’s massive! But despite its superpower status, Amazon is a fantastic business tool for small sellers – independent businesses looking to get more out of selling online. In this blog, we’ll take a look at the hows and whys of boosting your sales by selling on Amazon.

Quick Amazon facts

We all know the name. But did you know these amazing Amazon facts and stats?

  • Nearly 9 in 10 British people shop on Amazon
  • 26% of these pay a regular subscription to Amazon’s Prime service
  • 44% of shoppers go straight to Amazon when they need something – they don’t Google it first
  • Amazon customers are loyal: 70% of them buy on Amazon at least once a month

Can you say the same about your own e-commerce site? Probably not! But crucially, a big part of Amazon’s business model involves third-party sellers, who make up over half of its total sales. And by hitching a ride on the retail giant’s success and setting up shop on its servers, you too could benefit from the visibility and brand loyalty that Amazon enjoys.

Amazon app and other applications on iPhone screen

Selling on Amazon: everything you need to know

If you sell online, getting set up on Amazon could be a big boost for your business. But how does it work? Here’s the lowdown on becoming an Amazon seller.

What are the different seller types on Amazon?

There isn’t just one way to sell on Amazon. Here’s a rundown of the different business models.

  • Individual seller account. With no monthly fee, an individual Amazon seller account is a great way to dip your toes in the water. You get to list your products on the retail site and pay a set fee per item when you make a sale. This type of account is great if you only make a small number of sales – Amazon recommends individual accounts for those selling 40 products a month or less.
  • Professional seller account. If you’re serious about selling on Amazon, a professional seller account is an essential tool. For a monthly fee, you get access to tools like inventory management and analytics that will help you to sell in bulk. You can also list your products in a wider selection of categories, and have them show up in promotions.
  • Fulfilled by Amazon. This is the ultimate fulfilment service. As well as listing your products on Amazon, your stock is kept in Amazon fulfilment centres and orders are shipped out by the company, so you don’t have to do a thing. They also provide customer service should your buyers have any complaints or queries. You pay a fee to Amazon for the privilege. This can be pricey, but it’s great if you want your products available through Prime, or if you want a reliable company to take on the legwork of order fulfilment.
  • Advertise on Amazon. Make your products more visible by advertising on Amazon, or set yourself up as a Sponsored Brand. This type of pay-per-click advertising (where you only pay if someone actually clicks) can be a cost-effective way to reinforce brand awareness and increase your sales.

How do you set up an Amazon seller account?

Setting up an Amazon seller account is simple. Here are the basic steps you’ll need to take to get started:

  • Create your account. First, you’ll need to create an account at amazon.com. You’ll need to choose between Individual and Professional accounts, but don’t worry as this isn’t set in stone – you can upgrade or downgrade your account type at any time.
  • Get verified. Amazon requires certain information in order to verify your account so you can start selling. This may include proof of identity and other business documentation. Once you’ve submitted this, it can take a couple of weeks to become verified, so be prepared for a wait.
  • List your products. Follow the guidelines at amazon.com to make sure you have all the information recommended for a great product listing.
  • Build a business storefront. For Professional Amazon sellers, an Amazon Storefront is your virtual shop window! To build one, you’ll need to register your brand with Amazon, but the effort can be worth it as you’ll become more visible and credible on the site. Be sure to make your storefront enticing with professional branding, incorporating video content to make a bigger impact.

For more detailed information on setting up your Amazon seller account, check out the comprehensive Amazon seller guide for beginners.

Amazon parcel

How can businesses improve their rankings on Amazon?

It’s a retail site in its own right, but at heart, it makes sense to think of Amazon as a search engine just like Google. We’ve seen that more than 4 in 10 shoppers go straight to Amazon to search for what they need. So you can bet that the businesses making the most sales will be the ones that come top in Amazon product searches.

Like Google, Amazon has its own algorithm that decides the order of its search results. With fierce competition for the top spots, getting a high ranking can be hard, and it’s normal for products to be listed for 3-6 months before they start selling in big numbers. But with a well-informed search optimisation strategy, you too can rise to the top. Here are some pointers to improve your rankings:

  • Be comprehensive. Fill in as much information as possible about each product. Don’t leave anything out! Details like size and weight will help customers make better decisions about their purchases – so Amazon will prioritise products where this information is readily available.
  • Titles matter. They’re concise and easy to skim, so they’ll need to include all the most important details about your product. Structure your product title according to Amazon guidelines, to ensure that it works well in searches.
  • Bullet points are your friend! You can include up to 5 bullet point descriptions, but only the top 3 will appear on mobile devices. So make sure you list the most important points first.
  • Include a call to action. Sometimes, shoppers need a little nudge. A call to action is a command telling people what to do, and it can be effective in prompting customers to click that elusive “Buy” button.
  • Get visual. Use professional-quality images of your products, showing them in their best light. You can display up to 9 images for each product.
  • Consider using the Fulfilled by Amazon service. This can give your product an advantage, especially if customers filter their search by Prime delivery.
  • Pay for a sponsored listing. Jump the queue and appear at the top of customer searches, with paid Amazon advertising.

How can we help you?

With more people shopping online than ever before, now is a really good time to start selling on Amazon. For retailers, it’s a huge opportunity to increase sales and attract repeat business from satisfied customers. But with fierce competition, it’s important that you get set up professionally so you can stand out from the crowd – and that’s where we can help! At Wagada we’ll use our digital marketing expertise to help you with:

  • Amazon optimisation, getting your products to the top of customer search results.
  • Advertising on Amazon, getting the biggest bang for your buck on sponsored listings.
  • Graphic design for your store front, so you look like the professional outfit you really are.
  • Expert advice, so you can tie in your Amazon listings with your overall digital marketing strategy.

Get started today! Contact our friendly team for expert support and get those Amazon sales rolling in right away.