Best Practices and Recommendations for Successfully Launching a Brand on Amazon
In this guide, we’ll explore best practices for launching a brand on Amazon and how to leverage Amazon’s specialized programs—Amazon Accelerator, Amazon Launchpad, and Amazon Born to Run—to maximize your success.
Getting Listed On Amazon
Before exploring these best practices, make sure you follow Amazon’s best practices to get listed on the marketplace with their guidebook at https://sell.amazon.com/sell.
1. Optimize Your Product Listings for Maximum Visibility and Conversion
Amazon is a search-driven platform, meaning your product listings need to be optimized for discoverability and conversion. Here’s how:
Keyword Optimization: Conduct thorough keyword research using tools like Helium 10, Jungle Scout, or Amazon’s own search bar autocomplete to identify high-volume and relevant keywords. Place these keywords strategically in your title, bullet points, and product description. For example, if you're selling a stainless steel water bottle, you might target keywords like "insulated water bottle," "BPA-free water bottle," and "travel water bottle."
Compelling Product Titles: Your product title should include the brand name, primary keyword, product type, key features, and size/color variations (if applicable). Amazon recommends keeping titles under 200 characters. For example, a good product title might be "HydroFlask 24 oz Insulated Stainless Steel Water Bottle - Wide Mouth, BPA-Free, Leak Proof."
High-Quality Images & A+ Content: High-resolution images with multiple angles, lifestyle shots, and infographics increase conversion rates. Brands enrolled in Brand Registry can also leverage A+ Content to enhance their product pages with detailed visuals and comparison charts. For example, a study by Salsify found that product pages with high-quality images have a 22% higher conversion rate than those with low-quality images.
Strong Bullet Points & Descriptions: Clearly communicate the product’s key benefits, features, and differentiators. Use bullet points to make information easy to scan. Focus on highlighting how the product solves the customer's problem or improves their life.
2. Price Competitively and Leverage Amazon’s Promotional Tools
Competitive pricing is crucial in Amazon’s marketplace. Use tools like Keepa or CamelCamelCamel to track competitor pricing and set a price that balances profitability with demand.
Coupons and Discounts: Offering limited-time coupons can boost conversions by 10-20%. For example, a study by Jungle Scout found that products with coupons have a 12% higher conversion rate than those without.
Lightning Deals & Promotions: These can drive quick sales volume, helping you rank higher organically. According to Amazon, Lightning Deals can increase sales by an average of 245%.
Subscribe & Save: If applicable, enroll in this program to encourage repeat purchases and build customer loyalty. Amazon reports that Subscribe & Save customers spend an average of 2.4x more than non-subscribers.
3. Utilize Amazon Advertising to Drive Traffic and Sales
Amazon Advertising has become an essential component of a successful product launch. In 2023, Amazon’s ad revenue exceeded $38 billion, highlighting the importance of pay-per-click (PPC) strategies.
Sponsored Products: Ideal for boosting visibility on product searches. Sponsored Products ads account for over 65% of Amazon's ad revenue.
Sponsored Brands: Allows brands to showcase a collection of products and increase brand awareness.
Sponsored Display Ads: Retarget shoppers who viewed your product or similar items.
Demand-Side Platform (DSP): For brands with larger budgets, DSP enables broader audience targeting beyond Amazon.
A strong PPC strategy can help you break into Amazon’s organic rankings faster, leading to long-term sales growth.
4. Build a Strong Review and Ratings Strategy
Customer reviews heavily influence conversion rates, with 90% of consumers reading reviews before making a purchase. Here’s how to build a strong review strategy:
Amazon Vine Program: If you’re a brand-registered seller with fewer than 30 reviews, enroll in Vine to get early feedback from trusted reviewers. Products in the Vine program typically receive 5-10 reviews within a few weeks.
Request a Review Button: Use Amazon’s built-in feature to send follow-up review requests. According to Amazon, sending review requests can increase your review rate by up to 5%.
Exceptional Customer Service: Respond promptly to customer inquiries and issues to minimize negative reviews. A study by Zendesk found that 82% of customers are likely to stop doing business with a company because of a bad customer service experience.
5. Consider Enrolling in Amazon’s Specialized Programs
Amazon Accelerator Program
This program helps emerging brands launch on Amazon by providing operational support, marketing benefits, and access to Amazon’s fulfillment network. Accelerator brands often receive enhanced discoverability, but Amazon typically has ownership over the brand. It’s ideal for companies looking for rapid scale with Amazon’s backing.
Amazon Launchpad
Perfect for startups and innovative brands, Amazon Launchpad provides additional exposure, marketing support, and access to Amazon’s premium content tools. According to Amazon, brands in the Launchpad program experience, on average, a 35% increase in sales compared to non-Launchpad brands.
Amazon Born to Run
If you have confidence in your product’s demand, Amazon’s Born to Run program allows you to pre-purchase inventory and receive enhanced organic ranking and advertising benefits. However, this program requires a strong marketing plan to ensure sell-through, as unsold inventory may lead to additional fees.
6. Master Fulfillment and Inventory Management
Fulfillment by Amazon (FBA) provides a competitive edge by ensuring fast Prime shipping, which significantly increases conversion rates. However, proper inventory management is crucial:
Avoid Stockouts: Running out of stock can hurt your organic ranking. Tools like RestockPro or Amazon’s inventory dashboard can help predict demand. A study by Amazon found that products that are out of stock for just one day can experience a 30% decrease in sales.
Monitor IPI Score: Keep your Inventory Performance Index (IPI) above Amazon’s required threshold to avoid storage limitations. Amazon charges higher storage fees for sellers with low IPI scores.
7. Drive External Traffic to Your Amazon Listings
Diversifying traffic sources can enhance rankings and sales velocity. Consider:
Social Media Ads: Facebook, Instagram, and TikTok ads driving traffic to your Amazon listings. A case study by Shopify found that a brand that ran Facebook ads to its Amazon listings saw a 20% increase in sales.
Influencer & Affiliate Marketing: Collaborating with influencers can increase credibility and drive direct sales. A study by Influencer Marketing Hub found that influencer marketing campaigns generate an average ROI of $6.50 for every $1 spent.
Email Marketing & Owned Audiences: If you have a pre-existing audience, directing them to Amazon during launch can build initial momentum.
Conclusion
Successfully launching a brand on Amazon requires a mix of strategic product positioning, effective advertising, competitive pricing, and leveraging Amazon’s ecosystem of programs. By following these best practices and utilizing Amazon Accelerator, Launchpad, or Born to Run where appropriate, brands can accelerate growth and establish long-term success on the world’s largest eCommerce platform.