How to list products on Amazon to maximize profits
As a global e-commerce giant and household name, Amazon stands as a shiny beacon attracting online sellers – and buyers – worldwide. With over 9.7 million seller accounts, the platform generated nearly USD 575 billion in net sales revenue throughout 2023.
The ‘Amazon appeal’ lies in a ready-made customer base, unparalleled reach, robust infrastructure, seamless user experiences, logistical support, and inherent consumer trust. And, let’s face it, what’s not to love about all that?
So, can Amazon be a great partner in your pursuit of online success? Hell, yes! The platform makes it easy for SMBs to compete on a global scale without the need for extensive resources.
However, it’s essential you know how to list products on Amazon to get the best results. Typically, that takes a bit of research and trial and error. But, as luck would have it, our trusty team has done all that legwork for you. So, you can use this handy guide to bypass all the boring bits and shortcut straight to Amazon selling success!
Got your coffee poured and notebook ready? Then let’s dive in!
The Amazon Marketplace: A brief background
Before we get down to the nitty-gritty on how to list products on Amazon, we need to take a quick whirl through the basics of account types, fees, and policies.
Account types: Individual vs. professional
When you first step across the digital threshold of Amazon’s expansive marketplace, you’ll be asked to choose between setting up a personal or professional account.
For hobbyists simply dipping their toes into ecommerce with small-ticket items, handmade crafts, etc., the pay-as-you-go model on individual accounts can be attractive – although sales are limited to 40 items a month. However, for serious sellers with growing product lines and kickass business goals, a professional account (paid by monthly fee) provides several benefits and additional features, such as:
- Advanced analytics
- Bulk listing tools
- Featured Offer eligibility (formerly known as Buy Box)
Fee structures
Understanding fee structures is essential to nailing how to list products on Amazon for maximum revenue generation. In addition to the monthly service charge attached to your pro seller plan, you’ll also need to consider:
- Referral fees – Typically between 7-15% on each item sold.
- Fulfillment fees – Rates vary by country and whether you manage your own orders or use Fulfillment by Amazon (FBA).
- Additional costs – Examples include inventory, refund management, and high-volume listing fees.
Selling policies and guidelines
While a ‘rules are made to be broken’ attitude doesn’t fly on Amazon, the list of Selling Policies and Seller Code of Conduct is pretty manageable and mostly based on common sense principles. That said, you must be proactive in staying up-to-date about rules for product listings, customer communication, reviews, etc., because potential repercussions of violation may include:
- Withheld seller payments
- Product/business bans
- Account suspension
How to list products on Amazon: Preemptive steps
Before you get down to writing product listings that convert clicks into cash, there’s a bit of groundwork to cover in terms of selecting your niche, researching your competitors, and conducting keyword research to maximize your Search Engine Optimization (SEO) efforts.
Mastering niche appeal
Browsing Amazon’s diverse list of product categories helps you identify gaps in the market and align your expertise with your target audience and customer demand. For example, let’s say you want to sell organic skincare products. Opting for a niche within the broader beauty category allows you to carve a distinct identity, potentially attracting environmentally-conscious consumers.
Competitive analysis
Analyzing your competitors’ pricing, product features, and customer reviews helps you position your products strategically and identify areas for improvement. Handy tools for effective competition assessment include:
- Jungle Scout
- Helium 10
- Amazon’s own best sellers list
Keyword research
In the digital realm, keywords are the currency of visibility. Incorporating them organically enhances discoverability, ensuring your products appear in the top options when potential customers search. There are several tools you can use to identify the most relevant, high-traffic keywords. Examples include:
Setting up your seller account
Ready to unlock the vast potential of Amazon Seller Central? Follow these steps to set up your account and get started.
- Go to https://sell.amazon.com and click the ‘Sign Up’ button
- Enter your basic details and set a password.
- Select your business location (a quick heads up – Amazon will verify this, so accuracy is essential).
- Set your business type. Select the individual option if you haven’t officially incorporated a company yet.
- Enter your personal information.
- Enter your billing information (bank account details for deposits and a credit card for monthly fee payments).
- Input the name of your Amazon store (don’t overthink this, you can change it later!) and enter any relevant UPC (Universal Product Code) info, diversity certifications, and manufacturer details.
- Verify your identity by uploading the relevant documents.
- Jump on your verification call with an Amazon associate.
And that’s it. You’re hot to trot!
Required information and documents for account setup
To cruise through the setup process with minimum hassle, it helps if you’re already on a computer or phone with a forward-facing camera and have the following on hand:
- Passport or alternative government-issued ID (driver’s license, identity card, etc)
- Bank account or credit card statement from within the last six months.
- Credit card
Top tips for a smooth approval process
- Proofread carefully to double-check that your information is accurate and matches official records.
- Use a professional email address associated with your website domain for a more credible business image.
- Be prompt in responding to inquiries from Amazon during the approval timeline.
- If you plan to use Fulfillment by Amazon (more on that later), have a clear plan outlining how you intend to manage inventory and shipments.
H2: How to create product listings
Your product listings are your virtual storefront, so each element must be crafted with precision to entice potential customers. Here’s a list of essential considerations and top tips for how to list products on Amazon.
Product titles
Set the stage for a sale by providing a firm digital handshake that confirms your items are what potential customers have been searching for. Check out these helpful tips to ensure concise and compelling product titles that resonate with readers:
- Be clear – Provide transparent descriptions, being careful to avoid jargon or overly complex language.
- Include key attributes – Incorporate essential product details like brand, color, size, and material.
- Utilize keywords – Relevant keywords enhance search visibility. But be strategic. Your titles must remain reader-friendly.
Poor example: High-Tech Earbuds
Good example: Wireless Noise-Canceling Earbuds by SonicSound
Product descriptions
Each product description acts as a sales pitch, encouraging readers to learn more and click those all-important ‘Add to Cart’ and ‘Buy Now’ buttons. Remember, product descriptions that captivate and convert don’t just inform. They persuade. So, be sure to:
- Tell a story that engages by weaving a narrative around your product and its unique features.
- Articulate the benefits of how your product solves a problem or improves the customer’s life.
- Format for easy reading using bullet points, short paragraphs, and headers for easy scanning.
Poor example: This set of Bluetooth earphones has good sound quality and is comfortable to wear.
Good example: Experience unparalleled comfort with our ergonomic design to enjoy hours of listening without fatigue.
Product images
As the old adage goes, “A picture is worth a thousand words”. So, high-quality visuals are non-negotiable. Consider the following top tips for striking product imagery:
- Ensure every image is high-resolution and zoomable for closer inspection.
- Include images from multiple angles to give customers a comprehensive view.
- Provide lifestyle shots showing the product in use to help people visualise owning and using it.
Pricing strategy
Pricing is all about finding that perfect Goldilocks balance between profitability and perceived value. To determine the right price point, you’ll need to:
- Factor in production, shipping, and Amazon fees to accurately assess the cost per unit.
- Analyze competitors’ pricing to position your product competitively.
- Leverage quality, value, and customer satisfaction to justify a slightly higher price.
How to optimize your product listings
Learning how to list products on Amazon for maximum conversions and revenue is both an art and a science, requiring continuous monitoring to keep up with trends as consumer preferences evolve.
The goal is simple. The process, often not so much. From keyword refinement and A/B testing to strategic price adjustments and engagement with customers via reviews, so much goes into learning how to list products on Amazon effectively, that we could write a whole blog just on that. And, wouldn’t you just know it, we already have! Check it out to learn how to create the perfect product listing!
How to manage your Amazon listings
Efficient listing management is essential for driving sales and providing positive customer experiences. Ready to navigate the waters of order fulfillment, customer service best practices, and handling product reviews? Here’s everything you need to know.
Order fulfillment options
While you only have two primary options to choose from, it’s not simply a case of reaching into your pocket and flipping a coin. The fulfillment option that’s right for you will depend on your product characteristics, inventory size, preferred shipping speed, and customisation requirements.
Fulfillment by Amazon (FBA)
Best for: Sellers with a diverse product range and/or limited storage capacity
Around 64% of the sellers have adopted Amazon’s Fulfilled by Amazon (FBA) feature, which takes the complexities of logistics off your plate by handling storage, packing, and shipping. This is often the best option for sellers looking for a hands-off approach, leaving them more time to focus on scaling their business.
Fulfillment by Merchant (FBM)
Best for: Sellers who prioritize control.
Storing, managing, packing, and shipping your own inventory puts you in control of the entire process. While this demands additional time and resources, options like MFN Prime and third-party inventory management software (Linnworks for Amazon, anyone?) can help make light work of the process. Plus, self-managing inventory provides additional opportunities to make an impact by customizing packaging, tailoring shipping options to suit your brand, etc.
Customer service best practices
Effective customer service is the backbone of any successful business. So, in addition to perfecting how to list products on Amazon, you also need to handle customer inquiries and feedback with finesse. Here’s a few suggestions for keeping your customers delighted:
- Acknowledge and respond to customer inquiries swiftly, providing helpful and concise information.
- Manage customer expectations by being transparent about shipping times, order updates, etc.
- Leverage Amazon’s inbuilt communication tools and automated messaging to streamline customer service processes.
- Deal with issues promptly with a problem-solving mindset, offering speedy solutions to ensure customer satisfaction.
How to rock product reviews like a pro
Product reviews play a pivotal role in building trust and influencing purchasing decisions. Here’s how to handle customer views with prowess.
- Focus on providing excellent service and encourage satisfied customers to share their experiences to enhance your product’s credibility.
- Soliciting reviews legally is essential. Amazon has strict guidelines, and incentivising reviews with free or discounted products is prohibited.
- Comment on every review, regardless of the rating. But don’t be hot-headed – use your responses wisely to neutralize negative reviews and showcase your professionalism.
How to promote your Amazon products
In the vast sea of the Amazon marketplace, promoting your products using Amazon’s in-house advertising platform is often essential for increased visibility and sales. Providing a direct route to potential customers via targeted reach, Amazon ads are powerful and indispensable tools for:
- Reaching customers with high purchase intent
- Building brand awareness
- Increasing traffic
- Boosting sales and conversions
- Encouraging customer loyalty
How to list products on Amazon’s advertising platform
Amazon’s advertising platform is a powerhouse for sellers, making it easy to set up, manage, and monitor campaigns – even for non-tech-savvy entrepreneurs. Here’s how it’s done:
Step 1: Campaign creation – Create a campaign on the dashboard, selecting between ad products and formats (Sponsored Products, Sponsored Brands, or Sponsored Display) based on your goals.
Step 2: Select your keywords – Amazon will display your ads when users search for these keywords, ensuring your products reach the right audience.
Step 3: Set budget and bids – Define your advertising budget and bids for keywords for maximum control and maximizing visibility.
Step 4: Monitor and optimize – Analyze which keywords are driving the most sales and adjust your strategy accordingly to improve ad efficiency over time.
Strategies for leveraging Amazon ads
Let’s revisit those ad products and formats we mentioned in the section above and delve into how you can best use each one:
- Sponsored Products are great for boosting the reach of individual products when customers search for similar items.
- Sponsored Brands allow you to showcase multiple products within your range, creating a branded shopping experience for users.
- Sponsored Display retargets potential customers who have viewed your products without purchasing to increase the chances of conversion.
Helpful resources
As you can see, the journey to success on Amazon is a combination of strategic planning, continuous optimisation, and customer-centric practices.
Is it a bit intimidating? It can be, yes. However, there are a whole heap of resources and tools out there to help you.
FAQs
While Amazon’s professional seller account offers numerous benefits like advanced analytics and bulk listing tools, it’s important for sellers to consider potential drawbacks. One common concern is the monthly subscription fee, which may not be cost-effective for sellers with low sales volumes or those just starting out. Additionally, some sellers find that meeting Amazon’s performance metrics, such as maintaining high seller ratings and order defect rates, can be challenging and may result in account suspension or restrictions. Sellers should carefully evaluate their business needs and readiness before committing to a professional account.
Conducting effective keyword research on Amazon involves identifying relevant search terms that potential customers are likely to use when looking for products similar to yours. One strategy is to use keyword research tools specifically designed for Amazon, such as MerchantWords or AMZ Scout, which provide insights into popular search queries and their search volumes. Sellers can also leverage Amazon’s autocomplete feature and product listings of competitors to identify relevant keywords. Additionally, analyzing customer reviews and feedback can offer valuable insights into the language and terminology customers use to describe products, which can inform keyword selection.
When budgeting for Amazon advertising campaigns, sellers should consider several factors to maximize their return on investment (ROI). Firstly, it’s essential to set realistic advertising budgets based on overall business goals, product margins, and competitive landscape. Sellers should allocate funds strategically across different ad formats, such as Sponsored Products, Sponsored Brands, and Sponsored Display, based on their objectives and target audience. Monitoring campaign performance closely and adjusting bids and budgets based on key metrics like click-through rates, conversion rates, and advertising cost of sales (ACoS) can help optimize ad spending over time. Additionally, experimenting with different keyword targeting strategies, ad creatives, and audience segments can provide valuable insights into what resonates best with customers and drives the most sales.
Looking for more advice about getting set up, choosing your fulfillment options, or learning more about how to list products on Amazon? Check out this handy list of Linnworks resources for small businesses:
