The Importance of Amazon Analytics Tool to Succeed in Your FBA Business
Nowadays, a lot of sellers on Amazon still wonders why they still struggle to sell enough units despite having one of the best products on the platform, the best offer, the best packaging, and the best customer service. While that kind of situation is perfectly normal for starters, most successful Amazon sellers would agree that the days of just laying out the best products in the platform are long gone. Today, one has to compete with a lot of sellers who also diligently work as they are on their products. The competition is so huge, and it’s getting fiercer every day. While digital marketing and online ads help you to get leads, it’s might still not enough to beat your competitors. What you also need is to understand and utilize your data from seller analytics.
What is Amazon Seller Analytics?
Seller Analytics are essential data that were generated every time you make a sale. Those data can create patterns that could help you make better decisions in your marketing strategy. For example, if the analytics show that your sale is high during summer but relatively low during the winter, then you can easily conclude that your product is seasonal. With this, you can opt to lower your inventory during the colder months, thus saving costs.
How to choose the right Amazon analytics tool for your FBA business?
Below we have listed some essential features an Amazon Seller Analytics tool must have before getting one:
Keyword research is an essential component in lead generation. By knowing the right keywords for Amazon, you’ll be able to tap the right customers who are looking for products similar to yours. While Amazon itself does offer its sellers automatic keyword generation, it’s quite limited and can’t offer any options for customization. So we highly recommend using other analytics tools that will help you find the right keywords to minimize the unnecessary audience and reach the right kind of buyers.
Furthermore, one cannot simply Google “How to find the right keywords,” as they need to spend lots of time learning how to do it properly. Also, doing manual keyword research would be an extremely tedious task.
Another feature that good amazon analytics tools must-have when providing the right keyword is that it should also include the traffic involved for every suggested keyword. With this, you can easily pick which is the best and high performing among the rest of the results. Also, we highly recommend using long-tail keywords since they can also help drive lots of audience to your product.
The competition never ends by just having the best product or services, and you also need to have very competitive pricing strategies to win Amazon’s Buy Box. Also, you need to consider that all your competitors are more likely to try to steal your strategies when it comes to pricing. Even a single cent can cause you to lose the Buy Box competition, so you must use a tool that can instantly re-price all your listings from time to time.
Manually re-pricing all your listings is a daunting task, and you’ll only waste a lot of time that you can spend on more important aspects of your FBA business. By having a product repricing tool, it would not only saves you time but as well as lessening the chance of committing pricing errors.
Furthermore, the tool should also send alerts before the re-pricing process and then doing it automatically without wasting time since there’s always a potential buyer on Amazon every second. However, make sure to feed your re-pricing tool with the right parameters because a slight error can cost you into significant losses without you knowing about it.
Inventory and shipping management
Amazon highly considers shipping and inventory if one is trying to win the Buy Box. With this, it would be highly advantageous if you have a tool that can manage your inventory and shipments so you can maximize your profit on Amazon since you won’t be running out of stock. It helps you track all your products stored in the Amazon warehouse hub and automatically update your inventory whenever there’s a returned or exchanged product, therefore, limiting the chance of inventory losses. Also, by providing you the current level of your inventory, you can also avoid having too many stocks, thus reducing inventory costs in the long run.
Keeps an eye to your competitors
When competing on Amazon, it’s either they spy on you or you spy on them. Keeping an eye with your competitors is also one of the ways to get ahead of them cause they are probably doing the same thing with you. With this, you need data from them like their current pricing at the moment and their pricing history or do they have product variations. All of these are just some essential data that you need to know so you can adjust your marketing strategy appropriately. However, manually doing it is not a wise move since probably there are lots of them you need to keep an eye on. But by using an analytics tool, you can easily track their pricing and even their profit margins. You can also get some keyword inspiration from them and integrate them into your marketing plans.
Track your product performance
If you have a lot of product listings, it would be difficult to track each of their sales performances manually. If your product has a poor product ranking, more likely it would not have a chance of getting into top search results and Buy Box placement. So it is highly essential to know their performances and make the necessary adjustments in your marketing strategies.
Getting seller analytics tool that can single-handedly analyzes your business growth and performance, supports you for product listings and re-pricing, track your inventory and shipping, you can have a huge advantage of winning over your competitors, and become successful in your FBA business. Moreover, some analytics tools can be used on multiple e-commerce websites, aside from Amazon, if you are planning to sell your products on different e-commerce platforms.