Amazon Marketing Services (AMS) was launched in 2012. It offers some exciting yet effective tools to help vendors stand apart from their competitors and drive massive traffic.

In recent times, Amazon advertising has undergone several changes, including the discontinuation of Amazon Text Ads, Initial Product Ads, and the renaming of eCommerce ads to Product Display ads.

Amazon has managed to evolve in three different Amazon advertising formats, namely,

  • Amazon Headline Search Ads
  • Amazon Products Display Ads
  • Amazon Sponsored Product Ads

Now, let us move ahead and understand Amazon’s marketing strategy and its different modules.

Amazon Marketing strategy-

Amazon Marketing Stratgy

The Amazon Marketing Strategy generally relies on the below-mentioned aspects.

  • Amazon offers the widest range of products. It is the largest eCommerce retailer globally and has an abundance of products. The majority of products (58%) offered on the platform comes from third-party sellers.
  • Amazon is known for scaling from small to large. They have got an abundance of experience and competence in scaling.- This is one of the valiant factors in playing an instrumental factor in exploring new business segments.
  • Amazon uses a user-friendly interface that integrates personalized recommendations and recent browsing history, among others.
  • The eCommerce giant has exploited affiliate products and resources. They have taken full advantage of these two to contribute to the crux of the business.

The figure mentioned below illustrates the growth of Amazon’s global marketing expenses.

You can see in the figure above the marketing expenses have been increasing consistently in the past seven years. In 2018, the figure is touching around 13.8 billion USD. This cost includes advertising and other promotions.

Earlier in their 2008 SEC filing, Amazon described their business vision as,

“Relentlessly focus on customer experience by offering our customers low prices, convenience, and a wide selection of merchandise.”

Achieving customer loyalty is something they have always laid importance to, and this has been one of the pillars of their success.

Others in the race failed to get over the line. They succeeded in achieving awareness, but not loyalty. Meanwhile, Amazon was able to attain both. Further, in their SEC filing, they mentioned how they achieved this. They say,

We work to earn repeat purchases by providing easy-to-use functionality, fast and reliable fulfillment, timely customer service, feature-rich content, and a trusted transaction environment.

Over the years, many of the Amazon’s Marketing Strategy has helped many on a certain budget to maximize sales. Below, we have created a list of some of those strategies.

-> List on more and more marketplace

Amazon is perhaps one of the biggest marketplaces. Yes, it may return a lot of sales, but you can also list and re-price on other marketplaces as well.

List of Amazon Marketing

To do this, link account and listings and start re-pricing in the safe mode so that you can clarify your pricing strategy without the need to affect live listings. Once you are satisfied with your competitive set-up, enable your account and have your inventory price checking on live listings.

-> Incorporate Google Shopping

You must utilize the potential of Google Shopping to the fullest. Some studies conducted by Forrester suggest that the retailers spend around 6% on Google Product Listing Ads (PLAs), and the number of PLA’s to get listed has already increased by 71%.

Incorporate Google Shopping

The increase in this number is due to the boom in visual commerce. Social media sites like Pinterest have a massive user base and are gaining massive popularity. In the same way, Google shopping uses visual commerce along with attracting visually motivating shoppers.

-> Going responsive for mobile users

Enhanced campaigns will lead to enhanced traffic, but optimizing the traffic is something that you have to do. Several data have revealed that almost 97% of mobile shoppers say to the mobile shopping cart, and it takes almost 21 steps to complete a particular sale on mobile devices.

How to enhance this experience for the users? Today, the method of enhancing the experience is costly and requires regular hands-on management. Instead of spending more bucks, you can opt for a responsive design for the website, wherein the website detects the device and visitors’ website design and resolute website downloads. With this, your website will work effortlessly.

Time to wrap up:

 Amazon Marketing Strategy is a vast topic in itself. The cost-effective marketing strategies mentioned in this post might have helped you understand the marketing strategies of Amazon. These strategies can be used to maximize your Amazon sales.

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