Amazon competitor analysis has never been a simple task. However, it is worth your time and money. Keep reading for more information!
It is true to say that Amazon is the largest e-commerce marketplace in the world today. Therefore, whether you are a beginner or a seasoned Amazon seller, your primary goal should always be to drive conversions and boost sales.
The competition in the Amazon marketplace is fierce because you have to compete directly with thousands of Amazon sellers. Despite efforts to improve product listings, many businesses miss out on their competitors, and that's a significant shortcoming.
To maintain a competitive edge at Amazon, it is essential to monitor and research your competitors comprehensively. So, without further ado, let’s explore!
Why is Amazon Competitor Analysis Essential for Amazon Sellers?
Amazon is a big commerce platform, and it is just getting bigger and bigger. Although the competition in this marketplace is so intense, it does not mean that you are outdone by tons of competitors.
To survive in the most competitive market, you need to evaluate your competitors' products and marketing strategies. This gives you a clear understanding of the relationship between what competitors offer and what buyers need. From the results you get, you will find a way to make your product stand out from other businesses.
Specifically, it allows you to make more informed decisions to optimize your ad campaigns. In addition, you can more effectively monitor performance and profitability.
So, you should consider competition as an advantage to promote the development of your business.
5 Key Competitor Metrics For Sellers To Track
Monitor the Targeted Keywords of the Competitors
Keywords are the basis for buyers to reach your product listing. As a result, your products are easier to reach potential customers if they appear on the top pages of Amazon search results for related search terms.
So, one of the first steps you need to take to analyze your competitors is to research their keyword strategy. This allows you to evaluate the specific keywords they use on the product listing page, which helps them improve product rankings.
The data you collect will allow you to adjust relevant keywords to your product listings page. As a result, you can optimize the visibility of your listing to gain a competitive edge over your competition.
Audit The Competitors’ Product Listing
In general, auditing your competitor's product listings is a simple and effective solution that will help increase your product rankings and sales.
In this step, you need to compare your competitor's product listing characteristics with yours. This includes the product title, description, and product image. This effort allows you to see how well your competitors have optimized their listings.
Try to figure out what helps your competitor's product listings attract customers. This will give you a clear idea of what aspect you need to improve to increase the ranking of your product listing.
By learning the strengths in all forms of their product content, you can improve the rankings and visibility of your product listings. What’s more, this allows your valuable potential customers to understand the details of your product with ease.
Know The Competitor’s Price
Most customers will compare the prices of products from different sellers before making a purchase. However, this does not mean that cheaper products tend to sell better. In fact, they also prefer faster shipping time and better availability.
However, assessing your competitors' prices is also necessary to ensure that your pricing strategy is robust enough to remain competitive in a highly saturated market.
As an Amazon seller, make an effort to understand your competitors' pricing strategies. This includes determining which products are selling best or how quickly they are selling out. From there, make a plan to improve the sales strategy for your business.
Check Out the Reviews of Competitors
Competitor reviews, whether positive or negative, provide you with valuable information, such as sales volume and valuable product feedback.
So, by checking product reviews, you can get some idea about potential customers, like which product features excite them, what makes them unhappy, and so on. From there, come up with innovative strategies to improve your product.
Evaluate Their Amazon PPC Strategies
Evaluating your competitors' Amazon PPC strategies allows you to structure your existing campaign consistently. What's more, you will learn how to leverage untapped keywords to drive traffic to boost conversions.
In general, researching your competitors' different advertising strategies helps you better understand how to choose keywords. You even have some excellent ideas for optimizing Cost-Per-Click over time. With a good strategy, it is possible to win high-value top sponsors.
Do Not Miss Amazon Competitor Research Tools
If you are inexperienced, you can always use available competitor research tools like Helium 10, Sonar, Keyword Scout, Sellics,... They are designed to help you compare your competitor's product listings with yours with ease. Specifically, these valuable tools will display the type of keywords used by competitors, CPC (cost per click), search volume, and other valuable information.
Using these competitor research tools, you will grasp the strengths and weaknesses of your competitors to plan an effective strategy against your competitors quickly. This includes positioning your services and products accordingly and highlighting critical differentiating features.
In short, you should take advantage of Amazon competitor research tools because they are worth your time and money.
By now, you have got an idea about what research your potential competitors do to boost rankings and drive conversions. Take advantage of the information you receive through Amazon competitor analysis to gain a competitive edge in the Amazon marketplace.