How to Boost your sales on Amazon When Sales are Declining on Main Keywords - How to find the Issue
If you’re a new startup on Amazon and unsure of what to expect, this post will guide you through the first few months of selling, highlighting the kind of growth you can anticipate when you’ve done everything right.
Initial Challenges and Effective Strategies
Entering a highly competitive niche makes gaining traction difficult. Initially, we found that running standard sponsored product campaigns wasn’t as effective. There were some successes, but the real game-changer was sponsored brand videos. We had a well-produced video for our product that gained significant traction, especially when placed at the top of search ads. This strategy led to a notable spike in March.
Consistent Growth and Continuous Improvement
Since March, our client’s sales have been trending upwards. By the end of April, sales had reached $6,000, with projections to hit $7,000. This growth is attributed to continuously refining our strategy. We’re enhancing content with more infographics and lifestyle images to make the product listings stand out. These small changes can significantly improve click-through rates and overall performance.
Financial Realities of the Early Stage
During the initial phase, profitability is often elusive. It’s crucial to understand that this is normal. Early on, you’ll be reinvesting most of your revenue back into the business, particularly in advertising and product optimization. Initially, you might be spending 100% of your total costs on acquiring sales, but over time, this should decrease to a more sustainable level. Our client aimed for a 30-40% range, balancing profitability and growth.
Gradual Scaling for Sustained Success
Scaling should be a gradual process. Abrupt increases in spend and efforts often do not yield the desired results. Instead, focus on optimizing various factors affecting conversion rates, such as images and keywords. Once you have a streamlined and effective strategy, begin to scale gradually. This method ensures stability and continuous growth, as demonstrated by our client’s experience.
Navigating Competitive Niches
Competing in a hyper-competitive niche presents additional challenges. While the growth pattern discussed is achievable, entering a highly competitive market requires more time and investment. Selecting the right niche is critical; overly saturated markets may demand significantly higher ad budgets and longer periods to establish a foothold. Consider the competition level and plan your strategy and budget accordingly.
Conclusion: Establishing Your Product on Amazon
Understanding the process of establishing a product on Amazon helps set realistic expectations. Every product and niche will have different levels of competition and growth potential. It’s crucial to adapt and refine your strategy continuously. If you’re entering a highly competitive niche, be prepared for a longer, more resource-intensive journey.
If you need assistance with content creation, campaign setup, or strategic planning, consider reaching out for professional help. Schedule a call with us to discuss your needs and how we can support your Amazon business’s growth. Don’t forget to subscribe to our channel for more insights and updates on Amazon PPC and FBA strategies. We’re here to help you navigate the complexities of selling on Amazon and achieve sustainable success.
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