Why Advertise On Amazon?

Increasingly, customers are beginning their shopping journey online. It is projected by 2021, there will be 230.5 million digital shoppers in the United States, according to Statista.* This trend presents an opportunity for retailers to connect with potential customers online–specifically on powerhouse sites like Amazon.

The Benefits of Amazon Advertising

• People Trust Amazon

It can be easy to give all the credit for Amazon’s success to their 2-day shipping and immense product variety. Interestingly enough, the reality is that Amazon’s convenience is only part of the reason that users shop on Amazon. Over the years, we’ve seen Amazon’s exponential growth attributed to the trust that consumers have in their brand.

In 2018, CPC Strategy conducted a survey of American consumers and their Amazon shopping habits. After analyzing the survey, they realized that the main driver of traffic on Amazon is the fact that consumers trust both the sellers and the shoppers.

CPC Strategy found nearly 80% of users actually discover new products on Amazon (jumping for 50% in 2017). To cement that point even further, more than 50% of shoppers are willing to try an unfamiliar brand on Amazon compared to somewhere else. This makes selling on Amazon essential for not only new businesses, but all businesses looking for new customers.

• Offers the full buyer’s journey in one place

Let’s face it, no matter how quick and seamless online shopping becomes, users will always want something quicker and easier. When you research a product on Google, it requires at least 2 clicks to get to the website and learn more about the product. The customer reviews? Potentially on a different web page. That’s another click. Want to learn more about the company? Yup, you guessed it. That’s another navigational click.

While the difference of 2-3 clicks seems pretty inconsequential to the company selling a product, for the users it seems like an unbearable task to constantly navigate across different pages to find out more information about the product.

When it comes to Amazon, all of this information is on one, easily navigable page. 

This could be the reason that millions of users utilize Amazon as a one-stop-shop. According to a study conducted by NPR/Marist in 2018, 44% of shoppers start their journey on Amazon.

Tips for a Successful Amazon Advertising Campaign

Now that we know why users shop on Amazon, how do we put this into action?! First, it’s important to note that Amazon advertising and managing your Amazon Marketplace business are two different sides of the business that work in tandem.

In order to be successful in advertising on Amazon, you first need to make sure your Amazon Management is up to snuff. This includes aspects of your sellers’ page including operations, products, reviews, defective rate, and numerous other factors.

Without tidying up the management side of the business, Amazon can (and most likely will) decide not to show your ad. This is because Amazon is known for facilitating positive e-commerce experiences. If they start showing advertisers who have defective products, delayed shipping, return issues, 1-star reviews, etc. that can seriously hurt the brand image and trust that users have in Amazon.

These standards are what help make Amazon such a unique platform to advertise on compared to Facebook or Google. While this might seem like a hurdle to new sellers, the juice is well worth the squeeze.

Perception is everything, and in 2020 consumers are looking more and more to Amazon to find brands that they can trust. Being able to piggyback off of and utilize Amazon’s established brand image as a trustworthy marketplace is an important and crucial benefit to new brands.

When you’re assessing your digital marketing strategy, make sure to take Amazon Advertising into consideration, especially if you’re looking for new customers (and who isn’t?!).

Need help managing it all? Turn to the experts. Learn more about Perfect Search’s Amazon service offerings and contact us for a customized digital marketing strategy to best fit your business.