CEO’s Top 5 Pain Points of Selling on Amazon

Rebecca Brown

October 27, 2022

CEO’s Top 5 Pain Points of Selling on Amazon

At Pattern, we hear the struggles of selling on Amazon from thousands of global CEOs, and the struggles are remarkably similar.

Learn the five top pain points of selling on Amazon CEOs are facing and how to strategically solve each to continue to grow your brand on marketplaces.

1. Owning the Amazon Buy Box

One of the biggest challenges of selling on Amazon is winning the Buy Box. All is going well, when suddenly Amazon has suppressed the Buy Box on your product and the “buy now” and “add to cart” buttons have disappeared–now what? The fateful result is Buy Box suppression kills sales. When customers are forced to take extra steps to purchase a product, our data shows the chances of them buying your product plummets dramatically.

Owning the Buy Box is essential to a brand’s success on Amazon. At Pattern, we put the brands back in control on Amazon so they have a high success rate of winning the Buy Box. Using data-driven insights and AI, we identify which products are being suppressed because of compliance issues, incomplete listings, or pricing, and execute strategies to keep margins healthy.

2. Dealing With Amazon Unauthorized Sellers

There’s nothing to keep a CEO up at night like dealing with rogue sellers on Amazon. Both unauthorized and authorized sellers who ignore MAP (Minimum Advertised Pricing) can undercut profits and shrink margins nearly overnight. It only takes one seller dropping their price to kick off a domino effect of price erosion and generally, the more sellers who compete for the Buy Box, the more likely price is to erode.

By removing unauthorized sellers on Amazon, you will boost your brand equity across digital marketplaces and protect price across all your brick and mortar channels. Pattern has the necessary relationships with Vory’s eControl to identify and remove unauthorized sellers breaking MAP, get your brand back in control, and maintain your omnichannel retail pricing strategy.

3. Price Erosion

Price consistency is key to success. No matter how good your product is, if you cannot get a consistent price on Amazon it will hurt your brand on other marketplaces and channels, even brick-and-mortar retail. Keeping up with sellers who ignore your MAP policies can be costly and difficult, and sellers who ignore MAP can shrink margins overnight.

If your prices are falling on Amazon, it’s time to find the resources necessary to stabilize them. At Pattern, we’ll help your brand get its distribution strategy back on track so sellers who put your product on marketplaces are authorized distributors, maintain MAP, and stop price erosion.

4. Amazon Stock Outs

Product ordering and logistics is too often a guessing game prone to human error that leads to stock-outs on one hand, and overstocks with high holding costs on the other hand. The worst part? When your product listings go out of stock, Amazon can view you as unreliable–dropping your ranking, wasting ad spend, and increasing competition from other sellers, which hurts sales and profitability.

As a Pattern brand partner, you get access to ASIN-level software that provides full visibility into your inventory position so you can maximize your ad dollar potential and avoid driving customers to out of stock listings. We make sure you never lose out on a sale or waste ad spend due to out of stock and inventory issues.

5. Poor Listings

Poor imagery and lackluster product descriptions hurt conversion rates and lower organic ranking. Even with great products, brands can quickly lose effectiveness from a poor Amazon listing strategy. If left uncorrected, then your listing gets buried in the search results, and our data shows brands are most successful in the top 4 organic rank positions.

As a Pattern partner, your listings are built and managed by our award-winning creative team–similar to a creative agency, without the costs, we manage strategy, imagery, bullet points and copy, video production, and optimization. Rather than being just another creative agency, we’re a technology and services company that has perfected the formula for marketplace ecommerce.

Gain Control on Amazon With Pattern

For most brands, Amazon is a great tool for accelerating their product and gaining more revenue. Unfortunately, sometimes the pain points of selling on Amazon limit brands from achieving the success they deserve on digital platforms. At Pattern, we understand the importance of gaining marketplace control of your product. We have the data and expertise to help CEOs solve their Amazon pain points and get back brand control.

If you have any of these Amazon pain points, contact us to discuss.

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