June 1, 2020

The Ecommerce Equation: 3 Strategies Top Sellers Use to Sell Profitably

By Michelle Thompson / Brand Growth

Here at Pattern, we’re all about helping brands become successful, and through the years we’ve developed an ecommerce equation to do just that: visitors x conversion x basket size.

In this article, we’re breaking down each of the three strategies included in this equation and how we use it to help brands like yours grow and sell profitably on Amazon and other marketplaces.

Visitors

Nobody’s going to buy your product if they’re not visiting where it’s sold, right? So the first thing we need to do is set up an effective product page, and drive people to it.

First and most importantly, you need to have high-quality images of your product, and you need to have a lot of them—enough so that a customer who can’t see the product physically feels like they still get a good idea of what it is they’re purchasing. Low-quality images are the quickest way to make potential customers leave.

Next, product highlights and descriptions—strike a balance between short, sweet, and informative. You want to draw the consumer in with your product highlights, and tell them what they need to know with the description. Avoid repeating yourself and run-on sentences. For more tips on writing awesome product descriptions check out our blog here.

Finally, utilize the tools available to you to drive traffic to Amazon and to your product page. Check out our blog here for a full list of both online and offline tools and how you can use them to drive more traffic to product pages.

Conversion

So you got consumers to click on your product page—but now what? Here’s where conversion comes in. Getting visitors to your page and all of the things we told you about having great images and product descriptions are going to help with conversion. Essentially, content is king—and partnering with us helps create that awesome, conversion-driving content.

One of the things we’ll help you to do to not only get those first-time visitor conversions but repeat conversions is improving product reviews and having good customer service. Consumers will always trust each other more than they trust your brand, so while negative reviews may be annoying or difficult to deal with, don’t ignore them! Responding to negative reviews and offering help to a consumer can turn a negative experience into a positive one.

Acting like real people grows consumer trust and other people will notice, too.

Basket Size (Price)

Ah, pricing, that fickle mistress. How do you determine the right price for your product? And how to maintain control in a marketplace full of competitors, such as Amazon? Price erosion can seriously eat into your profit margins.

First, create a Minimized Advertising Price policy, or MAP. Creating fixed price points for your products among sellers will save you and your profit margins in the future. With a policy in place, sellers are required to advertise exactly how much your products are worth.

Next, of course, you have to enforce your MAP—but having a policy in the first place will be a major help. Having a policy will enable you to work to remove unauthorized sellers advertising your products for less than their worth in inevitable price dropping wars.

Here at Pattern, we partner our brands with legal counsel to help brands create their own MAP policies that are thorough and binding, so you can breathe easier.

Your Brand

So now you know an overview of what we do. It’s not a secret, but it can still be complicated to navigate on your own. That’s why we’re here to help. Check out our case studies to see how we’ve applied this formula to other brands, and fill out contact form below to get started on your path to ecommerce success.

More Resources
The Experts' Guide to Amazon Advertising Strategy
Accelerate Your Marketplace Presence—Mercado Libre