Get up to date with this week's ecommerce headlines from around the globe.
Amazon’s record Prime Day results
Taking place from Tuesday 12th to Wednesday 13th, Amazon’s annual Prime Day this year drove the 2022 record for online sales. This year’s Prime Day marks the biggest ever Prime Day event in the company’s history, with over 300 million items purchased globally. The first 24 hours of the event made Tuesday the busiest day for total U.S online spending, which jumped 7.8% from one year ago. The average Amazon Prime customer ordered $54 during the first 36 hours of Prime Day with top-selling items being Fire TV Sticks, Echo Dots, and gift cards.
Amazon to create over 4,000 jobs in the UK this year
Amazon has announced that it will be creating more than 4,000 jobs across the country this year, split across technology, warehouse and office roles. This recruitment push will take its UK workforce to 75,000 people, having created 40,000 new jobs over the past 3 years.
Amazon could be phasing out its private-label business
Amazon is reportedly phasing out its private-label business, including its AmazonBasics range, and are considering blending its private-label selections. Despite recent rapid expansion and offering cheaper alternatives to household names, the company has seen its private-label brand sales falling as those of rivals Walmart and Target soar.
Amazon launches a Tesco Clubcard Price Match for its Fresh stores
As inflation and cost-of living rises, Amazon appeals to customers as it carries out a Tesco Clubcard Price Match scheme at its Fresh stores in the UK. Prices of everyday groceries “matched and locked” to Tesco Clubcard deals every week but the scheme will only apply online rather than in Amazon Fresh stores.
Shopify’s app downloads slow down as the company struggles to keep up with Amazon
Canadian ecommerce giant, Shopify, has seem app downloads fall. The company is facing challenges such as customer retention and package-tracking capabilities, likely to be hindering their success. Although, the slowdown in app downloads could also be attributed to decreased consumer spending and rising global inflation.
Shein is planning to go public in the US by 2024
Shein is set to launch its first public offering in the US within the next 2 years, but is facing environmental, social and governance concerns that could slow down the plan. The company was recently valued at $100 billion USD despite allegations of dangerous working conditions and fast and prolific production chain, but major investors are not being put-off.
Buy-now-pay-later boosts sales for 75% of UK retailers
As a direct result of offering BNPL payment options to customers, 75% of retailers in the UK have seen improvements in at least 1 area of their business sales and performance metrics. Over 17 million UK consumers have claimed to use BNPL services, which has led to new customer acquisition improving for 59% of retailers.
Ecommerce sales are on route to exceed $1 trillion this year
A recent piece of research has predicted that ecommerce sales will rise to $1 trillion by the end of this year, which is double what it was in 2018. Ecommerce sales soared amid the pandemic, described as “four quarters of hyper-growth”, but shoppers are now more cautious in their spending habits as a recession looms.
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If you’re in the global ecommerce space, you are most likely aware of Amazon, and probably selling your products on the marketplace. With over $470 billion in sales in 2021 alone, Amazon stands as the third largest company in the world based on revenue. The ecommerce giant is a household name in the U.S. and working hard to grow its market share across five continents worldwide.
Having your products available on Amazon and being competitive there, though, are definitely two different things. If you want to really succeed on Amazon, you’ll need specialized insight into how Amazon works and how to make it work for you. So, for many brands, it’s a great idea to work with an Amazon Search Engine Optimization (SEO) agency.
At Pattern, Amazon SEO optimization service is one of our key competencies. We understand that technology, data-driven insights and expertise are the most important tools brands can leverage to win top listing spots on digital marketplaces. With expert teams and years of experience, we help brands conquer the Profitability Death Spiral as they compete with other products and sellers online. We offer Amazon SEO agency services as a core solution to brands that need more resources to get ahead.
An Amazon SEO agency serves brands by improving their products’ rank and listing performance on Amazon. They make strategic decisions about ad spending and placement that lead to higher traffic, conversions, and revenue for ecommerce brands.
A great Amazon SEO Agency partner will:
Unfortunately, many Amazon SEO agencies profit in unfair ways from your brands’ perceived success based on the ROAS numbers they provide. This is done through including branded search terms in ROAS reports, which naturally skew listing performance.
Let’s say, for instance, your brand is called “Annie’s” and you sell lollipops. Your brand has a very high likelihood of winning the top listing spots on Amazon for lollipop search terms that are paired with “Annie’s,” your brand name. So, SEO agencies will spend your ad money on those terms and report a very high ROAS.
To avoid scenarios like these, it’s best to look for an agency that either calculates their profits on metrics other than your ROAS scores or weighs branded search terms differently in the performance metrics reports. Regardless of your Amazon SEO agency’s cost structure, you should align onbranded search terms before committing to a scope of work.
A great indicator of a high-quality Amazon SEO agency is the level of insight they can provide into your competitors’ listing positioning and how it compares to yours. Data fanaticism is so important at Pattern that we’ve developed proprietary technology to display this exact information with precise detail for every brand we work with. In fact, you can find our free version here to see how you compare to some of your top competitors based on ASIN.
It’s certainly possible to improve your Amazon search performance with blind spending strategies. But a truly great solution will help you to know where your dollars are at their most powerful and competitive.
Amazon’s A10 algorithm prioritizes customer satisfaction—it wants to show consumers the best products that align with their search intent to improve conversions and sales. So, the best way to gain momentum on Amazon is to work on incremental wins.
Improving your performance on more obscure search terms that align with your customers’ search intent is a great way to increase ROAS for the long term. A10 will reward your success with better rankings on higher-volume search terms and the virtuous cycle can help you conquer your most-coveted listing spots. And the best part? This process of gaining momentum, if done right, will naturally decrease your ad spend over time as Amazon recognizes your value and works with you to keep your products at the top of consumers’ search results.
As an Amazon SEO specialist, Pattern knows how to help your brand win better success for long-term profitability on Amazon. With our data-driven tools and brilliant teams of ecommerce experts, we help brands with listing management, content optimization, Amazon ad strategies, and more.
Contact us to learn more about our SEO optimization services.