Amazon’s list of private label brands has grown from around 30 in 2017 to overn70 as of April 2018. Amazon’s private labels operate in several markets, such as grocery, health and household, beauty and personal care, electronics, and a remarkable 65 brands in the clothing, shoes, and jewelry market.
You can find these brands easily on their platform. By searching some common keywords, “supplements”, “auxiliary cable”, “wipes”, “diapers”, “laundry detergent”, and “children’s clothes” you can see that they all produce a box labeled “Top Rated from Our Brands.” This box sits close to the top of organic search results and present consumers with relevant top-rated products from Amazon’s private label brands.
So how can you and your eCommerce company compete with brands produced by one of the biggest companies in the world?
The truth is, consumers trust Amazon. In fact, they came first in The Values Institute’s 2017 National Most Trustworthy Brands survey. How can brands compete with Amazon’s private labels when their products are more prominently displayed, often priced lower, and have the backing of the nation’s most trusted brand?
Brands need to leverage the trust and credibility that your brand has gained over time. They need to strengthen their brand’s image to show that their products are trustworthy and of superior quality, create brand loyalty, and are worth the extra cost when compared to private label products.
Pattern Brand Manager Juliana Hacken, who works with Thorne, a trusted company in the nutritional supplement industry, says that “Loyalty to your brand comes from putting out the best product you can for your customers and providing great customer care. For Thorne that means extensive research and development and constant improvement to put out the products that best support the health of their customers. If products don’t meet their standard of excellence, they don’t sell them. Thorne takes care of its customers.”
In the e-commerce world, acquiring loyal customers begins by optimizing your product pages with top notch visual and descriptive content, increasing your visibility through search engine optimization (SEO) and digital marketing campaigns, and correctly managing your customer reviews.
It’s important that you know who your target market is. For example, in the ‘apparel’ category, Amazon has a few brands with a wide array of products, but most brands have less than 100 products each
“Amazon is creating brands designed to resonate with a specific consumer segment or focus on a specific apparel category.” With amazon working in a highly segmented market, it’s possible that you may not even be competing with them for their target market.
Are your customers the type to search Amazon for “B-complex Plus” or “5-MTHF” and are searching for high quality vitamins backed by health practitioners? Or are they simply searching “Vitamin B” or "Folate" and purchasing the least expensive option? You can avoid having to compete with or reduce the competitive effects of Amazon’s private label products if you are specific in defining what your niche is in that market.
This A+ content from Feetures uses simple iconography to explain the superiority of their socks and provides a great context photo of their product.
If you [the customer] don’t care enough about Energizer or Duracell to ask [or search] for Energizer or Duracell batteries, that’s really not Amazon’s problem—that’s a failure on the part of Energizer and Duracell." Your goal above all else in this competition should be that your customers reach out first to your brand and your great products before they can be drawn away by the low prices and attractive Amazon label.
For more information on how you can beat out Amazon’s private label brands or if you need help growing your Amazon marketplace, fill out the form below.
Find relevant content to accelerate your ecommerce business. Stay on top of industry trends and best practices.
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.