Prime Day Halo Effect Webinar
By Andrew Maff, on July 31st, 2018 ,
Curious about our next webinar? Check it out right here!
On July 26, 2018 our own Andrew Maff sat down with Matt Talmage from Informed.co to talk about halo effect of Prime Day and how you can keep those sales up throughout the next month, two months, and basically use this as a practice run for Q4.
Listen in as they talk about how sales, after Prime Day is over, have stayed up and how you can maximize on that.
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Andrew Maff: Welcome, welcome. It's Prime Day Halo Effect webinar day. We're going to let everyone start trickling in here. We've got a couple polls. I'll send this guy out. Here's the first one. While everyone's coming in, just would love to know where a majority your sales come from, so figure out where everyone is at. Obviously, it's going to be pretty heavy Amazon, for the most part. We'll need to have some people who will actually have a higher end on their platforms. Then those few stragglers who were doing Wal-Mart and eBay, good for you for making that a nice win. We'll let that poll go for a little bit while everyone's coming in. There is a little chat option as well. Feel free to chat, let us know where you're from. I love hearing where everyone's from. We'll introduce ourselves in a minute here, as people start rolling in. Matt and myself are ready to go. Make sure I got everything. You should see the poll on your computer in front of you. Oh, man. Another webinar day. Matt, how you doing, man?
Matt Talmage: Doing well, man. It's Thursday. We're getting close here to the weekend. Sun's actually out here in Jersey City for the first time in like a week, so that's good.
Andrew Maff: Yeah. Yeah, we're like 30 minutes north of you, so it is nice, I agree. Nice to finally get some sun, as opposed to the last few days where it's just been feeling like it's just floods left and right.
Matt Talmage: I didn't step in any puddles this morning through my commute, so that's good. Socks are nice and dry, so life is looking up.
Andrew Maff: How's the transition going from the old name to the new name?
Matt Talmage: Pretty good. I think most of the bugs are worked out. I think most people have figured it out by now, although there's still a couple old-school employees here that don't seem to be working, ad people and stuff like that. We still slip every now and then, but I think most of it has smoothed itself out over the last couple of months, for sure.
Andrew Maff: Yeah. It was funny, when you guys had reached out saying you wanted to do a webinar, I was like, "Wow, I can't believe I haven't done a webinar with them yet." And I looked up at my old webinars. I was like, "Oh, I did one with [inaudible 00:02:49] and that was them. I forgot.
Matt Talmage: Hey, everybody, [inaudible 00:02:56].
Andrew Maff: So, while we're sitting here just kind of bantering and we got some time to kill, how was SoJo? I heard you were at SoJo this past weekend.
Matt Talmage: I had a good time. How'd you hear that?
Andrew Maff: One of my colleagues saw you there and was like, "If you want to be really creepy, you should tell him that I saw him at SoJo."
Matt Talmage: That is kind of creepy.
Andrew Maff: I know, right?
Matt Talmage: No, it was fun, except it rained, so all the outside ... Or, it was lightning, so all the outside parts were closed, so it was really crowded inside, but it was still-
Andrew Maff: Oh, really? I still haven't gone. I need to go. I figure I'd start this off nice and creepy for us.
Matt Talmage: [inaudible 00:03:42]. But I'm with it, I like it. Yeah, no, it was good. I can never knock a nice [inaudible 00:03:51] every once in a while. You've got to take care of yourself.
Andrew Maff: Yeah. So, how ... We still got a few minutes here, so we'll just keep bantering, which is always the fun part while we're letting people straggle in. How was Prime Day for majority of your sellers? Do you know?
Matt Talmage: Prime Day was good. Prime Day was definitely good. July is always ... seems a little sluggish at the beginning. A lot of people are on vacation. That summer slog is definitely in full effect, but just looking at some of the numbers even to get ready for this, there was a definitely spike. Even the day leading up to Prime Day I think as the excitement kind of started to build, and so it looks like the end of July is going to be a very, very strong month for most sellers. So, yeah, so we're definitely excited. We've been busy, definitely, since the middle of the month. A lot of action on most of our listings, and our customers are really to get a close out of the month, so it's exciting.
Andrew Maff: Good. Yeah, it was interesting. Obviously we're in people's accounts all the time, so we came in, what was it, Wednesday, like Wednesday morning, and all we did was just sign into everyone's accounts and be like, all right, how'd they do? It was interesting. I saw a majority of sellers did at least double their average sales for the day, which was great. Had a couple guys, though, who were able to snag lightning deals and did everything right, and I saw a couple guys like 10x their average day, which was nuts.
Matt Talmage: Wow.
Andrew Maff: Yeah. That's a massive day, and considering it was over two days, so actually they kind of 10x two days over their average, which it's crazy. Then the interesting thing was I had a couple sellers too who ... It was funny. We said we were going to do this webinar. We did this right before Prime Day, and I was just like, oh, I was like, that would be a good webinar to do, the whole halo effect thing, and then I looked at some of our sellers over the week after Prime Day to kind of see if I could get some statistics or get anything for this webinar, and I had a couple sellers who actually had later on in the week, like Thursday and Friday, were actually better than Prime Day. They were up for the week. They kind of came down a little bit, from I guess people who couldn't catch any of the good sales and then decided, oh, no you know what? I added that to my cart. I still want to buy it, or something along those lines, and I saw some great numbers on Thursday and Friday, which was nuts. So, I've definitely seen this whole halo effect thing come into play.
Matt Talmage: Yeah, it's funny that you bring that up. That was definitely one of the things that I was going to touch on later in the webinar and obviously I'll give a little bit more detail when we get to that part, but just like you said, I noticed Friday and even through the weekend was really, really strong for a lot of our sellers. We saw a lot of people follow a similar kind of trend where Prime Day on the day obviously was a huge spike, and then a little bit of drop Wednesday and Thursday, but then Friday and Saturday saw another pretty big, pretty significant spike that held throughout the weekend. So, it's funny that you bring that up, but yeah, I definitely saw some guys that had very close to, if not a better day later in the weekend than they actually had on Prime Day, so ...
Andrew Maff: Yeah.
Matt Talmage: [inaudible 00:07:44].
Andrew Maff: Let's see here. What time is it, 2:02? We're getting there. I'm going to close this poll. So, 88% Amazon. Does not shock me. 13% on their own platform. That's great. Good for you. Congratulations, you own your customer. So, yeah, those numbers don't shock me at all. I was really interested to see if we'd get any big eBay or Walmart people joining us in here because I would've loved to have picked their brain a little bit. But, so yeah, so obviously a lot of big Amazon sellers here. I hope you had a great Prime Day. So, throughout the webinar here, please feel free to chat. There's a little chat thing on the bottom there, on the right of the little console that you have. Feel free to message us any questions. We're going to try to make this as interactive as possible. I believe I might even have the ability to bring someone on and ask a question verbally, which is kind of cool. This is my first run with Go To Webinars, so we're going to give this a shot. I switched over from another one because it was driving me crazy.
So, Matt, you ready to do this?
Matt Talmage: I'm ready. Let's do it.
Andrew Maff: Let's do it, man. All right. So, today we're talking about the halo effect of Prime Day and how you can basically continue to just keep using ... keep those sales up throughout the next month, two months, and basically use this as a practice run for Q4. For those of you who don't know what we're talking about on the halo effect, basically we're talking about how sales are going to ... or even have been, now that Prime Day is over, have stayed up and how you can maximize on that, and we're going to get all into that. So, if you have questions, feel free to message us. So, I'll go ahead, introduce myself. Now that I'm thinking about it ... Okay, cool. Just making sure you guys can actually see this thing. So, I am the director of marketing and operations here at Seller's Choice. We're a full service digital marketing solution provider agency. I've been in the industry for a little over a decade, majority in e-commerce, and I love a good glass of whiskey. That's probably going to happen right after this webinar, depending on how it goes. How about you?
Matt Talmage: Good. I might have to come join you for that. Matt Talmage, I'm the director of marketing here at informed.co. We are [inaudible 00:10:21] pricing software for over 4,000 sellers. Formally, I've worked in the snack food industry, and then I've worked in sports analytics, and done marketing for a bunch of projects here and there, so I'm coming at this a little bit more from the analytics side of things. Don't have a super extensive e-commerce background, but I can definitely tell you where the signal is in all of this data, so I'm going to try to were that hat throughout the course of this. I also love to drink. I love my cat. I love to cook, kind of needlessly elaborate home cooked meals, and use every pot and pan and dish in my kitchen, and my wife cleans up after me, so it's usually a good time.
Andrew Maff: Nice. All right. So, obviously, just like pretty much every standard webinar out there, we're going to have a Q&A at the end. Typically, when I do webinars at least, the Q&A is almost pointless because I really try to get to the questions throughout the entire webinar, but we will block off a little bit of time there towards the end to get to any if we get too many. Then I've got a bunch of free stuff. Matt's got some free stuff we're going to give away. I even am able to just send it to you via Go To Webinar, which is pretty cool. So, I've got a bunch of free stuff. Stick arounds towards the end.
So, you're here for this webinar. Why are you here? Why are you sitting on this? Chances are you are an Amazon seller or you are a seller who saw something happen in Prime Day even off Amazon and want to learn a little more about it. So, we're going to be looking into how you can basically continue this whole Prime Day high through as far into Q4 as you can. I really consider this ... picture yourself surfing, and you're really just riding this wave, trying to get all the way back to the beach until it's about time to just get back in there and do it again. There's definitely the sales and the back to school shopping. We'll get into some re-pricing stuff. Of course, with Matt here and his expertise, we'll touch in on some Amazon PPC and some other advertising tactics as well. Then there's a good chance that you're here just because you're really cool and you're awesome.
So, interesting statistic. This is funny. We agreed to do this webinar, and then I think maybe two or three hours later, this article pops up in my email. Target had its best online shopping day ever on Prime Day. Prime Day is Amazon. It's not Target. So, obviously Target did have some sales of their own. Walmart also did very well on Prime Day. So, Prime Day is really just becoming this mid-summer Black Friday of everyone is doing stuff. So, I think the main takeaway I took from this was next year, all the sellers that hopefully have diversified by then and are on different marketplaces and everywhere else should really keep in mind yes, you do want to focus on Amazon, because it is the focal point of the holiday, but you do still want to be ready on all your other platforms because clearly people are just going shopping crazy everywhere that they possibly can, whether you're on there or not.
So, some interesting statistics, interesting statistics. I'll get it out. From Prime Day, that I thought was crazy, they had over 100 million products sold. They did over a billion in sales, which I saw, I'm sure you've seen, it's been posted pretty much everywhere. Prime Days in almost every country. So, that's the interesting thing, is Black Friday is great, but it's really only in the states, whereas Prime Day is global, at least through an Amazon perspective, which means at a certain point, globally, e-commerce is just going to be massive now that people have started to realize Amazon is doing it everywhere. They beat out Black Friday from this past November. These were a bunch of top sellers that they had. Obviously a couple of them are Amazon products, but it was really interesting to see that these were some of the top sellers, some of this stuff I've never even heard of before, like clearly everyone needed to buy toilet paper in July for whatever reason. But these were some of the top ones that I was able to find.
The thing that blew my mind the most about these statistics is that they were down. Amazon went down on Monday, which was crazy. The first few hours of Prime Day, they were down. If you went to Go, you got one of these awesome little dogs, because they're so dog friendly, so they posted all that stuff, but it's very interesting to see Amazon have a 36 hour sale crash and still have such astronomically large numbers. So, when you get numbers at that size, at a certain point you have to accept the fact that these are going to trickle into other sites. They're going to trickle into other platforms. It's basically just a day for people to go online and shop their hearts out. I see this as just ... I have a feeling in the next five years, this is going to be much, much bigger than Black Friday.
So, that's our cue to talk about how we're going to be able to continue the process. Now, it's not going to be like every day is Prime Day and you make a ton of money, but the goal here is to instead of having that all of a sudden you have that giant peak in Prime Day for it not to just drop. We want to see it slowly trickle down, and obviously I know Prime Day was ... We're a little late. Obviously we're past Prime Day already. These are all still tactics that we can still definitely still put into place. There's nothing really here that you're too late. Plus there's obviously going to be some stuff we're going to touch on about things that you should be doing just ongoing whether it's Prime Day or not.
Matt Talmage: Yeah, it's an exciting time for sure. Prime Day comes and goes, obviously, and then as this halo effect extends all the way into back to school season, you're going to blink, and all of a sudden it's going to be Black Friday, Cyber Monday, right through the holidays. So, it's definitely on from here on out for the rest of the year.
To take it back to this halo effect that we're talking about with Prime, as Andrew was touching on, marketplace promos are going to extend way beyond just Amazon. Target had its best sales day ever. We also this extend to a lot of our local channel sellers. I even pulled some metrics about people that are using our Walmart repricer. So, all of our Walmart customers, and average the 10 days before Prime Day to see hat the sales volume was versus the 10 days inclusive of Prime Day, and then the nine days following, and we saw on average a 200% increase in average daily sales volume during that period from the 10 days prior to the 10 days after, and that's just with Walmart. So, this is definitely bleeding over beyond the Amazon marketplace. It's into the other websites. So, it's definitely, if you're thinking about going multi-channel or you're thinking about expanding into Walmart, Prime Day is just going to [inaudible 00:17:57] Amazon.
So, this hysteria that gets created around Prime Day isn't just limited to the 36 hours of the deals. As we talked about while some of you were coming onto the call, we observed on our end [inaudible 00:18:14] customers, and I looked at a very consistent trend that showed a huge spike on Prime Day, definitely a noticeable peak in all the sales volume data, followed by a little bit of a dip starting to come back to earth Wednesday and Thursday, but then another noticeable spike that held throughout the weekend, Friday, Saturday, Sunday. We definitely saw some people have really, really strong days on Friday, almost as good as they had on Prime Day, and in a couple of cases, even beat Prime Day itself. So, definitely cause for optimism and excitement around this day that's not going to be limited to just that window.
I think it's important to keep track of all the promotions that are going on, and then also I think that the higher than average sales after Prime Day is definitely still holding true. So, even past this weekend, sales volume definitely coming back to earth a little bit, but the way the beginning of July is with a lot of people on vacation, the slog of summer, definitely a slow start to the month, but now that Prime Day has kicked things into gear, we definitely see that [inaudible 00:19:32] sales are high, and definitely elevated from where they were at the beginning of the summer. So, basically, Prime Day is just one big massive catalyst for getting people to buy. Some of the good news is that as Prime Day shoppers begin to receive their orders, their friends will see all the cool new stuff that they're ordering and word of mouth will start spreading and it's just going to drive more people to do more shopping if it's just to keep up with the Jones', keeping up with their friends, so one big, huge catalyst here.
Andrew Maff: Yeah. One thing I noticed that a lot of sellers didn't keep in mind is Prime Day, yes, people go in and they go to buy and they purchase immediately, but in a lot of cases as well, they're just going to add to their cart, and then it may sit there for a little while. So, they may come back and purchases it later that weekend, or they may go, "Ah, I forgot to order something, let me go back," or a lot of these other sellers who are running coupons or things like that that are going for longer than Prime Day, someone's got that deal. They go onto Amazon to purchase this product and then they go, "Ah, well, I'm here, let me get something else." So, there's still a large increase, a trickle down effect if you will, of people who are really just on Amazon to shop and depending on how they were shopping, if they left it in a cart or if they're using someone else's coupon or anything like that, the traffic is still there. So, if the traffic's there, what you have to focus on is really how to convert the traffic that's sitting there.
So, to us, this is kind of where we touch a little bit on our whole philosophy here. We really believe in obviously diversifying and branding yourself across the board. So, obviously people on Amazon saw some good numbers, but this is a fantastic reason of why you really should be selling elsewhere, like Walmart of eBay or Sears, if it's still around, or Rakuten or Newegg, Wayfair if you can get on there. Really, if you can be anywhere possible, this is where you're giving the consumer to shop wherever they want. In some cases, because Target saw such a big increase or Walmart even saw ... I think Walmart saw more mobile traffic than Amazon did on Prime Day. I think that was the statistic I saw, or something along those lines.
What happened is people went to shop on Prime Day, but then they realized some of these sales are insane, where they're like really, really cheap, and some of them are like okay. So, in some cases, they may go back and say, "Oh, you know what? Let me go look at Walmart. Let me go look at Rakuten. Let me go look at Target." This is why a lot of people were just ... Amazon did a great job at driving traffic to Amazon, but they also did a great job of driving just awareness to everyone should shop on this day. Because they've pulled it off, everyone shopped on this day in a lot of other places.
This is kind of where we talk about basically playing offense versus defense. So, offense is basically you're going out and you want to be on Walmart, you want to be on Jet, you want to be on Facebook and Twitter and you want to be promoting all the time. You want to be promoting. You're basically reaching out to the customer, but you're never blocking out your competitors. Some ways to block out your competitors is by advertising out in front of them and taking out some of their keywords, or in some cases, if you're not on all of these social channels that we have listed here, these are all places that your competitor could be winning because you're not there.
Now, that's a whole nother webinar about doing social media and being on every single one and whether you should be or not. It's kind of a loaded answer, but still, it's a matter of being in any place that you possibly can, and that includes social media or email. A lot of sellers saw a lot of traffic, and a lot of success, by pushing to Amazon or pushing elsewhere, which I'll touch on here.
Matt Talmage: Yeah, so, I can jump in on some of this too. So, these are some tips that we definitely wanted to give to our sellers from the repricing side leading up to Prime Day, but certainly some of these lessons ring true throughout this whole halo effect period in the couple weeks after Prime Day, and even leading into back to school. Really, believing in the data, and knowing what your top products are, and being confident in the sales volume that you think you're going to do, accounting for that spike that's definitely coming as you get closer to Prime Day and move past it. And knowing what your margins are, and knowing what you realistically can expect to make and where you can make a little bit of a sacrifice and maybe drop your minimum price a little bit lower, knowing that you are going to make up for it with a spike in volume on Prime Day. So, being really familiar with the data and understanding the margins for your top products is just going to make life a lot easier, and it's going to let you exploit this increase in traffic that we've talked about to your fullest ability, that you know where that volume is. We'll get into that a little bit more later on.
It's important to have your best performing products on hand as well. We're going to burn through inventory now. As we said, it's on. It's the busy season. Amazon was really starting to push ... I was reading some articles. Prior to Prime Day, a lot of their own health and beauty product lines, so Amazon's branded products. If you're sourcing health and beauty, it might be good to ride on the coattails of that trend. That was one tip that we definitely saw, and a lot of growth in that segment. Don't kind of waste the day on trying to just burn underperforming inventory or sell low quality, less trustworthy products. I don't think the halo effect is ever necessarily going to save you or ... There's no reason to lean into underperforming products. This is about striking while the iron's hot and maximizing and playing to your strengths, and that's what we always want to recommend to our sellers, is don't rely on this halo effect to save you from your underperforming items.
If you're not using an automated repricer, you could be leaving some sales on the table. You want to be optimizing your listings to stay in the buy box for as long as possible and definitely really, really exploit this increasing traffic, and really be the offer that is in everybody's face and is staying in the buy box for as long as possible. So, you want to be using a really, really smart algorithmic repricer that's going to keep you there. I'll tee you up. Andrew has talked about your stuff, but you definitely want to be advertising your best product. There's no doubt about it. With increase in traffic, that's just going to make everything that much more efficient.
Andrew Maff: Thanks for the tee up. Before I touch on the advertising and everything, I'd like to do another poll real quick. I'm curious as to how Prime Day actually went for everyone. I know a majority ... We were talking about this while we were bantering before we started. A majority of the sellers that we're working with right now almost I would say 60-70% of them saw about a double their average daily sales for July. So, they were up about 50-100%, give or take. I did have a handful or thought that just did 10x or 12x and just had an amazing Prime Day. So, I'm interested to see how everyone's doing. I'm already kind of intrigued now because only 50% of you as of right now said it's amazing, but I have 17% of you who said it's horrible. So, I would love, if you want to chat over why it was so bad, I'd love to see if we can't chime in a little bit on that, or even if it wasn't as good as you expected, I'd love to hear a little more on that.
I will let this run for another second here. I'd love to see how Prime Day went. Majority of people said it went really well or it was okay. Few people said it was so bad, so I'm interested in why some people thought it was horrible, but I've also gotten some mixed results, and I am curious as to how people approached it. I do know that the one lesson that a majority of sellers I know learned this year is don't wait until a week or two before Prime Day to start looking into lightning deals. They closed that in I think late May. So, that's what I saw really helped a lot of the sellers. Then everyone kind of panicked and just did coupons, and some who had the ability to do social promotions did that. Let's see here. Let's go ahead and close this poll. So, yeah, so 17% of you said it was horrible. That is amazing. I would love to hear why maybe it was horrible. Everyone here apparently sells on Amazon, so we learned that. I hope a majority of you have diversified a little bit, but let's start with the advertising the products.
So, this is something where a lot of this is standard that you really should have been doing before Prime Day, whether it's Prime Day or not, it doesn't matter what time of year it is. There is a slightly different approach to some of these. So, there's kind of a theory. Obviously we all know here Amazon doesn't publicize much of anything, but there is a belief out there that your BSR on Prime Day, so during Prime Day, so on Monday and Tuesday, is actually not effective. So, your increase in sales, your increase in conversions, everything like that, they kind of ... I'm assuming they put some block into their algorithm and they basically say this is an outlier, so we're going to block these two days out so that it doesn't mess with the algorithm. But the days after, that's not the case, and yet there's still this trickle down effect.
So, your BSR, provided your listings were optimized, provided you're doing your advertising correctly, provided you're pushing traffic to everywhere you possibly can, at least in the BSR aspect, this is for Amazon right now, this is going to increase your organic traffic, which is going to bring your marketing cost down, which is going to make you completely flip flop on how well you're doing, so you're going to really start to benefit from this whole trickle down effect from Prime Day. So, by having that ability, you really need to make sure you're advertising everywhere you can. So, Prime Day is over; it does not mean that lightning deals should stop. Everyone runs these lightning deals for just during the Prime Day push and then that's it. I informed a lot of sellers, do a Prime Day lightning deal if you can get one out there, and then do one for right after. Do one for right after Prime Day while they still have some great traffic and while you can still get some more people out there, and these are all the sellers that I have seen had a great Prime Day and instead of just tanking down, had just a nice, slow ride, and they've been pretty much stagnant, about 50-100% higher than they were the year prior.
So, they're doing great. If you can't hop on a lightning deal, we always suggest to do a coupon, just to have that little extra promotion out there. This is also stuff you can do. Traffic is still there. People still have stuff sitting in their cart. People still have some coupons. I know a good chunk of sellers who had coupons for the entire month of July and are trying to make it like a Prime Month. So, there's still traffic out there. So, adding that coupon, just even that little extra dollar, you'd be surprised, because that bright orange color, even though it's just a dollar, it's still catching their eye because it's different from all the other listings, so consumer who doesn't know anything about what we do is going to scroll through and see this little coupon and go, "Oh, what is that? Oh, hey, this is a dollar off. Well, let me check it out." They'll click it. Maybe they won't purchase, but at least you're getting a little bit of traffic.
Obviously you have your standard ads, so you have your headline ads, your sponsor product ads, and then off to the right here for anyone who's on AMS, you know you have the ability to do product display ads, which I don't know if anyone saw, but yesterday Amazon change the backend to PBC, so it looks like we may be getting product display ads soon, but they finally for once consolidated sponsored products and headline ads so you can get all your information in one spot instead of having to pull 15 different reports. But, I digress. So, with PBC stuff, everyone the week before. It is amazing to me the sellers who reach out to you two or three days before Prime Day and go, "Hey, what are we doing?" and we're like, "Well, we spoke about this a month ago." So, with PBC, if you did it correctly, you severely increased your budget on Prime Day so that your ads would show. If you were at a certain bid and you got an increase in traffic, that bid is probably still good. You might want to increase the bid a little bit, but you don't need to go from a dollar to $6 and just be like, no, I want to win. You're going to spend ridiculous money, and it's just not going to work.
What you want to do is you just want to increase your budget, so that you can let your ads run throughout all of Prime Day. What you don't want to do now that Prime Day's over is lower that budget. There's still a big increase in traffic. You want to keep your budgets up high and you want to keep those bids slightly above where you're at on average. Not crazy. Don't do this massive 50% bid increase. A small, 10-15% bid increase, just a little bit more than you would, because there's still a very good amount of traffic on Amazon right now. Run as many ads as you can. Be everywhere as you can. Have the lightning deals and all this stuff.
This is where I touch on other stuff besides just Amazon. This is why I had mentioned earlier about the whole offense, being on social and have your email marketing. So, some of you who may not know, the storefronts on Amazon are like fantastic. We have so much fun with these. Our design team has a blast, they get to basically create whatever they want, and the PBC team has a blast because for onc you can actually track conversions. It's like, Amazon finally gave us a pixel for Facebook. So, if you don't know this in the backend of the storefronts you can create a custom source tag, which is basically just a fancy URL. You can use that fancy URL in social media, drive traffic to your storefront, which is fully branded however you want it to be, and in the backend of the storefront you can actually see how much traffic came through that link, so you can know, oh, I did this link on Facebook ads, so you actually can know.
So, what's happening is Amazon is giving you more and more credibility for pushing traffic to Amazon. So, we have sellers pushing traffic to their storefront, which is basically a glorified version of your own website on Amazon. The way we see it, Amazon is trying to compete with the Shopifys and the Woocommerces and all of the, and basically trying to just let you create your own store on Amazon, and that's it, and you don't shop anywhere else. So, you have this ability to push traffic there. Now, it's not fool proof. It's not a code. It's just a URL. So, if someone clicks away and comes back or if anything like that, things get kind of messy, so you do have the other option of doing your social promo codes, which is the promotions on your advertising, where it will actually create its own landing page, like we had here for the social promo codes, where you can push traffic from social to the site and it will have its own page.
By doing this, you're pushing traffic to your listings from off Amazon. Amazon's algorithm is traffic, conversions ... Well, conversion rate. Obviously conversion, so orders, and then clearly reviews. So, even traffic alone is going to help you with your BSR. So, this is pushing more and more traffic to your listings. These are the ways to increase on Amazon. You should really be doing it elsewhere. You should be doing it to your own store. You should be doing it to Walmart or Target or anywhere else your consumer likes to shop. But we found what we like to basically use is kind of a work around.
So, we have sellers like this now who are starting to add available on Amazon, available on Target, available on eBay, available on Jet. When you start pushing ... I'm sure everyone has seen this. Over the few years, sales are not increasing on your site as fast as they used to. If anything, maybe they're decreasing, and on Amazon, it's doing the complete opposite. People are coming to your site, they're copying and pasting your title, they're going to Amazon to see if you have it there. If it's the exact same price, they're going to shop on Amazon. If it's less expense, they're going to shop on Amazon. If it's more expensive, depending on how much more expensive it is, then they'll shop off Amazon. We've actually seen consumers who will pay an extra five, six bucks on Amazon just because they know they're getting it in two days, they know they're comfortable doing returns and all that.
So, by having this, we can now push all of our traffic to our website, but if the consumer is more comfortable shopping on Amazon, I'd rather them go to Amazon and go to my listing and purchase than go and search for themselves and get hit by competitors' adds and then all of a sudden they're cheaper and now they're gone. So, we started to add all these options. Now, the con here, which is obvious, is that you're most likely going to lose more traffic on your own site. More people would rather be comfortable shopping on Amazon.
Depending on the brand, if you're not a premium brand and you have the ability to do discount codes and it's relevant to your demographic, what we suggest is to do a pop-up that gives you a discount on your site and your site only. So, that's enticing them to stay on your site. If not, and they don't want to do it, let them go elsewhere. This is keeping your consumer, this is keeping your customer. This is really starting to ... We've seen a lot of traffic and a lot of help, and we've seen people go over to Walmart or go over to Jet or go over to Target, wherever we can get them to go. If they're more comfortable there, I'd rather let the consumer be happy with their purchase and get more comfortable with the brand than force the to shop somewhere that they don't want to shop.
So, that's where the whole branding play comes down. So, you have this giant halo effect. You have an increase in traffic on Amazon obviously for Prime Day. You have an increase in traffic everywhere else. Everyone and their mother is running a promo code on Prime Day to try and take advantage of this. You're doing your own stuff on Shopify. If your products and your branding and the voice and everything look even remotely different, and you send that traffic to another site, the average consumer is not the smartest person in the world, they're going to get confused, they're going to leave, so they're going to end up going to a competitor. They're going to be like, oh, I don't know if this is their product or not.
So, this was just an example of a brand we work with, where every single one of their listings everywhere that they possibly sell, we wanted to make sure that they look exactly the same. We don't want to confuse the consumer. We want them to be comfortable with what they're shopping with. We want to make it as easy as possible. Take a page out of Amazon's book. Stop worrying about your margins and where you're shopping or what you're doing on your site or how you want it to look, and just be consumer facing. Just make your customer happy and it'll come back to you tenfold every time, and the easiest way to do that is to just brand across the board and make it simple.
Matt Talmage: Yeah, I think definitely the appeal of focusing on branding is huge, and one way to free up time to do all of that is to definitely be rethinking your repricing strategy, guys, as you head into Q4, hopefully closing out Q3 on a high note, then heading into holiday shopping season making sure that you're leveraging the automation tools that are out there and really using the power of automation to your advantage in real time to focus on all other aspects of your business. If you're still using manual repricing here, you're probably spending way too much time getting in there, making manual adjustments. You're leaving money on the table. You're leaving opportunity on the table, as the competitive landscape continues to shift and shift damn quickly, especially across Prime Day, as people run out of stock and lightning deals are coming in and out of the picture. Being able to have a real pricing strategy that's going to adapt to that changing landscape is hugely important.
So, we'll dive into a few of these other points in a little more detail if you want to go the next slide. Sorry, one second here. But, yeah, so, one of the things that you can do, if you're using informed.co, is toggle between a profit-based or an ROI-based reporting structure so you can actually see how you're doing kind of in your own terms, and if there's a dollar amount that you're comfortable making on a specific listing or you just want to see things in terms of a percentage or an ROI. You can toggle between both of those types of reports and see exactly where you stand. This is what we were talking about before, is really recognizing where the opportunities to maybe drop down your minimum price in your repricer, let yourself go a little bit lower when there's going to be increased traffic, and make up for it with that increased volume. We'll be able to spot those opportunities very easily within our listings tool. If you're sorting by return on investment or sorting on profit margin, you'll easily be able to see what your best performers are and where there's opportunity to improve.
So, if we know your cost and we know that you want to make $5 per sale, we're going to adjust your minimum price accordingly. We're going to do all of that work automatically to make sure you're never selling below that threshold, and then you're able to come in a couple days before prime day or on prime day itself and lower that $5 minimum profit to $4, let's say, and you're not going to have to make that same adjustment to thousands of listings, but we're going to apply that to the entire strategy so every listing you have assigned to that strategy. So, you can make these changes in bulk, and you can really exploit the opportunity when there's more volume to be had.
Then, as I was just touching on, you really want to be reconsidering that minimum required profit. So, you want to be looking at your top selling products, you want to be seeing where there is room to maybe bring that minimum required profit down, and then you're able to adjust it accordingly. [inaudible 00:42:13] going to give you a nice handy tool when you're setting up your minimum profit that's going to show you where your costs are, what Amazon's fees are involved, and what's left over that you're going to keep, and it's going to show you that in a nice visual way so you can always understand what's happening [inaudible 00:42:30].
So, one of the strategies that you can really use to your advantage is you can automatically compete with the lowest price. This isn't always what you're going to want to do, but certainly if you want to liquidate items that have just been sitting around, you really need to free up some space or free up some funds to kind of reinvent in your better performing products. If you do need to move inventory and weave into the increased profit by trying to get some of these unmovable products out the door, compete with the lowest price, and make sure that you're always the lowest price offer available on the listing, and you're able to do that with one click, with a pre configured repricing strategy. Fix it, forget it, hopefully move some of these products out the door, and reinvest in the stuff where you can actually really make some good money.
If you're not using algorithmic repricing, again, you're leaving some money on the table. What algorithmic repricing is going to do is it's going to be event based, and it's going to not just lower your price below the lowest price competitor, but it's going to do that to a point until you're going ... It's going to take into account seller rating and all of your other metrics in order to get you to that optimal price that's going to win you the buy box in combination with all those other factors. Then once you're in there, we're going to not stop looking for opportunities to raise your price if the competitive landscape changes. So, if somebody else is offering a deal and they run out of stock, and now there's an opportunity to raise your price without losing that buy box, that's what algorithmic repricing is really going to help you do, and that's one huge advantage of using a repricer that offers an algorithmic solution such as our get the buy box strategy that we have available.
Then, this is also a great opportunity to be driving bundled products or private label items, white label products, if you're playing the private label game, take advantage of the increased traffic too. So, one way to do that, a lot of people come to us and say, "I'd love to be using reprice strategies, I'd love to be taking advantage of automation, but there's no competition on my listings." So, you guys have nothing to react to. To that, we've come out with a sales philosophy repricing strategy that doesn't care about competition on the listings, so it's perfect for private label sellers.
What it's going to do is you tell us how many units you want to move of a particular product, and when you want to move them by, and we're going to fluctuate the price and initially come out and create a lot of noise and kind of move the price around and see where the sweet spot is for moving units on that desired sales velocity. It's perfect if you need to get rid of multiple goods in a pretty big window, but it's also perfect for private label sellers who might not know what the market is willing to pay for your item and need to let the market dictate it and there's not so much competition on the listing to really tell the repricer where to go.
This is a brand new strategy that came out about a month ago, and we've seen a ton of success with it, a lot of adoption from existing customers who were using it simply for their branded products and never thought there would be a solution for private label and you've now started to really see some great results with this. So, it's another approach that you can definitely take, to take advantage of the increased traffic over the next month or so.
Andrew Maff: Okay. So, we've got another poll for you guys. I'd love to know if you think that you are actually ready for Q4. Q4 for almost all sellers can be nuts, can be just a huge increase in traffic. Obviously, what we've spoke about here, should be ready to go. First couple answers off the boat is, no, I haven't prepared at all. So, August is next week, which means you got two months. So, buckle up and get ready. For the month of August and the month of September, I will be doing a Q4 prep webinar series on how to prepare for Q4 over the next two months, so stick around, feel free to join us.
So, we went through a lot today. There is definitely a lot of stuff we touched on. I want to make sure that we did everything we could and answer as many questions as we can. Now is a good time for you guys to start submitting any questions you may have. While you have those questions, I'll tell you guys a little bit about what I have to give away here. So, we have, for your Amazon listings, we've put together basically a big old e-book about how we do it here. So, I wanted to make sure everyone had those. It's not gated. There's nothing you got to do. It literally will just start downloading the second you click that link. I actually believe ... I'm going to go ahead and close this poll. I believe I can actually share it with you here. Let's see. Maybe not. Maybe I can, maybe I won't, but it'll open up. This is what it looks like. You all can see this. Just a big old e-book about your listing automatization, how to do that. That will definitely prepare you for Q4. That is something you're going to want to look into.
We also have here ... I'm doing a 30 minute marketing consultation. I'm not going to try and sell you on anything, I promise. It's just, we'll help you out, take a look at how it goes, make sure you're ready to go for Q4. Sellerschoice.agency/giveaway, and the password is PRIMEDAY. If you have any questions, now would be the time to submit them. If we don't have any right now, you can reach out to me on social. Feel free to email me. Obviously Matt, I'm sure you have a 14-day repricing ... You have a free trial. Neat.
Matt Talmage: So, if you guys want to jump into a 14-day free trial, there's no credit card, none of that. All you do is give us your name, your email address, and you can hop right in there and connect to marketplace in as little as five minutes and really start setting up your first strategy today, even. What's great about that 14-day free trial is that clock isn't going to start until you actually configure your account the way you want it, set up your strategy, and officially enable repricing. So, we know you're busy, we know that you have a lot going on, so if you have to juggle some stuff and it takes you a couple days to get set up, you're not going to lose the first half of that free trial just with account setup. So, definitely a good opportunity to get in there. It comes with all of the algorithms, even the premium features such as the sales repricing. For private label sellers, you can try out everything. We're not going to limit any of the features during that trial, so you get a really nice taste of how this can impact your bottom line as you close out Q3 and transition into Q4.
So, I'll throw this link into the chat to make it easier to click if you want to check it out, but definitely a good opportunity to see what repricing can do for you.
Andrew Maff: Nice. For those of you who said you haven't prepared for Q4 at all and for the rest of you who said, eh, kind of, I'd like you to note that no one said that they are absolutely prepared for Q4, and I will promise you a majority of you are going to roll into late September and go, "Oh, crap, it's too late." Here's my advice. Next week, August I think is Wednesday? I think Wednesday is August 1. Block out like an hour of your day to just sit down and pan out Q4. Think about any kind of sales you want to do. Look at how your numbers did last year. Look at where you're at on your projections and where you think you're going to land. Start planning for inventory. For those of you ... I don't know what your lead times are, but you might need to order inventory sooner rather than later. Depending on your product, you'll start to see an increase almost exactly like on October 1. You'll start to see it just slowly start to raise. But, you need to be prepared for a big jump in November. Do as much promotion as you can. If you don't have a social community or you don't have an email list, now is definitely the time to start doing that. If anything, you're pushing being a little late. So, if you want to take advantage of this whole Prime Day thing, now is the time to do it, because you can start to build that community and you can make that Q4 a lot better. You have to capitalize on every time that you have great sales like this off Prime Day, and you have to use everything you can to make sure that you're getting ready for the holiday season, or for some of you it may be on a different time. I know some of our sellers are actually in their season right now. So, obviously, that kind of depends, but still, it's always a good time to prepare and make sure you have as much as you can.
I really appreciate everyone joining us. Matt, you especially. Thank you. Much appreciated.
Matt Talmage: Thanks for having me.
Andrew Maff: Yeah. I will be sending out the slides. I will have the video up on our YouTube soon. You guys should have everything you need. If you guys need anything, feel free to reach out to either of us. My email is email@example.com. I also had my social there before. Matt
Matt Talmage: I'll give Matt@informed.co, so very easy.
Andrew Maff: Easy enough. Thanks everyone. I appreciate it. Good luck, and we'll see you out there.
Matt Talmage: Good luck out there. Thanks.
Andrew Maff: Have a good one.