Amazon Advertising Help To Get You Through COVID-19 With Your Business IntactApr 14, 2020
There's no getting around it. Times are tough right now, no matter what size your business is.
As COVID-19 wreaks havoc on the global economy, start-ups and corporate giants alike are struggling to navigate through the uncertainty.
Yet during the great recession of 2008, many companies bucked the downward trend. Companies like Wells Fargo, Citigroup, Groupon, Netflix.
For some businesses, an economic downturn is not a setback. It's an opportunity to thrive and grow.
Here are 3 ways that that Amazon Advertising can help keep your business intact.
Adopt an Investment vs Cost Mindset
Mindset matters. When times get tough, companies tend to curtail or cease spending. Everything that costs money is viewed as an expense. We're seeing a lot of that right now, as sellers dial down their ad spend.
But this "expense only" mindset is one of the biggest downfalls of businesses in general.
The important thing to know and understand is the difference between what is an expense to your business and what is an investment in your business.
The reality is, Amazon PPC is an investment in your business. With 49% of customers starting their product searches on Amazon pre-COVID-19, you can't afford not to pursue these shoppers.
And right now is a great time to double down on what's working (see next point).
Focus on the 80/20
We're big advocates of the 80/20 rule, also known as the Pareto Principle. This rule suggests that 20 per cent of your activities will account for 80 per cent of your results. It can be applied to almost any situation.
When it comes to Amazon PPC, apply the 80/20 rule by focusing your ad budget where it will make the biggest gains. For example:
- Focus on the 20% of keywords that are driving 80% of PPC sales
- Focus on in-stock products, best-sellers, and your highest-converting products
- Focus on Sponsored Product campaigns. Sponsored Product campaigns account for 80% of ad sales on Amazon, and chances are they account for 80% of your ad sales too
Maximize Your Reviews To Increase Your Conversion Rate
Your PPC conversion rate (i.e. how well your ads covert) feeds off your organic conversion rate. The higher your conversion rate, the more bang you get from your ad spend.
There are many contributing factors to your conversion rate. Feedback is one of the top ways buyers make purchasing decisions.
The higher your seller rating and the more positive reviews you have, the more you’ll be able to capitalize on conversions in the future.
Now is a good time as any to level up your customer service and improve your product reviews.
From answering customer questions or responding to reviews as quickly as possible to reviewing your email sequence to making sure nothing falls through the cracks, ask yourself if you are creating the best possible customer experience.
The only certainty right now is uncertainty. Inaction is the riskiest response to the uncertainties of an economic crisis.
Focus on controlling what is in your control. These are just a few ways you can keep your business moving forward.
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