We’ve jumped head first into 2017, and along with our personal resolutions and goals, a new year means reassessing our advertising and sales strategies for the year to come. For those of us using Amazon, it looks like we’ll continue to see pay per click advertising, or PPC, as a crucial component of our sales throughout 2017. However, while we can count on the importance of paid advertising to remain constant, we are anticipating some big changes and updates to Amazon’s PPC platform.
This week Amazon released a lot of data to sum up its performance in 2016. Not surprisingly, there were a lot of headlines around international markets as well as monstrous growth seen over the Holiday shopping period.
2017 is expected to bring a lot of exciting trends in e-commerce. From chatbots and social selling to an evermore focus on mobile e-commerce and data personalization and customization, brands better be on the lookout. Amazon is the 800-pound gorilla in the room not only when it comes to e-commerce, but retail in general. Wal-Mart and Google are the two big names which could conceivably compete with Amazon in the Western world, and I believe we’ll see some big moves from these behemoths in 2017.
One of the most common questions we get at Bobsled Marketing from companies located outside the US is around the tax implications of selling their products on Amazon. Companies which are established outside the US need to know whether they are required to pay US federal income tax, state income taxes, and state sales taxes. And a lot of the information out there is conflicting or confusing. In this interview with Tax Attorney Stewart Patton we discuss US tax for non-US brands on Amazon.com
Amazon makes frequent changes to their FBA (Fulfilment By Amazon) program, moderating fees charged on to Sellers in apparent alignment with their own costs. The latest raft of fee updates from Amazon announced today, December 16, 2016 is not only designed to reflect changes to Amazon’s own operating costs, but creates new carrots and sticks to incentivize Seller behavior.
In a recent interview with Chris Guthrie for the SellerCast podcast, I shared some of the most important lessons we learned from working with such large brands on Amazon. For those of you just starting their journey in the marketplace or for those old hats looking to improve their game on Amazon, the following lessons are essential in planning a successful sales strategy that will grow your revenue.
More and more consumers are looking online for household purchases, rather than battling the stores. Research firm Statista estimates that sales on Amazon of food and beverage items will go from $8.69bn in 2016, to $23.26bn in 2021. This presents an opportunity for food & beverage brands. Instead of having to negotiate distribution agreements with specialty or chain retailers to get nationwide distribution, now you can easily access entire countries by making your brand available online. And Amazon is going to be the best place to get traction and visibility - almost half of all US households have an annual membership to Prime - a program that has proven to increase size and frequency of transactions.