How to Bring Your Home or Building Products to Market on Amazon

  • Categories:

    Paid Media, Strategy

  • Date:

    July 21, 2020

How to Bring Your Home or Building Products to Market on Amazon



Paid Media, Strategy

Amazon has surpassed Walmart as the biggest retailer on the planet. In 2020, the e-commerce juggernaut jumped 25 spots to #28 on the Forbes Global 2000 list of the world’s largest public companies. But how does Amazon, where consumers can buy anything from appliances to zip ties, compare to other major home improvement stores? For the record, Home Depot and Lowe’s sit at 126 and 234, respectively, while Wayfair lags far behind at 1,549.

Recently, we shared five reasons to jump on the Amazon bandwagon. Now, we continue that conversation with this advice: If you aren’t already selling your home or building products there, it’s time to reconsider.

Amazon represents an incredible opportunity for manufacturers: When a consumer visits Amazon.com, they already have some level of purchase intent. That means they’re primed to buy. Alone, the following tips can’t guarantee you’re able to harness that potential, but they’ll put you on the path to success.

1. Establish retail readiness.

Every product that you are considering advertising on the Amazon.com platform should first be evaluated for retail readiness. Elements of retail readiness include pricing; product images; additional product support such as A+ content, ratings and reviews; inventory product titles; and descriptions.

On Amazon, retail readiness is an important element to create a positive feedback loop of clicks, reviews and sales. It’s ingrained in Amazon’s best practice guidelines for creating product listings that are informative and engaging for shoppers as well as searchable and indexable on Amazon.com.

2. Establish clear goals for every campaign.

As with any facet of marketing and sales, a single campaign won’t address every business objective. That’s why, instead of putting all of a brand’s eggs in one proverbial basket, our Performance Media team creates SMART goals by establishing what’s important to our clients’ business. In performance media, these goals analyze multiple data points to highlight and determine true success. And, if you want to improve your return on ad spend (ROAS) and make your campaigns more efficient, they’re critical.

SMART goals are:

  • Specific
  • Measurable
  • Achievable (determined by looking at past performance or competitor product performance)
  • Relevant (based on your overall business goal)
  • Timebound

Here is an example of a SMART goal for Amazon.

We are currently at 100% ACoS (Advertising Cost of Sale) and would like to lower this to below 50%.

What makes this a SMART goal?

  • It’s specific, because it identifies the exact ACoS.
  • It’s measurable within the Amazon platform.
  • It establishes a timeline.

In addition to developing SMART goals, we work with clients to assess their category market competition.

3. Take a holistic approach to your Amazon strategy.

At Wray Ward, we advise our clients to work toward a holistic marketing approach that touches multiple phases of the buyer journey. Additionally, we deploy precision media tactics that make our audience targeting tactics smarter.

This combined strategy covers purchase intent as well as consideration by layering on Amazon DSP (previously AAP). The demand-side platform allows businesses to programmatically buy display, video and audio ads both on and off Amazon.com. It also provides a way to reach audiences via private auction on Amazon partner sites, Amazon apps and third-party exchanges.

You don’t have to sell on Amazon to use the DSP’s unique Amazon “ready to buy” audience targeting options. In some cases, it’s better for ads from the DSP to send customers to your website. We consider factors including advertising cost and competition on Amazon.com to help our clients make the right decision here. In turn, we use the DSP to create brand lift across the site, measuring beyond ROAS or, in Amazon terminology, ACoS. Doing so allows us to scale long-term growth.

4. Measure, measure, measure.

Amazon offers a variety of reporting tools. At Wray Ward, we use several.

  • Seller Central Campaign Manager reports to analyze ad campaign performance
  • Amazon Attribution to measure the ROAS of tactics outside of Amazon ads
  • Seller Central Business reports to better understand halo attribution
  • Google analytics to understand the impact of Amazon DSP ads driving to the seller’s site
  • Amazon Store reports to understand how Amazon.com audiences are interacting with the brand

Need more proof that Amazon is worth the effort?

Consider an example: Tapping into the DSP (retargeting and in-market audiences) for one building products manufacturer client, we saw an increase of more than 100% in sales year over year in the first quarter of 2020. Additionally, the manufacturer improved its repeat sales on Amazon.com while also reaching new customers. Meanwhile, they gained valuable buyer data, which our team layered onto their tactics outside of Amazon.

Bottom line: Amazon is analyzing and optimizing the shopping experience more quickly than anyone else, so it stands to reason that manufacturers should place a high value on their Amazon selling strategy and associated advertising strategy.

Ready to get started, or have questions about how to bring your home or building products to market on Amazon? Email me.

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