Read our short list of tips, and find out what else you could do to make ready.
We’ve mentioned in a previous post that now is not a good time to change tactics if you’re an Amazon seller, and that a prudent approach is recommended, instead. That being said, as Christmas draws near, it may be a good idea to tick the following steps off your to-do list:
1. Maintain the Status Quo
Keeping an eye on the competition, not getting embroiled in price wars, avoiding aggressive pricing strategies, being flexible with your margins and monitoring stock levels regularly are fail-safe methods to make sure that things run smoothly.
Rather than allowing your competitors to drive down your prices, use price floors and ceilings, to find your sweet spot. There are some exceptions to the rule, though. If you have seasonal or perishable goods, for instance, or if your FBA fees are hefty, there’s no time like Christmas to sell, sell, sell!
2. Set Up Promotions
One simple way to make sure you’re not left with overstock when the Christmas rush is over is to create promotions in Seller Central. Stack them up in tiers; that way the larger the order, the greater the final discount will be. Also, be sure to exclude any items you’d like to sell at full price, using the advanced options available in your account.
3. Keep Stock Levels High
You need to keep your inventory levels high enough to have at least a month’s worth of stock for all the products you’d like to sell the most over the holidays. When it comes to toys, for instance, you wouldn’t want to run out of stock just before Christmas. If you’re doing FBA, it’s especially important that you have the edge over other FBA sellers, and extra stock can help you win the Buy Box.
4. Work on Your Metrics
Try to raise those performance metrics just so you have some leeway in case something goes wrong. Say, for instance, a snowed-in delivery van sets you back a good deal of money. You simply can’t muster up the resources to cover the cost of sending a new shipment out, and you stand to lose a hefty chunk off your metrics.
5. Don’t Promise What You Can’t Deliver
Some Christmas presents are memorable, and others less so. But it’s always a Christmas present that turns out to be late or missing that sticks with you. So, spare your customers the embarrassment, and be ready to add item notes saying what the order deadline is for on-time Christmas deliveries.
6. Play Fair
If there’s ever a time not to resort to underhand tactics on Amazon, that time is now. However eager you may be to get more pageviews and to reach out to prospective buyers, now is not the time for anything other than 100% authentic reviews. Every year just before Christmas, Amazon goes through a review purge.
In 2012, it cracked down on a few overly ambitious reviewers, according to The New York Times. This year, it’s sued over a thousand writers and a website offering reviews in exchange for money, Fortune reports. So, if knowing that Amazon has ‘trust issues’ -as the media calls it – doesn’t intimidate you, then ‘You’d Better Watch Out’, as the song goes.
7. Try a Tipster
There’s no shortage out there of suggestions for the best products to source and sell on Amazon. Some sourcing and re-selling experts deal in toys for the holidays, others specialize in groceries, but even liquidation merchandise can be part of the package. The only way to know if they can earn you money is to try several and compare the results.
8. Brace Yourself for the Retail Blues
Let’s face it, if you’re an Amazon seller, you probably didn’t spend Christmas sipping piña coladas on a tropical beach, and neither did your customers and order recipients. That won’t prevent anyone from having a spell of post-vacation blues, though, which will soon reflect an inevitable change in your sales – the Q1 blues.
The only way to tackle this sudden drop in sales is to get the most out of the Christmas season, and that entails consistency. Whether you plan on selling bucketloads for next to nothing, or a few measly units for a fortune, keep your eyes on the prize, which in our case is none other than profit.
Now that you’ve had a look at our tips, we hope you’ll find at least one or two that apply to your business. May they serve you well this year and the next!
