Amazon Sellers! Avoid These 3 Common Mistakes while Ranking
As an Amazon Seller, what is one of your most important goals?
Ranking high for relevant search terms of course!
When your product is at the top of page 1, it’s like owning real estate in downtown Manhattan or Miami Beach. You’re going to get all of the attention and your organic sales will skyrocket.
Unfortunately, so many sellers get it WRONG and are left cold and crying on the side of a dark road in rural Oklahoma.
There are a ton of ranking methods you can use, but one fatal flaw can happen with any of them.
And that’s not having achievable or accurate targets. Unclear sales goals can devastate any ranking strategy and kill your momentum.
In this post, we will go over 3 of the most common errors sellers have when calculating how to rank. Learning from mistakes is what life is all about. What’s even better?
Learning from the mistakes of others.
We at Hyperzon have been through all of the mishaps in this post, dealing with the pain of lost money and time.
But with trial and error, we formulated strategies to avoid them. Strategies that help our clients avoid this loss. Tactics that help them rank for search terms and crush the Amazon game.
Let’s get started, shall we?
Mistake #1 – Choosing Keywords That Have Too Much Search Volume
Let’s say you’re Luke Skywalker and you must defeat Darth Vader to save the Galaxy.
Would it be a good idea to fight him the same day you learn how to turn on a lightsaber?
No! You need to lay a foundation of your skills first. Build up your force abilities over time so you have a chance to compete. It’s the same for high-volume search terms.
Sure, with Search-Find-Buy rebate campaigns or driving outside traffic, you could potentially rank for high-volume keywords. But…
…just for a few days. Then like Luke in Episode 5, you will quickly fall from the sky. Why?
Your competitors have more reviews, more sales history, and other data points that tell Amazon to keep them ranked high. Data and sales that you just won’t have.
All of the money you spent on ranking will have been wasted!
So what can you do instead?
Choose keyword phrases that have less search volume. These are less competitive and therefore easier for your rank to actually stick the landing.
Sure you won’t get “jackpot” profit from lower search volume keywords, but you will lay your foundation for sales velocity.
You’ll build up reviews which creates more trust with customers, increasing your conversion rate. The ranking algorithm will start to see your sales history and push you higher for certain search terms. This will increase your sales velocity naturally over time.
Eventually, you’ll have the necessary foundation to be able to take on your competitors for those higher-volume keywords. This is when you’ll really see those “to the moon” sales and be able to vanquish the dark side!
Mistake #2 – Not Driving Enough Sales to Rank Your Product
No matter what your ranking strategy is, it’s going to be expensive.
The investment is worthwhile IF (and only IF) your targets are accurate. You need to have a good estimate on how many sales you need to drive to a specific keyword in order to rank for it. But…
We’re all guilty of not wanting to spend a ton of money.
As business owners, we have sooo many expenses to think about, that sometimes we cut corners. We wind up setting a smaller budget for ranking and subconsciously underestimating how many sales we need.
But when you don’t drive enough sales, you won’t rank. The budget is gone and you’re still on page 2. You’ve essentially flushed money down the toilet.
In trying to be frugal, you actually caused your worst fear to come true. Losing money with nothing to show for it.
So how do you find an accurate estimate?
Use Helium 10’s CPR metric. This number will tell you about how many sales you need to rank for a certain search term (over an 8 day period).
So if the term “Baby Yoda Underwear” has a CPR of 15, then you will need to drive 15 sales over 8 days to rank on page 1.
Once you have that number, use it when calculating the cost of Facebook ads, rebates, or other parts of your ranking campaign.
If you’ve calculated it’s going to cost you $25 per sale, then set a budget for $375 (25 x 15) to rank for “Baby Yoda Underwear”
Mistake #3 – Driving too Many Sales to Rank Your Product
Yes, driving too many sales can hurt you too. “But Jedi Master Obi-Wan, that doesn’t make any sense…how?”
Sure, you’re ranking for the search term now, so it’s not a total loss. But you’ve wasted money in doing so!
If you drove 30 sales to “Baby Yoda Underwear”, instead of 15, you’ve paid for 15 unnecessary sales. An extra $375!
This budget could have gone to ranking for other keywords, increasing your overall sales velocity. The extra $375 could have also ranked you for “Baby Yoda Star Wars Underwear” and maybe even “Yoda Undergarments”.
With the visibility from ranking on all 3 keywords, you could generate a ton more sales than just 1. Starting the flywheel and giving you more sales history to compete with higher volume search terms.
Get It Right The First Time
Corny Star Wars jokes aside, we hope you realize the importance of calculating achievable /accurate targets in your ranking campaigns.
Don’t aim for the Moon at the beginning. Lay the foundation with lower search volume keywords first by building up reviews, conversion rate, and sales velocity. Only then will it be time to try and blow up the Death Star!
Be sure to check the CPR with Helium 10. This will help you avoid spending too little or too much on your ranking efforts. Get a clear idea of how many sales you need to drive and then unleash your ranking strategies.
Good luck Young Jedi Knights!