Amazon Marketing

Why invest in marketing on Amazon?

If you have listed your products on Amazon while also running a Danish webshop, it may not be immediately obvious that it is a good idea to invest in Amazon optimisation and Amazon advertising. After all, Amazon is not a Danish platform, so why does it make sense for your Danish business to market itself on Amazon?

In fact, there are many good reasons for this. First and foremost, Amazon is one of the world’s largest online shops, so there is huge potential for anyone with their own webshop who wants to reach more customers.

How to get more from your Amazon marketing

There are many reasons why your business should be present on Amazon with your marketing efforts. Amazon is one of the world’s largest online shops, and selling on Amazon can really help you achieve further growth.

However, achieving success with Amazon marketing is not straightforward, so here you will find a series of useful tips for Amazon optimisation. These are designed to provide greater clarity on what works in Amazon marketing, as well as what you can do to increase your chances of standing out and gaining attention on Amazon.

In addition, there are many Danish consumers who are active on Amazon – in fact, more than most people realise. For example, in 2015, Amazon ranked number 3 on the list of most used webshops in Denmark, accounting for 1.85% of all online sales. Amazon’s significant international influence is another strong argument for investing in Amazon marketing, especially if you are considering expanding your sales to other countries. For instance, in Germany, Amazon is by far the largest webshop, and many believe that you simply cannot enter the German market without being present on Amazon.

Nevertheless, success with Amazon marketing does not come easily, so here are some valuable tips for Amazon optimisation, designed to clarify the ins and outs of Amazon marketing and what you can do to boost your chances in the competition for attention on Amazon.

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Why it is a good idea to have a presence on Amazon

If you have a Danish webshop, it may not be immediately obvious that it is a good idea to invest in Amazon optimisation and Amazon marketing. After all, Amazon is not a Danish platform, so why does it make sense for your Danish business to market itself on Amazon?

The main reason is that there are actually many Danish consumers who are active on Amazon – in fact, more than most people think. Specifically, in 2015, Amazon was ranked number 3 among the most used webshops in Denmark, accounting for 1.85% of all online sales.

This is quite a significant share for a foreign webshop in Denmark, which is exactly why there is huge potential in Amazon optimisation and Amazon marketing.

Moreover, Amazon’s considerable international influence is another strong reason why Amazon marketing is a good idea if, for example, you are looking to expand your sales internationally. For example, in Germany, Amazon is by far the largest webshop, so many believe that you simply cannot avoid Amazon if you want to enter the German market.

Amazon marketing vs. Google marketing

Amazon and Google are both search engines that consumers use when looking for a specific product. However, that does not mean that Amazon and Google are the same, so for webshop owners, it is essential to understand exactly what sets Amazon apart from Google.

The key differences between Amazon and Google mainly come down to the algorithms behind these two major search engines. Of course, both Amazon and Google keep their algorithms secret, and due to their complexity, they cannot easily be deciphered in a matter of hours.

That said, there are still some obvious things that the two search engines have made more or less public. These are the things you as a webshop owner can leverage in your advertising if you want to get the most out of your marketing on Amazon and Google, respectively.

At WeMarket, we help you get started with marketing through Amazon SEO and Amazon ads.

Google's algorithm

The main difference between Google and Amazon as search engines is that Google is an external search engine, while Amazon is an internal search engine.

In short, this means you are automatically included in Amazon’s search results if you are active and selling your products on the site, whereas on Google, you have to compete for attention with every other website on the internet whenever a user makes a search.

This is an important distinction, as it says a lot about what consumers use the different search engines for. Google is primarily used for searching for information, whereas Amazon is used for searching for products – broadly speaking.

Of course, it is still possible to sell products through Google, but the difference between Amazon and Google is that users on Amazon are more purchase-oriented than they are on Google. They are simply further along in the buying process, and this distinction is crucial for how Google and Amazon each drive business through their algorithms.

Google’s algorithm is extremely complex, but in short, their business model is about giving the user the most relevant result for their search, where factors such as bounce rate, average session duration, and the number of links from trusted websites are crucial for your ranking in

Amazon’s algorithm

When a consumer searches for something on Amazon, they are, as mentioned, much further along in the buying journey than when searching on Google. A consumer searches on Amazon with the specific intention of making a purchase, which is precisely why Amazon optimisation and Amazon marketing hold so much potential for your Danish webshop.

On Amazon, you have the opportunity to target your Amazon advertising very specifically towards consumers who are ready to purchase a product you offer in your webshop. This form of advertising provides you with some of the best possible conditions for sales, which is why Amazon marketing can be more effective than marketing through Google.

This is also why Amazon’s algorithm is very different from Google’s algorithm. Amazon’s is much simpler, as its purpose is simply to generate as many sales as possible. This makes sense, as Amazon earns its money by selling products – either through commissions on other people’s products or through profits from their own.

Is your business suited to Amazon optimisation and marketing?

All Danish businesses are able to both sell products on Amazon and market themselves on the platform. However, this does not mean that all Danish webshops will benefit equally from Amazon, which is why it is important to consider the potential before you embark on Amazon optimisation.

The big question is whether your business is suited to Amazon, or whether your time might be better spent elsewhere.

In this context, it is worth knowing that 40% of sales on Amazon are actually made by regular businesses, although Amazon’s own products still account for the majority of sales.

Among that 40%, there may well be room for a webshop like yours. Of course, competition on Amazon is extremely tough, and it takes hard work to outcompete other products. But it is possible with the right approach, and in fact, some types of webshops have a better chance of success than others.

Specifically, experience shows that these types of webshops perform well on Amazon:

• Webshops that are first movers
• Webshops that produce their own products

If you fall into one of these categories, you therefore have a greater chance of succeeding on Amazon with Amazon marketing and Amazon optimisation.

Webshops as first movers

If you sell products in your webshop that have not yet become mainstream in the country you wish to sell in, you can consider yourself a first mover.

In this situation, you will have great opportunities with Amazon marketing, but as with everything on Amazon, it requires that you set up your Amazon ads in exactly the right way.

Even if you are a first mover, you cannot simply rest easy and expect success on Amazon, as it takes hard work to create effective ads that reach the right audience.

First and foremost, you need to conduct a thorough keyword analysis, which is an absolute must if you want to appear in the relevant search results among the huge number of searches conducted on Amazon every day.

It is also important that the content in your Amazon PPC campaigns is relevant for those consumers who are ready to buy based on their search. In other words, your ads need to capture the consumer’s interest and lead them to your webshop.

Webshops with niche products

If your webshop sells unique niche products, experience shows that you also have a good chance with Amazon optimisation and Amazon marketing. For example, you might create your own special products or have your own brand, but there are no limits to what kinds of products or brands these may be.

Studies show that many consumers on Amazon specifically seek out unique products. These are products not mass-produced by large manufacturers, but instead sold by smaller niche webshops.

This is exactly why even small webshops have great opportunities on Amazon, and it may well turn out to be a good business decision for your webshop to target new audiences through Amazon advertising.

What type of seller are you on Amazon?

Once you have established whether there is potential for your webshop on Amazon – for example, because you sell niche products, second-hand items or are a first mover – you should move on to determine what type of seller you are on Amazon.

Even though Amazon is potentially open to any business that wants to increase product sales, it is not the right solution for everyone. It must make sense for your business to have a presence on Amazon with a focus on what your company can offer.

As a business, you should therefore clarify whether having a presence on Amazon with Amazon marketing will support your company’s marketing strategy. Do you actually need Amazon as a new sales channel? That is a question you should remember to ask yourself, and it can be difficult to answer, as it will depend on individual factors unique to your business.

If you have decided that Amazon optimisation and Amazon marketing is the right way forward, you can then determine what type of seller you want to be on Amazon. Here, the main distinction is between an FBM and an Amazon FBA solution.

MFN solution: fulfilment by merchant

If you choose an MFN solution as your sales strategy on Amazon, you will manage all your assets on Amazon yourself. This means you will have 100% control over setup, customer service, product updates and much more. You will also be responsible for shipping your products to the customer.

FBA solution: fulfilment by Amazon

If you choose an Amazon FBA solution, you will hand over several responsibilities to Amazon. Here, Amazon will handle customer service, inventory management, shipping and much more, allowing you to focus all your time on selling your products.

FBA or FBM?

There is no definitive answer as to which sales strategy is best for your business on Amazon. There are pros and cons to both FBA and FBM, so you will need to decide for yourself which strategy best serves your business and what type of seller you want to be.

Do you want full control? Then an Amazon FBA solution is the right choice for you. If you only want to focus on boosting sales, an Amazon FBA solution is a better choice for you.

Start your Amazon journey today

Amazon is a comprehensive platform that requires insight and experience to succeed. As an Amazon agency, we are in no doubt that Amazon is the marketplace of the future – both here in Denmark and internationally.

As a Danish webshop owner, you will most likely need to take Amazon seriously at some point in the near future.

So why not get started with Amazon optimisation and Amazon marketing today, so you can gain an advantage for yourself and your webshop?