When you hear people talking about Amazon FBA, they usually speak about product research, and product research is important – that’s true.
However, you can spend weeks searching for great products, but if your product launch fails, you won’t be able to build a successful Amazon business.
Launching a new product on the Amazon marketplace is challenging. You need to invest heavily in Amazon advertising to ensure a successful product launch.
So, if you want to know how to launch a product on Amazon successfully, you’ve come to the right place.
This guide will show you everything you need to launch a new product on Amazon, increase your product ranking, and become a successful Amazon seller.
What You Need to Launch a Product on Amazon
If you want to sell successfully on Amazon, you need to invest money into your Amazon product launch. I don’t want to trick you – you will probably lose money during your product launch. At least, you won’t make any significant profits.
The goal of a product launch is to increase your sales velocity and product ranking to make profits in the future. But during the product launch, it’s hard not to lose money.
So, what do you need to launch a new product on Amazon?
Your marketing campaigns will have a much higher ROI if you sell a unique product in a less competitive niche. Tools like Helium 10 and Jungle Scout can help you with the optimization of your Amazon PPC campaigns.
About the Amazon Search Algorithm
The Amazon A9 Algorithm decides whether your product listing ranks at the top or bottom of the search results. The algorithm takes metrics into account that influence your ranking, and the most important metrics are:
- Click-Through-Rate (ratio of clicks on a listing to listing views)
- Conversion-Rate: (ratio of visitors to buyers)
- Reviews (if your Amazon reviews are bad, your ranking will drop)
When it comes to Amazon SEO, you need to keep the following in mind:
To make many sales, you need to rank high. And to rank high, you have to sell a lot of products. Only a tiny proportion of visitors are likely to search for products on the second search results page.
But what’s the solution to this problem?
It’s not enough to make a little bit of promotion for your product. You need to promote the hell out of it and sell your products to as many people as possible.
If you want to know how to do that, keep reading this article.
Launch a Product on Amazon in 4 Steps
Ranking on the first page of Amazon search results is not easy. The first step is to create an outstanding offer and optimize your listing. Then, you need to promote your product to make sales.
The most effective advertising channel is Amazon Sponsored Products, but we’ll look at the best advertising strategies for a new product launch later in this post.
Here’s a chart showing the process of our product launch strategy:
When you generate sales, your sales velocity increases, and you get customer reviews, which are both crucial ranking factors. Accordingly, your ranking will increase, and you will start generating organic sales.
Create an Outstanding Offer
Let’s take a look at the Click-Through-Rate (CTR). The CTR depends on:
- Product image
- Product title
- Price of product
- Product reviews
So, what can you do to improve your CTR? You can…
- Optimize your main image: Use a dominant design. A high-quality image is mandatory. It would also help if your product looks good.
- Describe what people are searching for: Note important information but don’t overload your title with details.
- Set a low price: Set a lower price than your competitors, but not too low.
- Get Reviews: Sell your Amazon product to 5 friends and tell them to leave a review.
Here’s an example of a nice product image:
And here is an example of a bad product image:
Let’s take a look at the Conversion-Rate (CR). When visiting your product listing, customers should buy your product – it’s worth nothing if they leave.
So, what can you do to improve your CR?
- Include multiple images.
- Write crisp Bullet Points.
- Show visitors what they can do with the product, rather than flooding them with technical details.
- Write a detailed product description.
- Try to answer all questions.
- Use Amazon A+ Content
Here’s an excellent example of an optimized Amazon listing:
Besides the optimization of your product listing, there’s something else you should consider. Perhaps, you’ve heard of the kano-model? It’s a marketing model that describes five stages of customer satisfaction:
- Must-be-Attributes: Basic features that the customer only becomes aware of when they are not fulfilled. If you can’t provide these features, your customers won’t be satisfied. However, if provide them, they either will not feel much satisfaction.
- One-dimensional-Quality-Attributes: These are known by the customers. They eliminate dissatisfaction or create satisfaction.
- Attractive-Quality-Attributes: These provide satisfaction when achieved, but do not cause dissatisfaction when not fulfilled.
- Indifferent-Quality-Attributes: Indifferent-Quality-Attributes are irrelevant to the customer, both in presence and absence.
- Reverse-Quality-Attributes: Reverse-Quality-Attributes lead to dissatisfaction if present, but to customer satisfaction if absent.
Here’s also a graph:
I don’t want to mess around. You need to focus on building Must-be-Attributes, One-dimensional-Quality-Attributes, and Attractive-Quality-Attributes to increase your sales on Amazon.
Must-be-Attributes and One-dimensional-Quality-Attributes are less problematic to establish. It gets more complicated with Attractive-Quality-Attributes. How you build these vary from product to product.
Here are a few options:
- Coupon for the next sale
- Outstanding price-performance ratio
- Easy handling
- Special features
Your campaigns will have a much higher ROI if you have a product worth promoting.
Promote Your Amazon Product to Generate Sales
Okay, now that you have created an excellent Amazon listing, it’s time for promotion.
As mentioned before, it will be hard to get traffic through Amazon organic search if you haven’t made any sales yet. You have to find other ways to make your initial sales fast.
If you already have an audience, you can promote your new product to them. If not, you should use the following options.
On deals pages, customers want to buy heavily discounted products.
The good thing about this is that customers usually only pay attention to the discount. This makes it easy for you to sell a product when you have about 70% or 90% discount.
The easiest way to utilize this strategy is to use Jungle Scout.
That’s because Jungle Scout has its own deal page, and it allows you to promote your product directly on this deal page.
Jungle Scout’s deal page is called JumpSend.
Here’s what to do:
- Login to Jungle Scout.
- Go to Launch > Promotions tab.
- Click “CREATE NEW”.
- Select your Product.
- Then, you can go in and make any changes to your product listing and prepare your deal.
Jungle Scout shows you how many products you have to give away every day for one to two weeks to rank in the top 3.
Here, you can see that keyword scout estimates that we have to give away 19 units per day for one to two weeks rank in the top 3:
You can calculate this number for every keyword.
So that 19 people can redeem a voucher per day, I usually give away 21 per day.
You can also use Helium 10 to determine this number. Furthermore, you also don’t have to use JumpSend as a deal site. Here are some alternatives to JumpSend:
Once you’ve launched your product on one of these sites, you’ll have to spend a week or two giving away the coupons. When people buy your product with one of your coupon codes, you’ll get higher rankings.
Facebook is still the leading social media platform. According to the 2020 stats, Facebook reaches 60,6% of internet users.
Therefore, Facebook Advertising is a great way to get external traffic to your product listing.
You can drive traffic to your Amazon listing or your special offer on one of the deal pages mentioned above.
The advantage of Facebook Ads is that you can exactly target your audience.
If you use Facebook Ads within your product launch campaign, you should pay attention to the design of your ad. A boring ad only destroys money instead of generating sales.
Also, make sure you set some goals that you want to achieve before you start your campaign.
Here is a complete guide to Facebook Advertising that teaches you all the basics:
If you launch a product on Amazon, you need to set up an Amazon PPC campaign.
Amazon campaigns follow the pay-per-click principle (PPC). This means that you only have to pay when somebody clicks on your ads.
You can set up your Amazon PPC campaigns for specific keywords. The easiest way to do keyword research is to use Helium 10 Magnet.
That’s because you can check how many competitors are also placing ads for a specific keyword.
You will notice that your Amazon ranking improves after the first sales through your PPC campaign.
However, make sure that you have at least five positive reviews when you start your campaign. When you have zero reviews, nobody will buy your product either.
It would help if you read our complete guide to Amazon PPC.
While this may not seem like an ideal method, you should post your product to a few relevant Facebook groups.
Many people are interested in a particular topic and discuss it in a Facebook group.
If you find a Facebook group that applies to your product, contact the admin and ask him to post your product to the group.
Here’s a template you can use:
My name is [name] from [company]. I have been joined this group since [date], initially to learn more about [topic].
I’m reaching out to you because I think I have a product that your audience will appreciate. Would you be willing to test and review the product?
Also, I can give away [units] for free and [units] for a 50% sale of my product.
Please let me know if you’re interested.
Thanks for your time,
It doesn’t always work, but sometimes you are lucky and can post your product to the group.
So, I know that this will be difficult, but it’s worth a try.
Compared to that, I would generally advise against the so-called advertising groups. These are usually spammy groups that are flooded with advertising and you’re only going to waste your time on them.
Of course, you can also do Influencer Marketing.
Here’s what’s important:
- Find influencers who don’t have a super big following.
- Find influencers who directly engage with people who would be interested in your product.
- Find influencers with an engagement rate of at least 5% on Instagram. This means that when an influencer has 100.000 followers, they should at least have 5.000 likes for a post.
- Find influencers with an engagement rate of at least 15% on YouTube.
- Avoid fake influencers (influencers that buy followers).
And here’re some ways to contact them:
Pitchbox is an outreach and prospecting automation platform that allows users to build relationships with targeted marketing and PR opportunities, bloggers, and influencers.
You can also type into Google “Pitchbox Alternative”, to find some more alternatives you can also use.
If you want to do business with influencers, you provide them a discount code for their audience, and if they sell a product, you have to pay them a commission.
Influencer Marketing is generally good for building social proof and collecting more reviews.
This is a pretty specific way to promote your product. But it can be effective if you include a coupon code in your email.
You have to be smart about it, though.
Let’s assume that you’re selling doggy treats.
Why not write to all the dog training schools in your area, give them a discount and sell them your dog treats?
Look for their email address, send them an email, introduce your product and your coupon code, and that’s it. You can also ask them if there is another way to do business with them.
Now that we have discussed the main strategies of an Amazon product launch, let’s summarize the most important learnings:
- The quality of your product is essential.
- You must create an offer customers can’t resist.
- Listing Optimization improves your CTR and CR.
- You need to do a lot of promotion for your product.
- You have to invest money in Amazon advertising.
Try to implement these things in your next product launch and you’ll see results.