Selling on Amazon: Why It Is Essential to Use an Agency

Nowadays, an online presence is essential for any business. In reality, it has been for some time, but the 2020 pandemic crisis further emphasized its importance. E-commerce experienced unparalleled growth, rewarding companies that already enjoyed good positioning and visibility with record results. Above all, Amazon is certainly the marketplace that has delivered the greatest results, and those who were not yet present have tried to scramble to close the digital gap. However, despite appearances, selling on Amazon is very complex. Doing it well and achieving results is even harder. Achieving them quickly and without help is practically impossible.

If e-commerce sales are not yet the predominant part of your turnover, you are likely behind in the digitalization process. But now we will explain why all is not yet lost and why the role of an e-commerce manager or an Amazon agency can prove crucial.

Why it is important to sell online

As mentioned, the 2020 pandemic emphasized the importance of having a presence on digital channels. More and more consumers prefer the convenience of completing a purchase in a couple of clicks and receiving the product directly at home, saving time and quickly comparing prices and product features.

With Amazon, it is possible to easily reach millions of potential buyers, often transforming a local business into an enterprise that sells at a European or even global level. Especially for those operating in a B2C context, presence on the marketplace is therefore essential.

Furthermore, the digital revolution has completely changed user behavior, making phenomena like showrooming increasingly frequent—where consumers discover and/or test a product in a store only to complete the purchase online, often hoping to find more advantageous prices.

Even if this represents an unparalleled opportunity for companies and retailers, one must not fall for easy illusions. In fact, the potential for selling on Amazon is very high, but the competition is also increasingly fierce. It has been analyzed that 70% of users do not go beyond the first page of search results, testifying to the importance of product positioning on Amazon. To achieve this, it is necessary to work hard, consistently, and with a plan. Companies, however, often lack the time or experience to effectively improve their online presence.

In other cases, some try to do all the work independently, finding themselves investing significant capital without obtaining any return. For this reason, we believe it is essential to turn to an experienced Amazon account manager or Amazon agencies that can work on your behalf, dedicating time every day to your account, resolving various issues promptly, using professional tools, analyzing and interpreting reports correctly, and constantly monitoring your growth.

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Why turn to an agency to increase sales on Amazon

As mentioned, to sell on Amazon it is not enough to upload products with a description or a few images, nor even to launch a few advertising campaigns hoping to generate some traffic. It is a long journey that requires careful and constant work.

A premise is necessary: consultants and agencies for selling on Amazon are not to be confused with the numerous web gurus who promise easy money through online sales to an audience of dreamers. An Amazon consultant is a professional who, backed by their experience, manages the Seller Central or Vendor Central account on your behalf in a professional manner, applying a precise methodology. Similarly, an Amazon agency will guide you through the growth process on the marketplace, offering 360-degree support. The main difference lies in the size and the offer of an even more comprehensive service. By leveraging a larger client base and a greater number of collaborators, agencies have a more consolidated method, more tools for planning and monitoring, and a more solid infrastructure.

It is precisely method and experience that make the difference. One of the most common mistakes companies make is trying to apply growth strategies similar to those of traditional markets, thinking that Amazon works the same way. Besides being ineffective in most cases, an incorrect methodology can lead to a significant waste of resources and a trade-off due to failed results.

The approach of those who try to sell independently on Amazon is often the same. The first step is usually trying to work on descriptions and images. Later, not having obtained the hoped-for visibility, the tendency is to create advertising campaigns hoping to generate some traffic, but often only increasing expenses or not obtaining a real return.

By planning growth from the start and in the correct way, on the contrary, it will be possible to obtain the maximum result, optimizing advertising and promotion costs, as well as all those related to channel management. Furthermore, problems and malfunctions on Amazon are a daily occurrence. The difficulty in solving seemingly simple problems and communication with customer service are two other aspects not to be underestimated. Finally, logistical and tax knowledge must be considered. Although an agency can never replace an accountant or a freight forwarder, having the opportunity to consult with those who have worked on the platform for years can help find the most suitable and convenient solution right away.

How to choose an Amazon management agency

To manage an Amazon account and improve product positioning, turning to an e-commerce agency can be essential. However, when performing a brief search, solutions seem to be many. How to choose a good Amazon agency?

The answer is not simple, but comparing different consultants, some traits seem to be common among the most qualified ones.

First of all, since these are completely different activities, our advice is to hire specialists rather than generalists in the sector. For example, if an agency was founded for building and Google positioning of e-commerce sites, however structured and strong in its sector, it will likely struggle to follow an Amazon account with the same professionalism as those who deal exclusively with marketplaces. In fact, these are two completely different activities and our experience teaches us that most of them do not possess a truly deep knowledge of channels like Amazon.

However, in the eyes of many, these entities might have more credibility as they offer a wide variety of services. In reality, we have found that many of them do not have a specific strategy for Amazon sales, but often try to apply the same rules of Google SEO to marketplace growth strategies, despite the latter following very different logs. The same problem has been noted for managing advertising campaigns, even though the Amazon advertising platform works completely differently from Google Ads. Therefore, it would be better to turn to those who deal exclusively with selling on Amazon, or at least on marketplaces (like eBay, Etsy, or ManoMano, etc.).

Another good indicator for an agency could be its enrollment in the Amazon SPN program, a network of service providers carefully selected by the e-commerce giant. The Amazon SPN badge (accompanied by the link to the page) can certainly be a synonym for an extra guarantee.

Also, the speed and readiness of responses can be an important indicator. In a constantly changing and dynamic context like online sales, if an agency takes more than a few hours just to respond to a quote request or to provide information, it is certainly not sending a good signal. If responses are delayed during the introductory phase, they will likely be even slower after the contract is signed. And to grow with Amazon sales, speed is often decisive and excessive latency could jeopardize the entire strategy.

Finally, a good agency will not just want to sell you a standard package of services but will formulate different commercial proposals. Product types and situations that can arise are practically infinite and each proposal must necessarily be formulated ad hoc for every client. If the quote is not tailored to the client and does not take into account various factors such as catalog size, company size, product category, and growth potential, the growth strategy the agency proposes to the client will unlikely be effective either.

Now you understand why it is essential to turn to an agency to be able to increase sales on Amazon.