Archive for January, 2020

MAGIC 2020

MAGIC 2020

MAGIC is the world’s largest fashion marketplace, comprised of eleven unique communities showcasing the latest in apparel, footwear, accessories, and manufacturing. Every February and August the retail industry convenes in Las Vegas to spot and shop the latest trends.

As of 2019, 43 percent of U.S. Amazon shoppers had purchased clothing, shoes and jewelry products via the company’s website.  For many online shoppers in the U.S. and abroad, Amazon is at the top of their online experience with 66 percent of the U.S. Amazon users starting their search on Amazon.

Channel Key is a full-service agency that focuses specifically on Amazon. Our team manages over 145,000 active SKU’s and has secured over a quarter billion dollars in cumulative Amazon sales for our clients. We have partnered with brands of all sizes helping them accelerate their sales, profitability and brand awareness on the platform. A few of the brands that we have helped build on Amazon are Perry Ellis, Mavi, Geox, Adidas, and Rock & Roll Denim.

If you will be in Las Vegas for MAGIC International Exhibition of Men’s, Women’s and Children’s Apparel, Footwear and Accessories show February 5-7 lets set-up a meeting to connect and see how we can help your Amazon business.

If you need immediate advice or assistance with Amazon strategies? Talk to our Channel Key team. Thank you for reading.

Year in Review – The Four Marketplace Industry Quadrants

Year in Review – The Four Marketplace Industry Quadrants

Marketplace Pulse breaks down the four marketplace quadrants that make up the industry. These four quadrants are defined by the size of the opportunity in terms of current Gross Merchandise Volume (GMV) and future potential.

First Quadrant

Marketplaces facing growth roadblocks occupy the first quadrant.

  • Wish
    • According to marketplace Pulse wish is predominantly used by sellers based in China and has few US or Europe based sellers. For sellers, it’s future potential is unclear.
  • eBay
    • eBay is the second largest marketplace. Marketplace Pulse reports that it has stopped growing and is starting to shrink in key markets, including the US. They say that it has a big opportunity given its current size, but no future.

Second Quadrant

This quadrant has a big opportunity and future potential for only Amazon.

  • Amazon
    • As a critical player in the market, Amazon continues to grow. Launching in new markets as well as introducing offerings like Amazon Business is helping with its future potential.

Third Quadrant 

This quadrant has small marketplaces that are unlikely to get bigger according to Marketplace Plus.

  •  Jet.com 
    • Appears to be abandoned by Walmart, and the invite-only Target marketplace is tiny both in terms of sellers and in GMV.

This quadrant additionally includes

  • Newegg
  • BestBuy
  • TopHatter

Fourth Quadrant

This quadrant has marketplaces with a relatively small volume of sales compared to Amazon and eBay, but the highest future potential.

  • Walmart 
    • It has room for sellers to grow and Walmart develops its advertising options and dozens of other features and services that the competition has.
  • Google Shopping
    • may not have the sales, but it is a company of unlimited technological ability as well as evident expertise in advertising.

Conclusion 

The four industry quadrants listed are defined by the size of the opportunity in terms of current GMV and the future potential. Amazon, Walmart and Google shopping potential have the most opportunity for growth in 2020.

Our deep dive into the 2019 year in review will continue with Amazon Advertising in 2019.

We hope that this post was insightful. If you have any additional questions leave a comment below, we’ll be there, we’ll respond, and we will help you through the process. If you found this post to be helpful, please like, share, comment, and tell other people about it.

If you need immediate advice or assistance with Amazon strategies? Talk to our Channel Key team. Thank you for reading.

2019 Year in Review: Amazon Counterfeit – Project Zero

2019 Year in Review: Amazon Counterfeit – Project Zero

In February 2019, Amazon announced Project Zero, which is a tool allowing approved brands to directly flag and remove counterfeit listings of their products from Amazon. Project Zero combines Amazon’s advanced technology, machine learning, and innovation with the sophisticated knowledge that brands have of their own intellectual property and how best to detect counterfeits of their products. Amazon does through three powerful tools.

Automated protections

Powered by Amazon’s machine learning expertise, automated protections continuously scans Amazon stores and proactively removes suspected counterfeits. Brands provide Amazon with their logos, trademarks, and other key data about their brand, and Amazon scans over 5 billion product listing updates every day, looking for suspected counterfeits. Amazon has been testing these automated protections with several brands, and on average, their automated protections proactively stop 100 times more suspected counterfeit products as compared to what Amazon reactively removes based on reports from brands.

Self-service counterfeit removal tool

This tool provides brands with the ability to remove counterfeit listings themselves. Previously, brands would need to report a counterfeit to Amazon, and Amazon would then investigate these reports and take action. With Project Zero, brands no longer need to contact Amazon to remove a counterfeit listing. Instead, they can do so, quickly and easily, using Amazon’s self-service tool. This provides brands with an unprecedented ability to directly control and remove listings from the store. This information also feeds into Amazon’s automated protections so that they can better catch potential counterfeit listings proactively in the future.

Product serialization

Product serialization is a service that allows Amazon to individually scan and confirm the authenticity of every one of a brand’s products that are purchased in Amazon’s stores. The product serialization service provides a unique code for every unit that is manufactured, and the brand puts these codes on its products as part of its manufacturing process. Every time a product using Amazon’s serialization service is ordered in Amazon’s stores, Amazon scans and verifies the authenticity of the purchase. With this product serialization service, Amazon can now detect and stop counterfeiting for every product unit before it reaches a customer.

Eligibility requirements

Project Zero is available to brands in the United States, the European Union, Japan, and India.

To be eligible for Project Zero:

1. Your brand must be enrolled in Amazon Brand Registry with a government-registered trademark.

2. You must:

  • Be the rights owner of the trademark.
  • Have an Amazon account with access to Brand Registry.
  • Have submitted reports of potential infringements with an acceptance rate of at least 90% in the last six months.

To check if you are eligible, sign in using your Amazon account associated with Brand Registry. Click here.

Amazon “Our Positions” Page

In October 2019, Amazon introduced a page on its site titled “Our Positions,” where it breaks down the company’s stand on issues ranging from climate change to immigration.

  • Amazon stated that it believes “counterfeiters should receive stronger penalties under federal law” and added that in 2018, the company invested more than $400 million in personnel and preventative tools built on machine learning and data science and employed more than 4,000 employees to fight fraud and counterfeiting in their stores.
  • Amazon also added that it supports US federal policies that make intellectual property violations crimes with meaningful penalties. Amazon also supports a requirement that every package imported into the US identifies the entity responsible for shipping the product.

Conclusion

Despite efforts by the company, counterfeits and fakes on Amazon remain an issue and are receiving increasing criticism from the industry. With this tool, you can remove listings without Amazon’s help. Previously brands would have to submit a request case to Amazon. Since the launching of Project Zero, over 5,700 brands have enrolled, according to the company. As reported by Marketplace Pulse, “For every, one self-service takedown by the brands, the automated protections Amazon has put in place for participating brands have proactively removed more than 500 listings.

Next week we will continue our deep dive into the 2019 year in review with Marketplaces in 2019.

We hope that this post was insightful. If you have any additional questions leave a comment below, we’ll be there, we’ll respond, and we will help you through the process. If you found this post to be helpful, please like, share, comment, and tell other people about it.

If you need immediate advice or assistance with Amazon strategies? Talk to our Channel Key team. Thank you for reading.

The Innovative Agency: A Daily Podcast for B2B

The Innovative Agency: A Daily Podcast for B2B

With 100 million Prime members in the U.S. alone, Amazon is the place to sell products online. Marketing agencies focused on Amazon can help a lot of clients. To do that, however, those agencies must understand how to operate a proper Amazon business.

Our President, CEO, and Co-Founder Dan Brownsher joins The Innovative Agency, a daily podcast for B2B to talk about how agencies can help clients understand how to operate a proper Amazon business.

Building a successful Amazon-based company means more than amazing product photography, the best titles, and top-of-the-line advertising campaigns. It also means keeping inventory in stock, maintaining service levels, and much more.

Dan gives The Innovative Agency Podcast his insights into how to help clients build successful Amazon businesses. Listen here. 

We hope that this post was insightful. If you have any additional questions leave a comment below, we’ll be there, we’ll respond, and we will help you through the process. If you found this post to be helpful, please like, share, comment, and tell other people about it.

If you need immediate advice or assistance with Amazon strategies? Talk to our Channel Key team. Thank you for reading/listening.

Year in Review: Unbranded Search on Amazon

Year in Review: Unbranded Search on Amazon

According to Marketplace Pulse, more than three-quarters of Amazon searches are unbranded. Consumers are seeking generic products rather than name brands and 78% of keyword searches done on Amazon are unbranded.

  • As reported by Marketplace pulse, most popular search terms by volume were analyzed and represented an estimated 64% of all Amazon search volume.
  • Search terms of specific brand names or products were counted as branded.
    • Example- A brand name like “Apple” or a specific product like “iPhone”.
    • 78% of the top 100,000 search terms didn’t include a brand.
    • Popular search terms are more likely to be branded.
    • 74% of the top 10,000 and 68% of the top 1,000 search terms include a brand name.

Brandless searching highlights need-based shopping and is also, for example, the reason why AmazonBasics batteries are best sellers. By shoppers including a brand name in their search, competitors can bid on that keyword through Amazon advertising.  As a result, products from other brands are included in the search results in the form of sponsored products.

Conclusion

Most keyword searches done on Amazon in 2019 were unbranded. Instead of asking for brands specifically, shoppers are searching by product. Search keywords highlighted how Amazon consumer shopping behavior has changed shifting from a brand-driven world to a needs-based decision process.

We aren’t done yet, there is still much more to come. Next week we will continue our deep dive into the 2019 year in review with Counterfeit Listings on Amazon.

We hope that this post was insightful. If you have any additional questions leave a comment below, we’ll be there, we’ll respond, and we will help you through the process. If you found this post to be helpful, please like, share, comment, and tell other people about it.

If you need immediate advice or assistance with Amazon strategies? Talk to our Channel Key team. Thank you for reading.

[convertcalculator id="PQfAzDzqSqzuTc35X"]