Follow the Customers: Selling on Amazon, eBay and Webstore
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E-commerce businesses need to be where the customers are. Selling on branded sites like eBay and Amazon are part of the business plan for many successful e-tailers. Is selling on eBay still a viable option? What are the different ways you can sell your products on Amazon? Learn the answers to these questions – and much more – during this informative session.
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Follow the Customers: Selling on Amazon, eBay and Webstore
- 1. Follow the Customers: Selling on Amazon, eBay and Webstore Michael Levit - Vendio EVP Marketing August 9, 2010 @Vendio @Levitmc #eCommerce
- 2. Agenda-ish Why am I Talking to You eCommerce Industry Overview The Goliath’s – eBay and Amazon Other Marketplaces Emerging Channels Storefronts
- 3. Vendio Introduction Leading On-demand eCommerce platform for small and medium sized merchants (SMM) 70,000 merchants selling over $1.5 Billion of goods annually Incorporated in 1999, headquartered in Silicon Valley Offices in Romania and India ~70 employees worldwide Multi-channel eCommerce Platform offering Customizable fully-hosted online store Inventory, channel & business management solutions Reporting & analytics Dealio.com – Vendio’s comparison/social shopping site Acquired by Alibaba.com last month – Now enabling B2B2C 3
- 4. Sales Volume of Select Customers The Digital Oasis $1,952,000 $4,665,000 $1,075,000 $1,000,000 $1,900,000 $1,000,000 $865,000 $770,000 $1,023,000 $802,000 $935,000 $1,140,000 $953,000 $673,000 $1,432,000 $447,000 $1,611,000 $3,283,000 $2,175,000 $1,150,000 $2,000,000 $945,000 $1,225,000 $430,000 In aggregate, Vendio merchants generate >$1.7 Billion in annual sales
- 7. Fewer than 25% have deployed eCommerce functionalitySmall (ish) merchant growth outpacing overall market 5
- 8. Online Shoppers Use Multiple Sources for Purchases 89% Marketplaces/ Store/ retailer Websites Search Engines 86% 78% Manufacturer Websites 77% User ratings and reviews of products 66% Recommendations (People who bought) Recommendations (recently viewed) 65% Recommendation emails 61% 61% Recommendations (People who viewed) 59% Recommendations (Best sellers) Question and answer sites 49% 20% 40% 80% 100% 0% 60%
- 9. “The reality is that any merchant selling online will list their items for sale in multiple locations—on Amazon, eBay, their own Websites, etc.” - November, 2008 7
- 10. SMMs Relied on eBay 5 Years Ago Merchant Online Store 8
- 11. Google is Changing the Landscape Merchant Online Store + 9
- 12. Creating Challenges and Opportunities Merchant Channel Management CSE’s/ Search Online Store 10
- 13. Ensure you have Channel Management 11
- 14. Largest Marketplaces in the World
- 17. Affiliate Items Lower Costs (Scale) Lower Prices Merchants Buyers Orders Buyers Generate Transactions Transactions Attract More Merchants
- 18. eBay vs. Amazon GMV
- 19. 3rd Party GMV - eBay vs. Amazon GMV in Thousands
- 20. eBay and Amazon are Huge
- 21. Amazon is Executing Very Well Expanding into new markets Amazon Payments Mechanical Turk eBooks and Kindle – growing Cloud computing Fulfillment by Amazon (FBA) Growing FBA but still competing with their sellers Aggressively growing 3rd party merchant base 30% items sold by 3rd party merchants 2MM merchants
- 22. The Only Constant is Change Lowering insertion fees as they are traded for final value fees Many promotions can bring down costs for merchants (i.e, free listings) Complex pricing… changes favor ‘store’ subscriptions with no store benefits Facing extreme item dilution with millions of new items flowing into the ‘core’ Focused on streamlining the buyer experience and increasing cataloging Merchants can still sell successfully but need a strategy…
- 23. Other Marketplaces to Consider
- 24. Analyzing the Other Marketplaces
- 25. Analyzing the Other Marketplaces
- 26. eBay and Amazon are Huge
- 27. Should You Care About Mobile? eBay is projecting $1.5 billion in mobile GMV in 2010 Amazon completed $1 billion in sales in the past year
- 28. Other Commerce Opportunities? Private Online Sales Online/ Offline Commerce
- 29. Riding the Facebook Rocketship
- 30. The Third Leg of the Stool – Your Own Storefront
- 31. Ewwwww, ahhhhhh, How Pretty… Beauty Is more than skin deep 27
- 32. Vendio Platform—Channel Mgmt Simultaneous item publishing Single inventory item created and marketed across all channels Channel specific requirements simplified with “profiles” Inventory quantities kept in sync across channels as items sell User defines “stock out” risk to determine reserved quantities Includes refund management and inventory audit tracing Unified order and customer management Each channel has a unique and complex management system Merchants see a comprehensive view of all customer activity Customization lets each user tailor the experience to their needs Extensible through web services integration 28
- 33. Other Store Considerations Storage and Bandwidth SKU’s Search Engine Optimization (SEO) Security/ PCI Compliance Item & Order Management Third Party Integration CSE Feeds Customer Support Designs/ Templates Price
- 34. Different Types of Store Providers Multi-Channel Providers Store Centric Providers Domaineers
- 35. A Further Slice of Providers
- 36. Signup and Setup Should be Easy
- 37. Domains Should Integrate Easily
- 39. Simple Setup for Categories
- 40. Add Items to the Store Vendio Stores feature full Inventory Management. Easily add and remove items for sale including post-sale functionality such as automating coupons to your past bidders. Manage one set of inventory from one dashboard, across your Vendio store and if you choose – other channels such as eBay, Amazon, Google (CSE).
- 42. Comparison Shopping Engine 101 CSE’s/ Deal Sites/ Coupon Sites Google Shopping.com, Pricegrabber, Shopzilla/ Bizrate, Smarter, Become Dealio, Thisnext, Kaboodle, Couponcabin, Retailmenot, Fatwallet, ebates, Shopstyle, Shopwiki, Dealnews, Ciao
- 43. CSE’s are in Tough Spot
- 44. SEO 101 – How do you SEO? SEO is a ‘black box’ that is purposefully hard to understand. Pick target keywords Optimize page Title Content URL Description/ Images/ Meta Tags H1’s Secure Backlinks Free Tools Seobook.com / Seomoz.org Keyworddiscovery.com Google Insight Avoid “Black Hat” tactics (i.e, keyword stuffing, buying links and copying content)
- 46. Bid amount
- 47. Keywords and keyword groups
- 48. Content networks vs. search network placementSEM can be as little as $0.05 CPC & go up above $200 CPC Track, track, and track some more Set low spending caps so you don’t lose your shirt Get Free bonuses for getting started
- 49. Questions? Michael Levit mlevit@corp.vendio.com Twitter: levitmc
Notas do Editor
- So let’s get started by talking about SEO. I love SEO because while it may sound complicated and can get complicated, it’s actually very easy to implement and to meet the minimum threshold for a pretty big return. SEO stands for search engine optimization which means optimizing your website so that search engines can 1) find it or “index it” 2) determine its relevancy based upon the content of your website so that 3) they can rank your website in search results. SEO has become more and more important in the last few years which really raises the bar for website quality. The reason search engine traffic is so valuable is because users are actively seeking for information or a product and if your website shows up on the first page of search results, you will get essentially “free” website traffic which turns into sales. There are 5 things that you can do today to get started with SEO. First, look at your product line & determine what keywords people are using to describe your product. Create a short list of keywords that strike a balance between competitive (e.g. Designer Jeans) and detailed (e.g. Seven for all Mankind Flynt Jeans). Remember that you don’t have to cover every single product – again this goes back to figuring out what’s your area of expertise? Or, what can you create content on? Once you have the keyword list – you can then create meta tags. Meta tags tell search engines what your website is all about. They include page title & page description. Remember to create meta tags for each page. If you have the ability to do so – customize your URLs to be specific, keyword targeted. Search engine consider URLs also to be an important indicator of what your website is all about. Because search engines want to provide the best experience for the user, they look at the amount of content on your website that should again be targeted based on your initial set of keywords as well as external links pointing back to your website. The more external links from relevant, valuable websites, the better. One way of getting these back links is by creating external content – whether it’s via a blog, content site like eHow or directory listing. This is why social media which I’ll speak to next, has risen in prominence. I’ve included some of my favorite websites which have free and extremely useful tools to help you get started on selecting your keywords and furthering your SEO education. Google Insights is very cool because it can tell you trends in what people are searching for so that you can feature or perhaps even sell the right products during the right season. So when you’re looking to build a website – make sure you find one that allows you to easily edit your meta tags and content so that you can be flexible with running promotions according to selling trends. Also, it’s important to avoid “Black Hat” tactics such as keyword stuffing, link buying and copying someone else’s content. That’s why if you do decide to use an outside SEO agency or contractor – ask them specifically about their tactics.