By Nathan Rigby, VP at One Click Retail and Danny Silverman, CMO at Clavis Insight
Every week, ASIN Insider showcases two of the winning ASINs on Amazon and two ASINs that need improvement, highlighting why the winners are performing so well and what brands can do to improve their performance, all in the context of the 6Ps eCommerce Intelligence™ Framework: Product, Placement, Price, Promotion, Perfect Page and Performance. This week, we look at ASINs from Dell, Dove, Green Giant and Electrolux.
Dell's bestselling LED monitor, the Ultrasharp U2415, is our top winner this week. With 25% YoY growth from 2016-2017, this ASIN held more than 2% of all first party computer monitor sales last year, and did so without the help of any Promotions.
The Price has experienced some small fluctuations, but has remained consistently at or near $230, a strategic move as consistency in a product's price conveys brand integrity and also decreases the likelihood that shoppers will hold off on purchasing the item now in the hopes of catching a discount later. Maintaining a consistent price on Amazon can be challenging for first party sellers, as Amazon's price-matching algorithm can be triggered by price drops at competitive retailers or by third party sellers undercutting your prices. Dell's price stability indicates that they keep a tight control on their supply chain and ensure their prices remain consistent across all retailers.
At the time of writing, this ASIN ranks as the #2 result for "24 inch Monitor" and is the #8 bestselling computer monitor overall. This strong Placement drives traffic to the product's detail Page, which in turn is bolstered by high quality pictures and A+ content, boosting conversion. Finally, the Product has not had any stock issues in recently months, so it has been able to maintain a steady stream of sales without interruption, boosting its search rank overall.
Dove's bestselling soap is a long-term winner on Amazon. In 2016, the Dove Men+Care Body and Face Bar rapidly climbed the ranks, generating 12 times the total sales of the previous year. The rate of growth was less extreme in 2017, but that is most likely due to the fact that this item has nearly optimized its Amazon sales since it earned almost triple the sales of the top bar soaps from any other brand. Currently, Dove holds the top three spots in bath soaps on Amazon, essentially dominating the market.
This ASIN benefits from a very strong search Performance, ranking as the #1 search item for "mens bar soap" and carrying the Amazon's Choice tag for the "soap", the most frequently used search term in this category, as well as several other popular search terms. Additionally, the Product has not had any stock issues in recent months. This combination of high visibility and availability keeps sales flowing and makes it very hard for competitors to capture a portion of Dove's market share.
Dove has also crafted a Perfect Page with very strong interactive A+ content and has gone the extra mile by merging third party items onto the brand's single details page. Merging with third party vendors has several advantages:
- It increases brand integrity by eliminating 3P-controlled content, which can often be incomplete, inaccurate or outdated.
- It increases the total number of ratings and reviews on the item's main page by collecting all of the item's ratings and reviews in one place.
- It decreases the likelihood that Dove will lose a sale to a 3P vendor by "hiding" 3P items on the brand's own page, preventing them from appearing as a unique search result.
Sales of canned goods are growing incredibly fast on Amazon, more than doubling in size in 2017. Unfortunately, it looks like Green Giant is missing out on this opportunity. Green Giant's Kitchen Sliced Green Beans were released in early 2017 and initially experienced the rapid growth consistent with the canned goods category, but by September sales had already started leveling off.
The price has remained consistent so far, which is good, and Green Giant offers a Subscribe & Save Promotion, which encourages shoppers to sign-up for a regularly-scheduled automatic reorder and can help keep sales steady. However, the Product fell out of stock several times through 2017, including a two week period in late November. Finally, this ASIN has only 4 reviews on its Page, well below our recommended minimum of 20. Using Amazon's Vine program to boost the number of reviews can dramatically increase consumer engagement.
This ASIN would also benefit greatly from better search optimization. Even though it's tagged as Amazon's Choice for "Canned Green Beans", it only ranks as #10 for "Green Beans", a much more popular search term.
Cyber Weekend is often one of the most beneficial weekends of the year, even for brands that don't offer any promotions. A high tide raises all ships, and the huge influx of traffic on Amazon tends to boost sales across the board. Unfortunately, not all brands manage to hold onto their sales lift, and Electrolux is a great example of that.
The Electrolux EL7085B Ultraone Deluxe Canister Vacuum was released on Amazon only a few months before Cyber Weekend 2017. Even though they did not offer any Promotion during the high-traffic weekend, they were clearly prepared for it because the Product did not go out of stock at all – a trap many brands fall into. Naturally, this had a large positive impact on sales, but their weekly average had already dropped backed down by February 2018 to where it was prior to Cyber Weekend and has now leveled out.
Even during their relatively successful holiday season, Electrolux failed to fully engage shoppers. Today, the product's Page still has only 18 reviews. Electrolux would benefit from increasing engagement by using an email campaign to encourage their past customers, especially after their strong sales during the holidays, to rate and review their products on Amazon. Offering a coupon in exchange for a review can greatly increase customer engagement and improve search rank.
Another problem is the Price, which has swung between $600 and $800 since launch. Such a wide variability in price can harm perceived brand integrity and can hurt sales by encouraging shoppers to hold off and wait for a steeper discount. If an item is known to be sold periodically for $600, nobody is going to pay $800 for it. These price fluctuations may be caused by Electrolux offering discounts through other retailers, having the unintended consequence of causing Amazon's price-matching algorithm to drive the price down, which in turn results in lower sales and poor Placement. This is why brands need to be aware of how different sales channels interact and account for that in their pricing and strategy.
About the 6Ps eCommerce Intelligence™ Framework
The 6Ps – Product, Placement, Price, Promotion, Perfect Page and Performance – are a checklist for brands. Lacking in any one of these areas signals untapped sales potential and can cause every other area to suffer.
- Product: Product availability is fundamental to success. Going out of stock causes the gears to grind to a halt; even a brief sold-out period can cause an ASIN's rank to drop dramatically and can take months to recover from.
- Placement: Better placement means more shoppers see the product, increasing brand awareness and the opportunity for conversion.
- Price: If two items are otherwise identical, the customer will always choose the one with the lower price, so it's crucial to remain competitive.
- Promotion: Promotions are a sure-fire way to increase your placement and attract more shoppers to your product page, generating a lift in sales which can boost every other metric.
- Perfect Page: A perfect page with high-quality images, A+ content, strong keywords and a lot of positive ratings and reviews drives up conversion and customer engagement.
- Performance: The combination of all the other metrics, a strong performance created a positive feedback loop which allows you to reach a wider audience, increase your sales, and keep the gears spinning faster and faster.
About One Click Retail
One Click Retail is the industry’s most accurate source of sales data for the world’s top eCommerce marketplaces. Using a combination of website indexing, machine learning and proprietary software, OCR estimates weekly online sales figures with market leading accuracy in order to deliver the best insights, analytics and strategies to their brand manufacturer clients. To catch a glimpse of how OCR gives brands critical edge on online platforms with our unique data and expertise, subscribe to our weekly eCommerce insights blog, and follow us on Twitter and LinkedIn.
If you are a brand manufacturer who would like to learn more about how you stack up to the competition—or would like to see your market share and category growth insights—email us at email@example.com for a free capabilities demo.
About Clavis Insight
Clavis Insight is a global leader in online channel insights for product manufacturers, and a principal innovator at the forefront of the eCommerce analytics revolution. The company has developed a powerful framework - 6Ps eCommerce Intelligence™ - for organizing and prioritizing eCommerce analytics and actions to drive online channel success for brands. Global manufacturers use their daily eCommerce analytics and insights to drive sales in their categories online, to optimize content for brand equity enhancement, protection and product information compliance, and to deliver consistent, unified reporting on online retailer brand presence and performance.