Planning for Growth with a Forecasting Model - Daniel Tejada - Amazon Legends - Episode #236
May 25, 2023
The guest on today’s episode is Daniel Tejada. He is the Co-founder of Straight Up Growth, a renowned full-service Amazon agency dedicated to propelling e-commerce brands to new heights. With an impressive seven-year track record in the Amazon ads game, Daniel's expertise has helped generate over a staggering $1.5 billion in sales on the platform. His unwavering passion for driving brand growth on Amazon led him to establish Straight Up Growth, a company solely focused on helping businesses thrive in the competitive Amazon marketplace. In today’s episode, he discusses planning for growth with a forecasting model.
- Conduct competitive analysis: Before launching a product, it's important to research and analyze the competition in the specific category. Tools like Jungle Scout or Helium 10 can provide sales estimates and insights into market size.
- Optimize listing for success: A strong listing with high conversion rates is vital. Optimize product photos by including unique selling points (USPs) as text overlays. Utilize A+ content and videos to enhance the listing and improve conversion rates.
- Monitoring unit session percentages (Conversion rate) and comparing them to category averages can indicate potential issues with the listing that need to be addressed.
- Allocate ad spend strategically: Advertising spending is essential for improving organic rankings. Optimizing advertising campaigns and allocating the budget effectively will help increase organic visibility and drive sales.
- Organic sales on Amazon are driven by two main factors: relevancy score and competitiveness of search terms.
- Driving external traffic to Amazon can be effective for brand building and conversion, even with fewer reviews.
Quote of the Show:In lieu of existing data for a new launch, what we focus on to build our model is historical averages of conversion rates based on the category to establish our baseline.
Ways to tune in:
Amazon Legends is sponsored by Argometrix, the authority on, and a leading supplier of, competitive intelligence for online retail. To learn more, head over to https://argometrix.com/