How to Maximize Your Amazon Profits Using Analytics Tools
Trying to understand your Amazon product sales can be a bit confusing. Each product brings its own set of data that has to be collected, measured, analyzed, and reported. If you don’t know what you’re looking at, it can feel like being lost in a maze.
Luckily, BigCentral’s Profit Dashboard can turn all of that collected information into an easy-to-understand report that gives you much-needed insight into each product you have. When you are armed with this knowledge, you get to see how to make the most of your product sales performance and what changes you need to make it even better.
In the previous blog post, we have introduced the tips to minimize the impact of Amazon returns on your profit margin. In today’s article, we will share a couple of strategies to maximize your Amazon profits with the information provided by BigCentral.
Tips #1. Identify products that have gross high profits but have a low number of units sold
To boost sales for these products, you can invest in more ads to drive traffic to the listings for increasing more sales, further improving their ranking.
Tips #2. Identify products that have the lowest contribution margin
There are several actions you can take to identify the products with the lowest profits. Once you dig deeper, you will find out some critical reasons why these products are not profitable. After confirming this is not the case of a clearance to offload product, you can take different actions depending on the numbers.
If you have a high number of units sold but the margins are extremely low or you have negative profits, the first thing you can do is to reduce the cost of advertisements and promotions. This can hide the short-term loss and lead to an increase in profitability.
Second, if the products have negative gross profits because of a large number of refunds, and the cost eats into your Amazon profits. In this case, you can follow these tips to minimize the impact of Amazon returns on your profit margin.
BQool’s analytics tool takes your Amazon business to the next level by providing incredibly-detailed information.
Here’s the video to show you how our BigCentral Profit Dashboard works and provide the insights to help you to make smart decisions to optimize your sales performance and marketing strategies for better results.
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