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Introduktion tilAmazon
Nørgård Mikkelsen Seminar Arhus & Copenhagen June 2019
Who is presenting today
2
Andreas Bork
Account Director & Head of Cl ient Consul t ing
10 years+ Amazon exper ience
Prev. Category Lead at Amazon Germany & Head of Dig i ta l
& Onl ine at Sony GSA
What we want to achieve with you today
✓ Overview of the E-Commerce market & trends
✓ Share Amazon knowledges and best practices
✓ Give answers or solutions how to manage business with Amazon
✓ Takeaways & next steps for your company
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Finc3 GroupShaping Digital Excellence
4
5
Monitoring & BI
Advertising Campaign
Management
Operational Account
Excellence
Content & Conversion
Optimization
State of the Art E-Commerce-Consulting
Full Service for yourAmazon success
International Team
Finc3 Commerce is one of the leading
consulting agencies for Amazon and
other marketplaces in Europe
We help vendors as well as huge sellers
to scale their E-Commerce business
profitably
Our client portfolio contains world
leading enterprises as well as mid-cap
companies or pure players with eight-
digit revenues
Finc3 Commerce in a nutshellAbout us
We have a team of 50+ experts with 9 different native languages from 13 countries at two
offices (Hamburg & Bratislava)
We fully understand the Amazon ecosystem. Our clients can leverage our
strategic expertise as well as implementation resources
What makes Finc3 Commerce unique is the way we co-work with our clients
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Strategic Consulting
Operative
Consulting
OperativeImplementation
Fast growth without own resources
Targeted use of own resources under guidance
Building up internal know-how
Ad
just
able
to
clie
nts
’ nee
ds
Scalable Support
Team of Finc3 Commerce
Our international team of experienced Amazon specialists provides full service for our customers
• Native Speakers DE, EN, FR, IT, ES
• Educational background: performance marketing, business administration, engineering
• 10 employees for AMS only+ further for DSP and othermarketing channels
• Native Speakers DE, EN, FR, IT, ES, TR
• Educational background: marketing, businesspsychology, PR
• 10 employees + network offreelancers
Consultants Advertising Mgmt. Content Marketing Operational Excellence
• Amazon Experts
• Educational background: ecommerce mgmt., marketing, businessadministration / MBA, logistics
• 12 employees
• Account Management, Business Intelligence, CRM
• Educational background: ecommerce mgmt., software developer, datascientists
• 6 employees + freelancers
55 employees with 9 different native languages from 13 countries - Company Language: English
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Finc3 Group
Finc 3 Marketing Services
• Strategy Consulting• CRM• Actionable Analytics /
Business Intelligence
High-EndDigital Marketing
Finc3 Commerce
• Full service ecommerceMarketing
• Focus on Amazon Marketing andinternational marketplace management
BizMut Marketing
• Digital Business Audience Marketing
Finc3 Commerce is part of the independent Finc3 Group, specialized in e-commerce and online-marketing
Company setup and competences
Our international Team supports clients all around the world
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Covered Amazon Marketplaces:
Countr ies of our cl ients
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Sample References
E-Commerce & Amazon by numbers
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The digital landscape in 2020
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eCommerce spending per person in 2017
What is Amazon?
✓ Retailer?
✓ Market place?
✓ Product information platform?
✓ Logistics company?
✓ B2C and B2B?
✓ Innovation driver and enabler?
✓ Tech company?
✓ Cloud provider?
✓ Publishing platform?
✓ Movie studio?
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of all productsearches worldwide
start on Amazon
Products in assortmentin Germany alone
1 00Mio.
Members in customerloyality program
PRIME Billion
55%> 2 5 0
Mio.
Revenue worldwidein USD in 2018
Always expanding: Amazon has 13 active marketplaces, reaching customers in >180 countriesAmazon Marketplaces
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Sources: 1
2
Amazon´s success story continues...
Quelle: Statista;
Amazon invests continuously in innovation and additional business modelsFocus on smart home & mobi l i ty
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Amazon invests continuously in innovation and additional business models
health
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Amazon.de is (still) building its food & FMCG business on these four pillars
Amazon Programme
Core, Pr ime Now, Pantry& Fresh
20Quelle: Amazon
No progress for Amazon Fresh in Europe
Amazon Fresh
21Quelle: Amazon
• So far only three distribution centres operating in Europe (London, Berlin, Munich)
• Forecasted expansion is currently a long time coming (e.g. in Germany Cologne, Düsseldorf, Frankfurt, Hanover, or Paris & Lyon for France etc.)
• Manufacturers complain that purchases are made below their minimum order quantities
But the invest in Whole Foods UK shows that there is a strong believe in the food & FMCG category
A strategic guideline for your Amazon Business
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Amazon FlyWheel Jeff Bezos´ successformula
strategic framework
23Source: http://www.samseely.com/blog/2016/5/2/the-amazon-flywheel-part-1 / modified by F3C
Control capabilities for brands
- great control
- medium control
- little or no control
LOWER COST STRUCTURE LOWERPRICES
TRAFFIC
SELLERS
SELECTION
Brands selling on Amazon need to adapt tobusiness logic to achieve their goals
strategic framework applied to a perspective
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CUSTOMEREXPERIENCELeverage Amazon
for your owngoals
✓ SEO✓ Media Campaigns
(Retail, AMG, AMS, AAP)
✓ 3rd Parties✓ Wholesaler
✓ Exclusive SKUs✓ Bundles
✓ Content (A+, Video)✓ Review Management
✓ Higher Profitability✓ Stable Market-Prices
✓ Real Time Monitoring✓ Data Driven Decisions
✓ InfrastructureInvestments
✓ Improved Efficiency
Your Brand
Content & Conversion Optimization• Goal: Increase relevance and visibility of products as
well as reputation and conversion-rate
Advertising Campaign Management• Goal: Increase awareness and sales by buying
profitable traffic
Operational Excellence• Goal: Optimization of framework conditions and
processes for a successful Amazon business
Business intelligence & Analytics• Goal: Continuous monitoring and data analysis to
make better decisions and set wisely the priorities
Content & Conversion
Success on Amazon depends on the effective concertation of four fields of action
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AdvertisingOperational Excellence
Monitoring & Analytics
+
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Content & Conversion
Amazon is marketplace and search engine at the same time
with hundreds of mill ions of products.
Optimize your product data and content in order to increase
relevance and visibil ity of clients products
and to boost conversion rate.
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Titel
Reviews
Variants
Attributes
Images
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Product Description
A+ Content
A+ Content
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Advertising
Amazon offers a whole range of advertising options.
Choose the right ones, leverage them to drive reach and
generate profitable sales.
Covering Sponsored Ads, Amazon DSP and Amazon
Advertising.
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Online advertising spend
Amazon will be the next big, scalable advertising ecosystem
Intention Profile Buyer Data
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Online marketing trends
Press and experts are confident that Amazon will catch up to Facebook and Google´s Ad business
Quellen: WallStreetJournal, W&V, OMR, Horizont
Why should you care?
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Competition on Amazon is tough
It is more and more challenging for brands to getvisibility for their products...
...as number of suppliers is growing- and so is the assortment - WORLDWIDE
Competition on Amazon is tough
35Sources: ExportX, Statista
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Competition on Amazon
It becomes increasingly difficult to achieve visibility and reach for your products
You have to know all marketing levers to tailor the right media mix for brands´ goals
Amazon marketing landscape
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Marketing-Options on Amazon
Inside Amazon
Outside Amazon
Paid Media Promotions
SponsoredProducts
SponsoredBrands
ProductDisplay Ads
AMS
Subscribe & Save
Brand Stores
DSP
AdBlock-Traffic
Fire Tablet Wakescreen
Fire TV Ad
ConnectedDevices
Display Ads
EcommerceAds
Sponsorings
Desktop & Mobile
Custom Solutions
AdvertisingSearch
Optimization
ProductTexts & Data
A+Content/EBC
OnPage
Review Mgmt.
Vine
OffPage
Images(Product
Tests)
Vendor only Seller only
ParcelSupplement
OfflineMedia
Display Ads
EcommerceAds
Managed Services Self-Service
PPC (e.g. Facebook)
Deal-Plattforms
Email-Marketing
Deals
Coupons
PromotionsPrinted Bags & Parcels
Amazon SEA
Sponsored Ads
Three different ad-types for Amazon Sponsored Ads
Sponsored Ads
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Sponsored Products SPA
Vendor &
Seller (in Buybox)
Sponsored Brands (former Headline Display Ad)
Vendor &
Seller (with brand registry)
Product Display PDA
Only Vendor
Sponsored Products are displayed above, between and below the organic search results
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...and on product detail pages
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Headline Search Ads are placed on the SERP directly below the header
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*SERP =Search Engine Results Page
Product Display Ads are placed on the product detail page
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The user will be linked to the product page or a dedicated landing page on Amazon
Landingpages
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Sponsored Products
Product Detail Page
Headline Search
Amazon Landingpage(Custom SERP / Brand Store)
Product Display
Product Detail Page
AMS Brand Stores can be used for brand building and to drive conversion
AMS Brand Stores
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Amazon Demand Side
Plattform (DSP)
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owned or operated Plattforms
DSP is Amazon's display advertising network with targeting on buyer data
Amazon-Plattform (International)
Associated Plattforms (e.g. IMDB)
Amazon-Devices (e.g. Kindl)
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´s buyer data
DSP is Amazon's display advertising network with targeting on buyer data
External Websites and Mobile-Platforms via Ad-Networks (Open Exchange, Private Deals)
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Targeting Retargeting
Campaign types
DSP offers two campaign options
Reach known usersCampaigns are aimed at maintaining contact with
known users and convincing them of your own
brand/products.
Acquire new customers
Campaigns aim to draw the attention of new buyer
groups to your own products.
Amazon Advertising
(former AMG)
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Managed Service via Amazon Advertising Expert (AE) on CPM-Basis or fix fee
Display- & Newsletter-Campaignes
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Managed Service via Amazon AE
Custom Solutions: Here as example - US Theatrical Release
Customized Homepage
“Boxvertising“
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Managed Service via Amazon AE
Connected Devices covers campaigns on Amazons Kindle Fire, or Fire TV
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Managed Service via Amazon AE
Parcel Supplement as offline-option based on CPM pricing
The media strategy needs to be dynamic and adaptable along the complete sales funnel
Recommended Media Channels
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Awareness Consideration Purchase Loyality
E x t e r n a l M e d i a C h a n n e l s
A m a z o n M e d i a C h a n n e l s
Sponsored Ads (SEA on Amazon)
AMG/Retail (Sponsorings & Display)
Promotions (Deals, Coupons)
ATL (TV, Print, Online...)
External Ad Channels
Amazon SEO
Amazon DSP (Display Targeting & Retargeting)
Mar
keti
nn
gC
han
ne
lsS
ale
sFu
nn
el
Stand alone Paid Media actions do not unfold their full potential.
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You need to have all ecommerce success factors under control
to scale campaigns to the max.
Campaigns will be ineffective in terms of reach, spends will be inefficient.
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Operational Excellence
The daily account management in Vendor accounts can be a
tough challenge for brands.
You need to monitor the most important KPIs and deduct actions
to leverage growth potential .
Take action beyond campaign management
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Advertising Campaign
Performance
Relevance factors that increase Visibility Performance factors that drive Conversion
Text-Content
Keywords
Stock
Price
Reviews
Variants / Bundles
Images, Videos
Promotions
Badges
Campaign-performance is stronglydependent on non-campaign-factors
A+Content
Sales Programs
Efficent day-to-day marketing and sales processes are mandatory to be successfulNon-paid act ions
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SEO/Content
Title, Attributes, Backend Keywords
ConversionOptimization
Product Images, A+ Content, Brand Store
Reviews
Building & Management
Bundling
Variations, Bundles, Samples
Customer Service
FAQs, Comment on questions
Stock Management
Buy Box Rate, Never Out OfStock
Take Aways
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What is important to know tomorrow as well▪ With Amazon´s worldwide growth, competition on the marketplace is also increasing at the
same time
▪ Amazon will be the next major advertising platform alongside Google and Facebook and has the "hardest currency": user´s purchase data
▪ The Amazon Ecosystem already includes a multitude of advertising options, more and more of which are self-services
▪ Advertising on Amazon should not be viewed in isolation, but as part of an overall strategy to ensure sustainable success
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Today´s takeaways for your business
Potential next steps
1. Define your Amazon marketing strategy
2. Set yourself SMART Goals for the next 3, 6 & 15 months
3. Make or buy? Decide whether you will achieve these goals with internal
resources or with external know-how and manpower
Questions?
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andreas .bork@finc3.de
www.f inc3.de
Mönkedamm 11 , 20457 Hamburg
© f i n c 3 c o m m e r c e 2 0 1 8
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