An Established Sporting Goods company which has had success on its online store as well as a strong distribution network came to us to establish a stronger presence on Amazon. They had the best products in the market and the only one in their industry that was made in the USA. While their business did in excess of $10 million a year, their Amazon business was less than $200,000 annually. They had hundreds of listings with little organization or marketing strategy.
How do we convey the higher quality of the product? How do we get their items to the first page of the search results? How do they manage a catalogue of hundred of items on Amazon? How do they determine the products to focus on and invest marketing dollars? How do they keep their margins when Amazon is considered a price-driven market and their product is a premium version to their competitors’? How do they manage their inventory and shipping on the merchant-fulfilled network (MFN) and Fulfilled by Amazon (FBA) at the same time?
We targeted a sales goal of $350,000 for the first year with a gross margin of 30% after advertising expenses. We wanted to maintain MAP pricing policy and ideally grow the business without impacting sales from their own website.