5 Important Amazon Trends To Watch Out for in 2021
Amazon trends were already looking good in 2020. And it has been a great year to sell for Amazon and other eCommerce businesses.
But with the pandemic and global lockdowns, e-commerce growth accelerated 5% faster than what was predicted.
Buying behaviors have shifted, and essentials were redefined in a hot minute. And by the looks of it, the pandemic’s impact is here to stay.
As Amazon business owners, our best plan is to keep up with the trends and be prepared for what’s to come.
So today, we’ll talk about Amazon trends to watch out for this 2021.
Five Amazon Trends and Predictions to Watch Out For
The secret to a successful Amazon business is in the planning.
It’s all about understanding the numbers and preparing in advance.
And above all, it’s all about understanding who you’re selling to and how your brand can help them with their needs.
Whether you’re an Amazon expert seller or a newbie, it’s necessary to learn about marketing trends and insights that can help you make better decisions for the year to come.
Here are five trends on Amazon that you should know for 2021.
Customers will be doing more shopping online, including marketplaces and platforms.
Amazon has proven to be one of the most resilient business models of the present time.
Convenience played a huge role in 2020, especially with the limitations set by the pandemic.
Because of this abrupt change, buying behaviors also shifted permanently.
For one, it redefined what essentials meant for most. Suddenly, clothes and apparel were last on people’s list.
Baby products, health, and beauty, household products, grocery, and pet products became prioritized.
Brick and mortar stores started closing, and everyone was shifting sales into e-Commerce platforms and online marketplaces.
Since the pandemic, there’s been a 70% increase in customer purchases online in Q3, specifically on Amazon.
Survey says most people are also more open to never shopping in a physical store again.
They are now more comfortable with better customer experience, 2-3 day delivery timeframes, and free returns for most stores.
New brands and businesses also emerged.
And with social media platforms starting to offer marketplace options, it’s now easier to start an online business and attract buyers with just one post.
This means you have more platforms and opportunities to learn more about your audience and have a better reach for sales.
And despite people thinking that Amazon is already a saturated market, the numbers prove that it’s still a great place to sell.
How do you make the most of this trend?
If you’re already selling on Amazon, it’s high time for you to consider other platforms to sell to.
You can choose to build your website to increase your reach and provide more value to your target market.
Amazon advertising will evolve and expand
What’s great about Amazon is that most searches are based on intent. People search for items they already have an intention of buying.
Because of this buyer mindset, you should be looking at Amazon as more than just a retail platform. You should treat it more like a powerful search engine.
So in 2021, you should still be investing in Amazon PPC to generate traffic and sales.
But is that enough?
People are spending more time online. As an Amazon seller, this means your product should be more visible on different platforms.
That’s where omnichannel marketing comes in.
Recent studies show 46.7% of buyers in the US start their search in Amazon. And it brings them to other channels as well, like Youtube, Pinterest, Facebook, and Instagram.
And as a golden marketing principle goes, people need seven touchpoints for them to buy from you.
So the more visible you are on different platforms, the better chances for you to get the sale.
The goal is to provide a seamless customer experience, whether they find you on Amazon, on socials, or on your own website.
As an Amazon seller, you should also be practicing omnichannel marketing as a growth strategy for 2021.
Why is omnichannel marketing such an essential strategy to use?
A huge factor in the buying process is convenience. Research from Forrester Consulting showed that 77% of consumers see time as a valuable asset.
They also want to have the freedom to search and buy anytime, anywhere.
And since this is the trend, you would also need to be creative in the way you market your products.
This is the time to venture into video ads too.
Youtube has become a great search platform for instructional and educational videos.
Tiktok is a fairly new addition to the platforms, but it’s been a strong driver for traffic and sales for Amazon brands.
From unboxing videos, tutorials, to hashtags like #TikTokMadeMeBuyIt and #AmazonFinds, influencers in the platform has been using it to attract more buyers for brands.
Get more information about omnichannel marketing for eCommerce here.
Analytics will show you the way
Selling is all about understanding customer behaviors and patterns.
And one of the biggest trends on Amazon for 2021 will be leveraging analytics and artificial intelligence to plan and predict sales.
Amazon already provides systems and tools in place to help sellers collect, analyze, and visualize data inside the platform.
And when applied correctly, it can maximize your growth as an Amazon seller.
Some of the variables you can take a look at include historical sales, AMS spend, sales rank, and out-of-stock rank.
These can have a huge impact on how you approach potential and loyal customers if you interpret the data correctly.
One of the ways you can maximize it is by segmentation.
Group your audience according to geographical location, gender, and age. You can also take a look at buying habits, total spending, and more.
It also helps to map out which channels they’re coming from and which content leads to more conversion.
Check out more Amazon trends for data analytics here.
Product reviews will be more appealing to customers
Customer feedback and product reviews have always had a strong impact on the buying decision.
Word of mouth marketing still reigns supreme, and people trust other people’s experiences and recommendations.
In fact, 91% of buyers read reviews before purchasing and 81% of people trust online reviews as much as they would a friend’s recommendations.
68% of buyers come up with a decision after reading between one to six reviews.
This is why your goal for 2021 should be to increase the number of reviews for your products.
But not all reviews are created equal. Negative reviews may have an equal impact as positive ones.
In fact, having negative reviews can also help establish your brand’s credibility and trust.
Google’s John McAteer said no one will trust your brand if it’s all positive reviews.
Shoppers are now smarter, and they know every item can’t be the best and highest quality. And the absence of negative reviews can increase suspicion.
Having negative reviews can serve as a baseline for setting customer expectations.
It also helps customers identify if the product is the right fit for their needs.
For example, one user might find an item difficult to assemble yet still practical for its intended purpose. This can be a good pointer for someone who doesn’t mind the challenge of putting things together.
Others also consider the reviewer’s personality. If they feel that the author seems unlike themselves, the reader may discount its authenticity.
So how do you maximize product reviews to increase sales?
It helps to encourage reviews from different platforms like Facebook, Youtube, and Instagram.
This will help you increase brand awareness and also improve your rankings for the right keywords.
By reading your reviews, you also get to identify the keywords your customers use. This can refine your keyword research and let you tap into actual keywords that your customers use.
Get more tips on how to increase product reviews here.
Amazon seller will be a popular career option
There will be more people going into the Amazon seller space in 2021.
BBC News states that a total of 81% of the global workforce of 3.3 billion people have had their workplace fully or partly closed.
Restrictions on travel and other social activities were also put on hold. And industries like retail, accommodations, and food were hard hit.
Despite the numbers, Amazon still performed well.
Amazon’s eCommerce revenue saw gains of 47% YOY for the second quarter of 2020.
It generated $70.11 Billion in sales, surpassing the fourth quarter of 2019 which was at $68.34 Billion.
This proves how stable the Amazon business model is. And it’s also the reason why more people are now interested in becoming Amazon sellers.
Amazon also aims to support small business owners with their Shop Local Small Business efforts.
They also aim to support one-person businesses and make it easier for them to create opportunities for themselves.
The great thing about Amazon is anyone can get started right away. Amazon provides seller tools and guides that can help you succeed.
And with what happened in 2020, more people are going into eCommerce and Amazon selling.
Now you might be thinking, will there be enough room to sell on Amazon?
Yes, of course.
The key is to find the right niche to sell to and the best products to sell.
It’s also important to find the right people to help you build a strong, sustainable Amazon business.
You’ll need to find clarity and a proven system that can help you create real profit. You’ll need to map out your plans and measure your success.
Are you thinking of starting your Amazon business? Here’s how you can get started.
Looking at Amazon trends can help you plan and prepare for 2021.
It will help you identify the goals for the business and the areas that need to be improved.
With more people setting their eyes on selling on Amazon as a new career, there is still enough room for those who are interested.
Get more Amazon trends and learn how to generate a real profit on Amazon today.