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How are brands maintaining their identity in the age of Amazon

How are brands maintaining their identity in the age of Amazon

How Are Brands Maintaining Their Identity In The Age Of Amazon?

E-commerce sales have expanded at a rate of 19 percent per year on average over the last decade, significantly faster than offline retail. While traditional shops struggle to stay afloat, forward-thinking online merchants have sparked a wave of innovation that boosts the dynamic economy of e-commerce.

Due to these numbers, brands often find it hard to maintain their separate identity. While the popular, stronger brands can spend loads of money on online marketing to keep their consumers connected directly, new businesses indeed suffer. A new company with a product that can come in handy for a majority often finds it hard to market it correctly. This is why we usually find products being sold by third-party sellers on Amazon and several other E-commerce markets. It is safe to say that in today’s world, if you are not on Amazon (or any different E-commerce market), there are greater chances that your products are listed there – without you having any idea about it!

The Risks Of Poor Customer Relationships and How To Mitigate Them:

While companies are still making a wholesale margin on diverted units sold on Amazon, they are getting additional money in exchange for a more difficult branding and consumer connection problem.

The proliferation of third-party and unauthorized sellers on Amazon and other marketplaces, the brand’s image is being tarnished by subpar product content.

Low-grade product listings, pixelated product images taken on a smartphone, or basic product descriptions that don’t entice customers to click the “Purchase Now” button are other ways to kill any brand’s image.

Businesses must consider Amazon as part of their overall channel strategy and distribution activities. You must ensure that your brand message is consistent across all channels — to the extent that you have control over who represents you — and, in the end, aim to maintain price stability across channels.

It is a poor situation when you find out customers prefer to acquire your items through particular channels because the products are cheaper or because there is more price erosion in those channels. Hence, your company faces a new, bigger issue.

You don’t want to direct them to specific channels, usually eCommerce channels. All of your stable relationships with retailers are being harmed since consumers are aware that they can acquire the same goods for 5% or 10% less via an internet channel.

How Can You Maintain Your Identity in E-Commerce Markets?

Protecting your brand on Amazon necessitates improved channel governance, branding, and content control, as well as measures to ensure your brand receives a fair share of voice across all channels.

Say “NO,” When Necessary!

The more you learn to say “no,” the more you’ll finish up with a consistent price and product availability, and everything will flow smoothly. Remember that only you can decide when you want to end a partnership with a reseller, what “sales strategy” isn’t good for your brand, and much more. Once that decision is made, it is best if you are confident enough to say “no”.

Develop Your Reseller Policy:

A minimum advertised policy (MAP) is used by many manufacturers, although it is only helpful with authorized resellers. It does nothing to prevent unlicensed resellers from selling things online, resulting in further price erosion. To prevent this, firms should adopt an online reseller policy, which is a legal document that outlines what authorized resellers may and cannot do while selling your items.

Resellers may be required to submit Amazon vendor data or feedback data under this policy. An internet reseller policy can also help you avoid the first-sale doctrine, allowing unlicensed sellers to sell products without a brand’s consent under current federal case law.

Keep An Eye On Internal Processes:

Brands must modify their internal operations in addition to these legal tools. Among the process enhancements that you could make are:

  • You must create systems to ensure that your salespeople only sell to a pre-approved list of resellers.
  • It would help if you used diverse salespeople to examine the volume and character of sales in a single channel.
  • Having distributors disclose information on who they have sold to and what quantities. This could help you comprehend better what’s going on on that side of the ledger.

This approach should also entail evaluating how products move through the supply chain using RFID tags or serial numbers. That’s all crucial information for determining how this product wound up on the shelf being sold by an unlicensed seller.





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