In this episode, Zamir drops a bombshell: FBA (Fulfilled by Amazon) may no longer be the best option for sellers on Amazon. Joined by Ali, the duo dive into the evolving debate between FBA and Seller Fulfilled Prime (SFP), exploring why SFP is becoming a more attractive option for many sellers.

They break down the key differences between the two fulfilment methods, from cost and scalability to the all-important conversion rates. With recent changes in SFP’s delivery promise, and Amazon’s shift to level the playing field between FBA and SFP, Zamir argues that it’s time sellers seriously consider SFP as a viable alternative for certain situations. Whether you’re shipping in bulk, offering personalised products, or looking for better control of stock, this episode explores where SFP can shine.

Key Takeaways:

• FBA still leads in scalability and cost-effectiveness for single-item orders, especially with Amazon’s vast fulfilment network.
• Seller Fulfilled Prime offers flexibility for bulk orders, personalised customer experiences, and more control over stock—all without splitting inventory.
• SFP now matches FBA’s one-day delivery promise, levelling the playing field for sellers.
• Brands with established DTC (Direct-to-Consumer) operations or non-ambient products like chilled or frozen goods can benefit significantly from SFP’s flexibility.

Quote of the Episode:

“FBA is still the champ, but there’s a new challenger in the ring. Watch out for Seller Fulfilled Prime!” — Ali

Welcome to The Upside, a limited series podcast for brand owners, brand managers and the digitally curious. In each episode we'll be sharing insights and strategies that have helped us and over 100 brands grow to dominate the online marketplace.

We'll dive into the most common questions we get from founders, explore the nuances of consumer behaviour and reveal our formula for success. Whether you’re a seasoned brand manager or just starting out, tune in for bite sized insights and practical advice to help you thrive in the digital world.

So join us on this journey, avoid common pitfalls and learn what it takes to win in todays competitive marketplaces. Lets get started and make the most of The Upside.

https://www.thiswayup.online

In this episode, Zamir and Ali break down the key changes to Amazon’s fees in 2024 and discuss how these new policies will impact sellers. From increased fees for inventory management to Amazon’s VAT regulations, they explore the challenges and opportunities for businesses navigating these changes.

The duo tackles whether Amazon’s fee increases are penalising disorganised sellers or rewarding the well-prepared. They dive into controversial topics like the impact of performance fees, stock levels, VAT adjustments, and the crucial importance of getting stock in early for the holiday season. If you’re selling on Amazon, understanding these changes could be the difference between growth and losing out on significant revenue.

Key Takeaways:

• Amazon is raising fees, particularly penalising sellers with poor inventory management. Well-organised sellers can benefit.
• Having 30+ days of stock is key to avoiding extra fees and maximising Amazon’s fulfilment efficiency.
• Get stock in by October to ensure it’s available during peak holiday periods.
• Amazon will now charge VAT on all services, impacting short-term cash flow for sellers.
• Amazon is tightening the window for requesting reimbursement for overcharges—make sure to act before October.

Quote of the Episode:

“Amazon’s making it harder, but it just means you need to be more professional. If you manage your stock well, you’ll come out ahead.” — Zamir

In this episode, Zamir and Ali explore the complex world of resellers on Amazon, breaking down the good, the bad, and the ugly scenarios that brands face when dealing with third-party sellers. From businesses losing control of their listings to the opportunities resellers can provide, the duo leaves no stone unturned.

They discuss how resellers can be both a blessing and a curse, highlighting key challenges like loss of the buy box, pricing issues, and maintaining brand integrity. On the flip side, they look at how some brands can benefit from working with the right resellers and how to set up agreements that keep everyone aligned.

Whether you’re a brand manager navigating Amazon or an entrepreneur considering resellers as part of your e-commerce strategy, this episode is packed with actionable insights on how to control and optimise your brand’s presence on the world’s largest marketplace.

Key Takeaways:

• The Ugly: Brands can lose control of their listings and their buy box, leading to lost sales, dropped prices, and a devalued brand presence.
• The Bad: Losing the buy box often means brands can’t advertise, and resellers may not invest in brand growth or advertising.
• The Good: For brands without the capacity to sell on Amazon, resellers can help manage sales, provided there are clear agreements and revenue targets in place.
• Transparency Program: A powerful tool to help brands take back control of listings, though it comes at a cost.

Quote of the Episode:

“If you lose control of the buy box, resellers become an issue. If you control it, resellers aren’t a problem.” — Zamir

In this episode, hosts Zamir and Ali dig into the controversial topic of why some brands refuse to sell on Amazon. With a lively back-and-forth, they explore whether the notion that Amazon devalues brand identity is still valid, or if these brands are simply missing out on a huge opportunity.

The conversation challenges the idea that Amazon is a ‘cheap’ marketplace, arguing that it has evolved into a vital platform for serious brands. Zamir expresses his frustration with businesses that consider themselves “too cool” for Amazon, while Ali acknowledges that some brands may have a different perspective, even though they might be outdated.

The duo discuss how challenger brands are capitalising on Amazon to disrupt industries, and how refusing to sell on the platform could leave businesses vulnerable to competitors taking market share. This episode offers practical insights for brand managers, e-commerce professionals, and entrepreneurs navigating the rapidly changing landscape of online retail.

Key Takeaways:

• The view of Amazon as a low-value marketplace is no longer accurate. Avoiding the platform can mean missing significant opportunities.
• With over 80% of UK consumers shopping on Amazon, brands can’t afford to ignore its reach.
• Smaller, agile brands are using Amazon to challenge bigger players and win market share by meeting consumer demand.
• Brands need to ask themselves whether they’re leaving money on the table by avoiding Amazon.

Quote of the Episode:

“If you want people to buy your product, get on Amazon. What are you waiting for?” — Ali

In this episode, Ali and Zamir rip the wrapping off Q4, a crucial period for sellers from October to December. They dive headfirst into the nuances of this peak season, highlighting significant sales events like Black Friday and Cyber Monday, and the impact of paydays on customer purchasing behaviour.

Top tip - This year's Black Friday (29th November) falls a week later than last year, requiring retailers to adjust their strategies accordingly.

This episode is your essential guide to capitalising on the season and explores the psychological triggers that drive sales, how weather conditions and seasonal trends influence shopping habits including the rise in online shopping on Christmas Day and the total write-off of sales on New Year's Eve. 

Key Takeaways:

• Q4 is crucial for retail sales, with significant events shaping consumer behaviour throughout the season.
• The peak sales activity is driven by Black Friday, Cyber Monday, and the resulting payday effects.
• Understanding the timing of sales events, such as Thanksgiving and Black Friday, is essential for forecasting.
• Weather patterns can significantly influence online shopping trends, particularly during the holiday season.
• Consumer purchasing behaviour shifts after Black Friday, with high-ticket items selling first.
• Sales dynamics vary by region, with different countries exhibiting unique shopping patterns during Q4.

Quote of the Episode:

“When it comes to search volumes, gifts for him, trend in, peak in November, gifts for her, trend and peak in the week before Christmas” - Zamir

In this episode, Ali & Zamir explore the philosophy of advertising, by comparing strategies on Google and Amazon.

While the core principles of advertising remain consistent - focusing on customer acquisition and lifetime value - the application differs significantly between platforms.

On Amazon, advertisers need to leverage paid ads to enhance organic visibility, as the two are interconnected in a way that differs from Google. Hear about the importance of precision in keyword targeting on Amazon to improve organic rankings, due to the unique dynamics of the platform.

This episode also provides insights into navigating the complexities of digital advertising, particularly when transitioning from direct-to-consumer (DTC) models to Amazon's ecosystem.

Key Takeaways:

• Advertising on Amazon requires a different philosophy than Google or Meta platforms.
• The key to successful advertising on Amazon is understanding the importance of visibility.
• Amazon's advertising can directly influence organic sales rankings in a way other platforms can't.
• New sellers on Amazon often underestimate the difference in advertising dynamics compared to DTC sales.
• Focusing on specific keywords in your Amazon ads can improve your organic ranking.
• Both Google and Amazon advertising aim to enhance non-paid sales through initial paid efforts.

Quote of the Episode:

"How much do I need to spend to get a new customer through the door?” - Zamir

In this episode, Ali & Zamir dive headfirst into a common misconception surrounding Amazon advertising: that higher bids guarantee more visibility.

Hear how click-through rates (CTR) significantly influence the value of bids, and how focusing on optimising listings will lead to higher engagement.

Amazon's payment structure is primarily based on clicks, not impressions, meaning that having a compelling listing can lead to better ad performance even with lower bids.

This episode also highlights the importance of using Amazon's Brand Analytics to understand competitive metrics for both paid and organic visibility.

Remember - CTR x Bid = Value to Amazon

Key Takeaways:

• Amazon advertising works on a pay-per-click model, emphasising clicks over just impressions.
• High click-through rates can lead to lower bids while maintaining visibility on Amazon.
• Brand analytics provides crucial data for targeting click-through and conversion rates effectively.
• The relationship between bid amounts and click-through rates is vital for advertising success.
• Amazon prioritises products that convert well, impacting both paid and organic rankings.
• Understanding Amazon's revenue model helps sellers optimise their advertising strategies.

Quote of the Episode:

"Amazon get paid on commission, they're looking for products that give them the highest conversion rate" - Zamir

In this episode, Zamir and Ali dive into the economics of search, and in particular, Amazon advertising. They explore the concept of search as a form of inventory with a very short shelf life, the dynamics of search activity throughout the day, and how advertisers can leverage fluctuations in cost per click to their advantage. The episode also highlights the importance of using AI-driven bidding tools, to maximise your advertising budget and avoid overpaying for clicks.

Key Takeaways:

• Search is inventory with the shortest shelf life ever.
• Cost per click fluctuates throughout the day based on search activity.
• Search activity peaks during specific times of the day.
• Advertiser budgets often reset at midnight, affecting demand.
• The interplay between supply and demand influences advertising costs.
• AI tools are essential for optimising advertising bids.
• Using AI can lead to significant savings in advertising costs.
• Without AI bidding, brands are likely overpaying for ads.
• Effective advertising requires understanding the dynamics of search activity.

Quote of the Episode -

"You can literally pick up searches clicks for bargain bucket prices." - Zamir

This episode features predictions for the sales weekend of the year - Black Friday & Cyber Monday.

Ali & Zamir discuss the peak shopping days to look out for, with momentum expected to surge from November 29th as monthly salaries hit bank accounts, they share key insights on consumer behaviour and the timing of expected sales spikes.

Discover which product categories are set to dominate, with toys and games leading the way at 110% growth, followed by a surprising second-place contender.

The episode also offers practical advice for brands to prepare for the shopping frenzy, from stocking up on inventory to fine-tuning promotional strategies.

This is your essential guide to maximising sales during the holiday season!

Like and subscribe wherever you get your podcasts, and don’t miss next week's special episode packed with exclusive real-time analysis of the Black Friday & Cyber Monday weekend. 

Key Takeaways:

• The peak shopping days during Black Friday week are expected to be around November 29th to December 2nd.

• Brands should prepare for higher sales growth, particularly in Toys and Games categories this year.

• Despite initial lower sales figures, significant growth is anticipated post-Black Friday as paydays align.

• Toys & Games are the top selling category but there is a surprise second-place category for growth during this period. 

• Retailers should focus on optimising their offers to maximise value perception among consumers.

• Don't panic if your early sales are lagging; significant growth is coming soon.