The Brief
Our client, Littles Coffee wanted to establish a robust presence on Amazon to tap into its vast customer base and drive sales. With no prior presence on the platform, the client trusted Optimizon with the task of launching their products on Amazon and overcoming logistical challenges and regulatory compliance in the food category.
To ensure they hit the ground running, Little’s Coffee invested in an Insights Audit to get a complete understanding of their customers and competitors on Amazon. This information was then used to shape their product development and Amazon launch strategy.
The Challenge
New to Amazon: Going up against some tough competition on the marketplace which already have the history, reviews, ranking and loyalty of shoppers as well as taking over from their 3P sellers.
- Understanding the Market: As Little’s Coffee were entering a new space, they needed to understand what is needed of them to ensure a success.
- Suppressed Listings: Regulatory requirements on Amazon’s food category led to suppressed listings, notably affecting one of their best-selling products and causing disruptions in sales.
- Account Deactivation: A setback occurred when the client’s Amazon account was deactivated during a critical trading period, necessitating a rebuild from scratch and resulting in a loss of traction and sales momentum.
Accelerating Sales
- New Product Line: Once the Insight Audit was completed, Little’s Coffee saw a massive opportunity in launching larger tins for office spaces. Our audit allowed them to jump into this process with the knowledge that this is what their clients were looking for.
- Optimised Listings: We carefully fine-tuned Little’s Coffee’s product listings, with image stacks, A+ content and SEO focused copy. Focusing on popular flavours like hazelnut and vanilla, this led to better visibility and higher rankings in Amazon search results. Hazelnut and Vanilla emerged as top favourites among customers, indicating areas for future product development and marketing efforts.
- Vine Program Participation: Joining Amazon’s Vine program allowed us to gather valuable customer reviews for our new products, boosting trust and credibility among potential buyers.
- Amazon Business: We have launched Amazon Business, providing B2B customers with the chance to purchase multiple products with a tiered discount system.
- Gift Sets: We sold a total of 1,203 gift sets, demonstrating the appeal of our curated coffee collections to Amazon shoppers. This strong sales figure highlights the success of our promotional strategies and the demand for value-added products in our client’s lineup.
The Results
- ACOS Target = 15%
- TACOS = 14.2%, lower than target TACOS
- Paid Sales % = 50.2%
These sales statistics reflect the success of our collaborative efforts in optimising listings, implementing promotional activities, and addressing logistical challenges, ultimately driving sales growth and enhancing our client’s market position on Amazon.
Despite facing logistical and regulatory challenges, our collaborative efforts with the client have resulted in significant progress in establishing and expanding their presence on Amazon. By addressing challenges proactively and implementing strategic initiatives, the instant coffee brand is well-positioned for sustained growth and market dominance on Amazon’s platform, with a focus on building brand loyalty and expanding product offerings in the near future.
