{"id":2882,"date":"2022-01-18T10:34:00","date_gmt":"2022-01-18T10:34:00","guid":{"rendered":"https:\/\/www.unybrands.com\/resource\/blog\/whats-hurting-your-ability-to-scale-your-amazon-fba-business\/"},"modified":"2022-01-18T10:34:00","modified_gmt":"2022-01-18T10:34:00","slug":"whats-hurting-your-ability-to-scale-your-amazon-fba-business","status":"publish","type":"blog","link":"https:\/\/www.unybrands.com\/zh-hans\/resource\/blog\/whats-hurting-your-ability-to-scale-your-amazon-fba-business\/","title":{"rendered":"What&#8217;s Hurting Your Ability To Scale Your Amazon FBA Business?"},"content":{"rendered":"<section data-key='section-1' class='core-section core-section-hero-post hero-post spacing-top-large spacing-bottom-none js-core-section-hero-post'><div class=\"headline\">\n\t<div class=\"wrapper medium\">\n\t\t<div class=\"info\">\n\t\t\t\n\t\t\t<span class=\"date\">1\u6708 18, 2022<\/span>\n\t\t<\/div>\n\n\t\t<h2 class=\"heading-2\">What&#8217;s Hurting Your Ability To Scale Your Amazon FBA Business?<\/h2>\n\n\t\t\t\t\t<span class=\"time\">Time to Read: 5-7 minutes<\/span>\n\t\t\t<\/div>\n<\/div>\n\n\t<div class=\"media\">\n\t\t<div class=\"wrapper full no-padding\">\n\t\t\t<figure class='core-component core-component-image image ratio-none js-core-component-image'><picture>\n\t\n\t<source\n\t\tsrcset=\"https:\/\/www.unybrands.com\/wp-content\/uploads\/2022\/10\/Nicole-Wang-on-German-and-American-Aggregators-Working-With-Chinese-Manufacturers-1-1280x467.webp 1280w\"\n\t\ttype=\"image\/webp\"\n\t\/>\n\n\t<source\n\t\tsrcset=\"https:\/\/www.unybrands.com\/wp-content\/uploads\/2022\/10\/Nicole-Wang-on-German-and-American-Aggregators-Working-With-Chinese-Manufacturers-1-1280x467.png 1280w\"\n\t\t\t\t\ttype=\"image\"\n\t\t\t\/>\n\n\t<img\n\t\tdata-src=\"https:\/\/www.unybrands.com\/wp-content\/uploads\/2022\/10\/Nicole-Wang-on-German-and-American-Aggregators-Working-With-Chinese-Manufacturers-1-1280x467.png\"\n\t\talt=\"Woman typing on laptop wearing yellow sweater and bracelets\"\n\t\t\t\t\twidth=\"1280\"\n\t\t\t\t\t\t\theight=\"467\"\n\t\t\t\tloading=\"lazy\"\n\t\tclass=\"img js-lazyload\"\n\t\/>\n<\/picture><\/figure>\n\t\t<\/div>\n\t<\/div>\n\n<div class=\"content full\">\n\t<div class=\"wrapper xlarge has-text\">\n\t\t<aside class=\"sidebar\">\n\t\t\t\t\t\t\t\t\t\t<div class=\"author\">\n\t\t\t\t\t\t\t\t\t\t\t<div class=\"head \">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<h2 class=\"name\">\n\t\t\t\t\t\t\t\t<span>Written by<\/span>\n\t\t\t\t\t\t\t\t<strong>unybrands<\/strong>\n\t\t\t\t\t\t\t<\/h2>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t<div class=\"description\">\n\t\t\t\t\t\t\t<p>\u6211\u4eec\u7684\u4f7f\u547d\u662f\u5851\u9020\u4e0b\u4e00\u4ee3\u7535\u5b50\u5546\u52a1\u3002 \u4e3a\u5b9e\u73b0\u8fd9\u4e00\u70b9\uff0c\u6211\u4eec\u6b63\u5728\u6536\u8d2d\u3001\u63d0\u5347\u3001\u52a0\u901f\u53d1\u5c55\u4e9a\u9a6c\u900a\u7ad9\u5185\u5916\u7535\u5546\u54c1\u724c\u3002 \u4e0e\u6211\u4eec\u4e00\u8d77\uff0c\u54c1\u724c\u53ef\u4ee5\u8fbe\u5230\u65b0\u7684\u9ad8\u5ea6\uff0c\u5e76\u5728\u7ade\u4e89\u8005\u4e2d\u4fdd\u6301\u9886\u5148\u5730\u4f4d\u3002 \u6211\u4eec\u4fe1\u5fc3\u5341\u8db3\uff0c\u56e0\u4e3a\u6211\u4eec\u5177\u5907\u4e30\u5bcc\u7684\u7ebf\u4e0a\u96f6\u552e\u3001\u6d88\u8d39\u54c1\u548c\u5e76\u8d2d\u65b9\u9762\u7684\u7ecf\u9a8c\u3002<\/p>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\n\t\t\t<div class=\"share\">\n\t\t\t\t<h3 class=\"label\">Share This Article<\/h3>\n\t\t\t\t<div class='core-component core-component-social-media-icons social-media-icons style-primary js-core-component-social-media-icons'><span class=\"title\">Follow +<\/span>\n<ul class=\"list\">\n\t<li class=\"item\">\n\t\t<a\n\t\t\thref=\"https:\/\/www.linkedin.com\/sharing\/share-offsite\/?url=https:\/\/www.unybrands.com\/zh-hans\/resource\/blog\/whats-hurting-your-ability-to-scale-your-amazon-fba-business\/\"\n\t\t\ttitle=\"Share on 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class='core-component core-component-rich-text rich-text js-core-component-rich-text'><p><span style=\"font-weight: 400;\">As we dive into the new year, it\u2019s out with the old and in with the new. As a seller, you can move on from the past and start the year on a fresh foot, and build better strategies, products, and resolutions for yourself and your brand. With that, we\u2019ve put together a useful list of common mistakes and roadblocks that many Amazon sellers faced throughout 2021. In partnership with our friends at <a href=\"https:\/\/www.zentail.com\/\">Zentail<\/a>, one of the leading listing automation platforms for Amazon sellers, we spoke with 3 experts from the unybrands team on these challenges and how to overcome them within supply chain, PPC, and brand strategy departments to help set you up for success.<\/span><\/p>\n<h2><b>7 Issues Holding Back Growth on Amazon<\/b><\/h2>\n<h3><b>1. Lack of Supplier Diversity<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">It\u2019s not uncommon for brands to become dependent on one supplier that they trust, whether for manufacturing or handling logistics. After all, expanding your supplier base can be an arduous and costly process.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">At the same time, failure to diversify has left many brands defenseless against natural disasters, trade tensions, labor shortages, rising material costs\u2014and, more recently, global pandemics.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Under a single-source or single-geography model, your business is at risk of losing the lifeline of its sales at any moment. You remain at the mercy of your one supplier with no immediate leverage to negotiate prices or tweak your engagements as needed.\u00a0<\/span><\/p>\n<p><b>A Quick Word:<\/b><\/p>\n<p><span style=\"font-weight: 400;\">An overwhelming majority of U.S. Amazon sellers (<\/span><a href=\"https:\/\/www.statista.com\/statistics\/1020046\/global-fba-usage-top-amazon-sellers\/\"><span style=\"font-weight: 400;\">73%<\/span><\/a><span style=\"font-weight: 400;\">) use FBA for fulfillment. While FBA is a strategic move for competing on Amazon, many brands are overly dependent on it and have fallen victim to sudden toss-ups within the program. During the COVID-19 crises, for instance, <\/span><a href=\"https:\/\/www.zentail.com\/blog\/are-amazon-prime-orders-down-because-of-shipping-delays\"><span style=\"font-weight: 400;\">Amazon temporarily banned non-essential products<\/span><\/a><span style=\"font-weight: 400;\"> from FBA, throwing thousands of sellers into a frenzy overnight.\u00a0\u00a0<\/span><\/p>\n<h3><b>2. Expensive Operations<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Between shipping costs, fulfillment costs, product costs and inventory costs, seller fees can quickly stack up. Needless to say that these costs eat directly into your margin and if not managed effectively, you can find yourself with little-to-no margin.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">However, finding the right solution isn\u2019t always straightforward. For example, to reduce fulfillment costs, you may ask yourself, \u201cShould I outsource fulfillment to a 3PL?\u201d\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">On one hand, managing fulfillment in-house tends to sink costs (and time) as your brand grows, but offers the most control over your operations. On the other hand, a 3PL can free up your time and expand your reach immediately, but comes at a higher per-unit cost.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Finding the right solution requires a mix of number-crunching, good supplier relations and the willingness to spend money to make money\u2014a step that some sellers skip over.\u00a0<\/span><\/p>\n<h3><b>3. Mirroring the Competitors Game<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Amazon is flooded with players that take a pure \u201ccopy\u201d strategy. They mimic everything ranging from their competitors\u2019 product assortment to their prices and brand messaging, hoping to mimic their success as well.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This may work to an extent, but it doesn\u2019t allow you to build a long-term brand that stands on its own. Founders who take this strategy tend to hide in the shadows of their competition rather than building up their brands and continuously improving their products to become <\/span><i><span style=\"font-weight: 400;\">the<\/span><\/i><span style=\"font-weight: 400;\"> competitor to beat.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/unybrands.com\/wp-content\/uploads\/2022\/10\/Vera-1.png\" \/><\/p>\n<h3><b>4. Cash Flow Issues<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Many times during your brand\u2019s growth, you\u2019ll have to invest in production, freight forwarding and other business expenses. When a new product is involved, you\u2019ll also have to factor in extra advertising and marketing costs to build up momentum (on marketplaces, this will help you to generate enough sales that will, in turn, help you to collect reviews and raise your organic rankings).\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But with all the planning in the world, things can still go wrong. If ill-prepared, you could be pinching for capital and money injections to keep your business growing.<\/span><\/p>\n<h3><b>5. Too Many Tools, Too Little Capacity<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Running an ecommerce business is anything but simple. As a business owner, you need to develop a project management mindset for handling various sprints and tasks at once. This alone frustrates some sellers. Instead of executing on clear, well-organized project plans, they stretch themselves too thin and spend a majority of their time putting out fires.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In the same vein, you may be bombarded with various courses, tech recommendations and growth hacks that threaten to take time and money away from your core business.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">When this happens, it\u2019s important to recognize that some tools and changes require a certain level of business maturity. You should do everything in your power to police yourself and stay hyper-focused, asking yourself questions like \u201cIs this tool or process really necessary? Is it going to help me grow the business as per my strategy?\u201d<\/span><\/p>\n<h3><b>6. Poor Inventory Management<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Having adequate inventory is critical to sustaining (and scaling) sales. But <\/span><a href=\"https:\/\/www.zentail.com\/blog\/ecommerce-inventory-management\"><span style=\"font-weight: 400;\">inventory issues are one of the most common and pervasive issues<\/span><\/a><span style=\"font-weight: 400;\"> among businesses. Some brands lack the tools to align inventory costs with business plans and, as a result, wind up with excess inventory or tied-up capital.\u00a0<\/span><\/p>\n<p><img decoding=\"async\" src=\"https:\/\/unybrands.com\/wp-content\/uploads\/2022\/10\/Joe.png\" \/><\/p>\n<h3><b>7. Lacking a Brand Voice<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">When you&#8217;re first starting out on Amazon, creating a compelling and consistent brand experience for your customers across various touch points may not be high-priority.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But brand-building is a necessity when you begin expanding to new channels and cross-selling. For folks who take too long to make this mental switch will likely face quality control issues and struggle to establish their brand voice later on.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><b>7 Tips for Growing Your Amazon Business<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Don\u2019t worry, we have tons of solutions to avoid and combat common mistakes. Here are some methods from outsourcing your PPC management to improving your supply chain management.<\/span><\/p>\n<h3><b>1. Improve Supply Chain Visibility<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">A resilient supply chain begins with having total visibility into your operations. Knowing where an item is in your supply chain at any point in time is paramount\u2014as is knowing the status of all purchase orders (POs) and shipments.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This allows you to adjust for low inventories or overstocks when planning out your marketing, re-ordering and restocking strategies.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To achieve this, establish one source of truth for tracking inventory movement and\/or managing your suppliers. A <\/span><a href=\"https:\/\/www.zentail.com\/blog\/multichannel-listing-software-comparison\"><span style=\"font-weight: 400;\">multichannel platform<\/span><\/a><span style=\"font-weight: 400;\"> can ensure that all of your sales channels and tools constantly communicate with one another, plus can save you the headache of tracking down data from multiple sources.\u00a0<\/span><\/p>\n<h4><b>A Quick Word:<\/b><\/h4>\n<p><span style=\"font-weight: 400;\">One of unybrands\u2019 companies faced product and invoicing delays, due to having data in many disparate information sources (some of which conflicted with each other). In response, the team conducted a root-cause analysis.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cThrough this process, we were able to identify a disconnect between our instructions to suppliers and how our internal systems read invoices for certain payment scenarios,\u201d says McIntyre. \u201cBy focusing on the problem the second it was identified, we were able to mitigate future risk for [our newly acquired] brand and enhance internal processes to be more robust and scalable.\u201d\u00a0<\/span><\/p>\n<h3><b>2. Pretend that You\u2019re Driving a Cruise Ship, Not a Speed Boat<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">When it comes to your supply chain, you\u2019ll want to build towards your future needs, not just for your immediate needs. In this sense, it\u2019s wise to pretend that you\u2019re driving a cruise ship, not a speed boat.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Focus on your 12- to 24-month growth plans when optimizing your infrastructure and making partnership decisions. Don\u2019t cut corners or make emotional decisions, and instead, move carefully and methodically.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This will entail having clear operating plans, supply chain visibility and strong demand\/production forecasting abilities. With the right data, you can drive meaningful conversations with your partners and check that they can realistically meet your future needs as your brand grows.\u00a0<\/span><\/p>\n<h3><b>3. Optimize for Retail Readiness<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Invest in peak retail readiness, even if it requires upfront time and costs. When a product has legitimate demand and traction among your audience, you\u2019ll want to capitalize on this momentum by providing the best customer experience.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This all starts with your product listings. You need to have ultra high-quality product imagery, product video, A+ content and well-optimized content (title, bullets, backend search terms) at a minimum.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You may need to invest in potentially loss-making advertising as well to generate your first orders and reviews. This investment, however, will not be in vain. On marketplaces, reviews and sales velocity are vehicles for organic ranking.<\/span><\/p>\n<h3><b>4. Outsource Amazon PPC Management<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">In the early days of your business, it\u2019s typical to operate as a \u2018solopreneur\u2019 who wears many hats. But as your business scales, you\u2019ll want to outsource things like advertising to an experienced partner.<\/span><\/p>\n<p><i><span style=\"font-weight: 400;\">Your <\/span><\/i><span style=\"font-weight: 400;\">time will be best spent on bigger growth-generating tasks. Meanwhile, an Amazon PPC specialist can keep close watch over your PPC campaigns at all time and expertly shave costs, while taking your strategies to the next level.\u00a0<\/span><\/p>\n<div id=\"_rich_text-96-850\" class=\"oxy-rich-text\">\n<h3><b>5. Invest in Multichannel Marketing\u00a0<\/b><\/h3>\n<p>With the rapid growth of white-label sellers and corporate players on Amazon, the fight for attention will only become more vicious. Not to mention, Amazon PPC costs are steadily on the rise\u2014so you\u2019ll want to diversify your traffic sources to your Amazon listings.<\/p>\n<\/div>\n<p>&nbsp;<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-medium wp-image-1359\" src=\"https:\/\/unybrands.com\/wp-content\/uploads\/2022\/10\/Ben-1280x320.png\" alt=\"\" width=\"1280\" height=\"320\" srcset=\"https:\/\/www.unybrands.com\/wp-content\/uploads\/2022\/10\/Ben-1280x320.png 1280w, https:\/\/www.unybrands.com\/wp-content\/uploads\/2022\/10\/Ben-600x150.png 600w, https:\/\/www.unybrands.com\/wp-content\/uploads\/2022\/10\/Ben-768x192.png 768w, https:\/\/www.unybrands.com\/wp-content\/uploads\/2022\/10\/Ben-1536x384.png 1536w, https:\/\/www.unybrands.com\/wp-content\/uploads\/2022\/10\/Ben.png 1600w\" sizes=\"(max-width: 1280px) 100vw, 1280px\" \/><\/p>\n<p>&nbsp;<\/p>\n<div id=\"_rich_text-98-850\" class=\"oxy-rich-text\">\n<h3><b>6. Know Your Consumer, Know Your Competitor\u00a0<\/b><\/h3>\n<p>Gather qualitative and quantitative data on your end-consumer and competitors to make better business decisions oriented around growth. This may mean A\/B testing your content, scouring reviews, surveying customers and\/or running focus groups. If you\u2019re limited in time and budget, you can alternatively invest in a virtual assistant to analyze reviews around your products.<\/p>\n<p>The goal is to build a process for regularly collecting insights on your pricing, listings, products and customer service so that you can find gaps (and opportunities) that impact growth.<\/p>\n<h3><b>7. Manage the Now, and Invest in the Future<\/b><\/h3>\n<p>It\u2019s never too early to develop a growth mindset. While you might be busy trying to handle day-to-day operations, set aside time and resources for performing market research, generating opportunities and placing bets on long-term growth.<\/p>\n<p>Avoid waiting until sales are stagnant to think of ways to pivot your brand. Keep a portfolio of ideas to act on\u2014including, but not limited to, strategies for developing new products, engaging new categories, enhancing packaging or improving your brand position.<\/p>\n<p>&nbsp;<\/p>\n<h2><b>In Summary<\/b><\/h2>\n<p>Tackling the ins and outs of Amazon as a seller is a huge feat, we know and we empathize with you. Luckily, there are tons of ways that you can continue to grow your business with the right mindset, resources, and help from the experts. Find the type of business management that works for you to utilize these tips, and do your best to avoid the mistakes all now-expert-sellers have made in the past.<\/p>\n<\/div><\/div>\n\t\t\t<\/div>\n\t\t\t\t\n\t<\/div>\n<\/div>\n\n<svg viewBox=\"0 0 775 925\" class=\"hero-single\" fill=\"none\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\">\n<g filter=\"url(#filter0_f_3556_10299)\">\n<ellipse rx=\"193.956\" ry=\"98.5992\" transform=\"matrix(-0.281512 -0.959558 0.965649 -0.259849 510.697 336.187)\" fill=\"#1F7CF8\"\/>\n<\/g>\n<defs>\n<filter id=\"filter0_f_3556_10299\" x=\"0.921875\" y=\"-251.703\" width=\"1019.55\" height=\"1175.78\" filterUnits=\"userSpaceOnUse\" color-interpolation-filters=\"sRGB\">\n<feFlood flood-opacity=\"0\" result=\"BackgroundImageFix\"\/>\n<feBlend mode=\"normal\" in=\"SourceGraphic\" in2=\"BackgroundImageFix\" result=\"shape\"\/>\n<feGaussianBlur stdDeviation=\"200\" result=\"effect1_foregroundBlur_3556_10299\"\/>\n<\/filter>\n<\/defs>\n<\/svg><\/section>","protected":false},"template":"","resource":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v19.6.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What&#039;s Hurting Your Ability To Scale Your Amazon FBA Business? 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