I was asked what kind of product launches make the most sense from a return basis. It’s a good question but difficult to answer because every product launch will respond to a promotion differently because there are so many factors at play. So, I can’t say “XYZ” will always provide the best return.
This is what I’d say about some of the different options:
Amazon Ads: I always try Amazon Ads. It’s not always profitable based on the cost, but it’s always worth trying. If it doesn’t work, I scale it back or shut it down completely.
Press Releases: I rarely do them, and never for the sake of “just doing them”. Some people swear by them, but it was one of those things that I personally found difficult to get done on a continuing basis.
Coupon Deals / Facebook Promos / Viral Launch: These all basically serve the same purpose and this approach is one I almost always try to incorporate in some form.
In each case, we want to generate high converting sales and we try to incentivize people to make a purchase by offering free or highly discounted product. Now, most people love to get free stuff, so the key to accomplishing our goal is to really get our offer in front of people in a controlled way. This is important, because you ideally want your launch to be paced out over a few days to show some consistency. I’d much rather launch with 25 sales for four consecutive days versus 100 sales in a few hours.
So, let’s look at the three options that were asked about, plus I’ll throw in a fourth option - building a targeted email list.
- The big benefit here is that if you can get your deal posted to a coupon site it’s basically free (other than the cost of your product and fulfillment fees).
- The drawback is that it can be difficult to do since a lot of the popular coupon sites are suspicious of people posting random Amazon deals now.
- You can try *seasoning* your account, but this can take weeks with no guarantee of success. Plus, even though you can protect your inventory so it’s not oversold, you can’t easily pace sales over the course of a few days.
- It’s also not easy to funnel customers through a landing page to filter out people who are just curious, which will reduce your conversion rates.
- This is basically the approach of placing targeted Facebook ads offering your product at a deep discount.
- The benefit is that you can funnel people through a landing page, so you can capture targeted email addresses (which can be used for future launches in the same niche), while also keeping high conversion rates.
- You also have decent control over your launch since you can pause / restart your ads to try and pace sales over a few days.
- The drawback is that there’s a learning curve associated with Facebook ads and they can be very expensive or provide poor results if you don’t know how to use them properly.
- The benefit here is that it was purpose built to easily accomplish what would be more difficult to do with coupon deals or Facebook ads. Also, the pace of your launch can be controlled fairly well.
- The downside is that even though it’s easy with little variability around what to expect, it can be expensive.
Targeted Email List
- This is the ideal resource, but it can take time, money and experience to build a good list. As your Amazon business grows, you should hopefully start building your own list over time that you can leverage for future launches. It’s a good skill to start learning, but it isn’t practical to build a list for your first product launch.
Of course, there are other ways to accomplish these goals, but you might have to be creative. The key is to understand what you’re trying to accomplish, and think about what opportunities exist in your market to achieve those results.
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