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How to understand your customers on Amazon (and why you should!)

– Written by Jess Chapman

Shoppers. Image by skyclick on Freepik

Image by skyclick on Freepik

Do you know who your customers are? Do you know why they like you? 

Amazon knows its customers. It has spent decades perfecting its customer experience, using data and machine learning to work out what shoppers want, and delivering it.

It’s this “customer obsession” that has led to Amazon becoming one of the world’s largest and most successful brands.

Take a leaf out of Amazon’s book, and use the data Amazon provides, to find out who your customers are and how you can impress them.

Why get to know your Amazon customers?

The deeper your understanding of who your customers are and what they want, the more likely you’ll get good results targeting them. 

It’s easy to pay for advertising and generate new customers on Amazon. Turning those customers into repeat business, using them to target lookalike customers, and making sure your ad spend stays as low as possible doing it, are more difficult - but they are well worth doing. 

There are a few things you can do with customer data on Amazon. You can build an Ideal Customer Profile (ICP) to improve your marketing and product development, you can streamline your advertising to target lookalike audiences, and you can use re-targeting and cross-selling strategies to turn existing customers into repeat customers. 

Tip 1: Use customer reviews

Amazon is a world leader in soliciting genuine customer feedback. Don’t waste it - use the reams of valuable information to get to know who your customers are and what they’re looking for. 

Make a list of all the things they like about your product as well as the things they don’t like - and look for further clues to who they are. Reviews are often very personal, sometimes even emotive. Lots of shoppers include information about who they bought the product for, what their family members thought of it, and how they’re using it in their everyday life. In a world full of aggregated data and AI-generated text, reviews offer fantastic insight into the real human side of shopping behaviour. 

You don’t have to stick to your own customer reviews, here. Your competitors’ Amazon reviews are all there for the world to see - read them to find out:

Tip 2: Use Brand Analytics

We’ll come to AMC in the next section, but if you’re not yet using AMC, Brand Analytics is your best tool within Amazon for reading customer data.

Brand Analytics gives sellers plenty of data and free reports into how customers perceive their brand on Amazon. The reports include: 

See how this data is useful for getting to know customers? 

You can use the Demographics report to draw up your Ideal Customer Profile (ICP), and use this imaginary customer to target your marketing. 

For example, Amazon now offers an AI tool for creating lifestyle images of your products in context. If you know who your ideal customer is, you can choose appropriate ‘backgrounds’ for lifestyle images. 

Your ICP can even be used for new product development. 

You can also use this data to make better decisions about how you spend your advertising budget. For example, Market Basket Analysis is great for cross-selling and bundling. [expand] Knowing your top searches will help you refine campaigns based on keywords. 

Tip 3: Use AMC 

Amazon data is now both richer and easier to read than it ever was before. You get more detailed information, and better tools for making sense of it. Amazon Marketing Cloud (AMC) gives you many different ways to read your data and cross-reference different data points. 

Here are some of our favourite AMC use cases for finding out more about who your customers are: 

It’s all about the customer journey. 

These use cases on AMC are subtle but very effective ways of understanding how customers find your products on Amazon. They allow you to refine and enhance your ad campaigns, using the keywords your customers are most likely to search for, the different combinations of ads your customers are most likely to respond to, and the audiences you’ll find the most success in targeting. So you save on your ad spend, you optimise the effectiveness of each ad, and you get to know who your customers are.

Want more guidance on how to use your Amazon data to get to know your customers? Contact us today, our expert team can help!