It can be easy to get stuck in a rut when you’re selling on Amazon. Many established sellers develop a ‘leakage’ that slows down sales and damages profitability – but it’s not always easy to see why.
The complexities around selling on Amazon have only increased over the years, and few retail businesses are also Amazon experts. So if your Amazon account seems to have become stagnant, or is underperforming, the contributing factors may not be clear to see.
An audit carried out by a specialist agency is often the simplest way to find out why your Amazon account isn’t performing as well as you’d like.
It’s also an ideal first step if you want to scale your business, whether that’s through developing new products or expanding into new markets.
Here’s what an Amazon audit entails, and what results you can expect if you get one.
What is an Amazon audit?
Generally, an Amazon audit is a detailed analysis of all your business’s sales accounts and functions involving Amazon, undertaken by specialists – such as e-Comas Group, an eCommerce agency.
The specialists will usually access all your Amazon accounts to examine your:
- Account structure
- Sales figures
- Pricing
- Current and past ad campaigns
- Listings content
- Keywords used
- Inventory planning.
From this, the specialists will provide a detailed report to inform your strategy going forwards. This report will include your profitability, margins, market share, what’s going well, and what improvements are needed. It should also inform new opportunities, possible quick wins, and your long-term growth strategy.
What are the signs that an Amazon audit is needed?
You’ll probably recognise when an Amazon audit might be a good idea.
Usually sellers notice that their conversion rate is low, that sales have hit a ceiling and are no longer growing, or that they’ve lost the buy box. Profitability generally is a huge driver, as sellers strive to understand why they’re not making enough margin.
There are some more pressing problems that can push sellers to get an Amazon audit: if the Account Health Rating (AHR) falls a long way, for example, or if product listings are changed or ‘hijacked’ by unauthorised third-party sellers.
On the other hand, an Amazon audit can be a fantastic way to start a new period of expansion for your business.
If you’re looking to grow your sales across different Amazon marketplaces, or investigating other new eCommerce opportunities, an Amazon audit can be the ideal foundation for your business plan.
Where is your leakage? Our consultants know how to find out why your profitability isn't as high as it should be, and will design a step-by-step roadmap to help you fill the detected gaps.
What’s involved in an Amazon audit?
The specialist team you choose to audit your Amazon accounts will start by talking to you: there’ll be a meeting or a call where they gain a clear understanding of your current challenges. They’ll take into account your business profitability, your plans for future growth, and the role Amazon plays within your overall set-up.
After this initial call, the team will request access and user permissions so they can see your account information and reporting. They will do a deep-dive into your account structure and performance drivers, identify your pain points and strong suits, and assess market opportunities.
The process can take as little as two weeks.
What’s in the Amazon audit report?
The report you get from your Amazon audit is likely to cover:
- Your current Amazon operations structure and strategic set-up
- Profitability and margin analysis
- A review of your account health
- A review of your catalogue, content and conversion rates
- An assessment of your ads performance
- Any areas for improvement – such as pricing, inventory levels, advertising effectiveness
- Recommendations for short-term improvements or ‘quick wins’
- How ready you are for expansion
- The next steps for your expansion strategy.
Your specialist auditing team will book another meeting with you to present the report and talk you through the results.
What to do after an Amazon audit
A good Amazon audit report will give you clear direction on what to do next: it will tell you where your leakage is, and how to fix it, step-by-step.
At e-Comas, we usually follow up the audit with a roadmap, suggesting a structured strategy for growth, with the next steps to take.
This might be in two or more phases. Typically, phase 1 would be about executing the identified quick wins as a priority, and improving profitability drivers such as product pricing and advertising on existing Amazon accounts. Phase 2 is often about any proposed expansion, including opening new accounts and building listings and marketing.
Phase 3 is usually the long-term expansion plan: replicating the success of phase 2 in more marketplaces, and continuing to build on and manage existing accounts.
There is always an option to work with us going forwards as your growth partner, ensuring all our recommendations are carried out by experts, and that you always have a complete 360 overview of the Amazon side of your business.
Our business comprises four entities that can hone in on the gaps detected by the audit: e-Comas Digital Media can fix brand awareness problems, for example, whereas if the leakage is in your current Amazon ads structure, e-Comas Marketplace can help.
If you’d like to talk about getting an Amazon audit, get in touch with our friendly specialist team today!
