Common Mistakes New Amazon Sellers Make and How to Avoid Them

Selling on Amazon offers plenty of opportunities, but it’s easy for new sellers to make mistakes that can hold them back. Many of these mistakes can be avoided or fixed with the right approach. This post will cover some of the most common mistakes and offer tips on how to succeed on Amazon.

Poor Listing Quality

Your product listing is the first impression customers get, and if it’s poorly done, you’re setting yourself up for failure. Common mistakes include using low-quality images, having unclear titles, or incomplete descriptions. Avoid this by investing time in good photos (clean, high-resolution), clear titles with important details, related keywords, and descriptions that answer the questions your customers might have.

Not Having an Advertising Plan

Amazon PPC (pay-per-click) is a key to boost visibility, but many new sellers jump in without a proper plan and without understanding the costs. Sellers need to monitor their ads closely and tweak them based on performance. Starting with a small budget, test different keyword strategies and increase spending after understanding what’s working and what’s not. Don’t forget to keep a close eye on your campaigns’ performance to avoid overspending.

Not Calculating Profit Margins Accurately

New sellers often get caught up in sales volume without understanding their true profit margins. With Amazon fees, shipping costs, and ad spend; profits can quickly get lower than expected. To avoid negative margins; break down all your costs before listing your product and create your pricing accordingly to make sure your product is profitable.

Not Conducting a Competitor Research

Not researching your competitors in the market is a common mistake. It may be easy to focus on your own products and forget to keep an eye on your competitors but this can leave you in the dark about pricing trends, feature gaps, or customer preferences. Regularly checking what your competitors are doing—like their pricing, how they structure their listings, or even their reviews—can help you stay competitive and improve your own listings.

Ignoring Inventory Management

Running out of stock can damage your sales performance and rankings. Many sellers underestimate the importance of inventory management. Tracking sales and inventory levels closely is really important. Tracking sales patterns and planning ahead, especially during peak seasons like Q4 helps a lot to stay in stock.

Not Optimizing SEO

Besides  advertising sales, organic sales are also really important for your brand presence. Amazon works like a search engine, and if listings aren’t optimized with the right keywords, they’ll be hard to find. Many sellers don’t pay attention to backend keywords or only focus on a handful of high-volume search terms. Conducting detailed keyword research and using a mix of  both high-traffic and niche keywords in titles, bullet points and descriptions are key for visibility.

Not Asking for Reviews

Customer reviews are important  for building trust and boosting sales, but new sellers often skip asking for them or assume they will just come naturally. If you are a new seller or launching a new product, don’t be afraid to use the Vine Program and ask for reviews. Use Amazon’s request-a-review button, utilize reviews request tools to ask buyers about their experience.

Including a simple “Thank You” card in your product packaging is another effective way to connect with customers. It shows that you appreciate their purchase and value their experience.

Not Running Promotions or Offering Discounts

Some sellers are hesitant to run promotions or offer discounts, thinking that they will decrease their profits too much. However, skipping promotions can lead to missed opportunities for growth, especially in competitive categories where buyers are looking for deals. Offering a discount or running a limited-time promotion can help boost visibility, increase sales velocity, and improve your ranking. Even small discounts can attract more buyers, especially during high-traffic periods like Prime Day or the holiday season.

Being an Amazon seller can be challenging, especially for new sellers. With a strategic approach and careful management, Amazon sellers can significantly improve their chances of success and build a strong presence in the Amazon marketplace. Stay focused, be adaptable, and watch your business grow!

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