Six Reasons to Brand Your Amazon Business

by Carina McLeod

The market is crowded on Amazon. Sellers are fighting for visibility, the landscape is competitive and businesses are in search of that magic formula for their products to become top sellers on the Amazon marketplace. Those that are tired of the aggressive competition are trying to innovate, source the next best thing or find that niche category.

Building a brand on Amazon is even more important these days in order to compete and stand out from the crowd. Branding should be part of your Amazon strategy if you want to become successful on Amazon and become a strong player in your product industry. Even if you are a small seller and only sell on the Amazon platform, you still need a brand strategy.

When I talk about branding, it is far beyond having an enticing logo, brand name and strapline (slogan). Any business can attach a logo and brand their product. Today, it is about the brand experience that comes with branding. The brand experience is a lot broader, involving a quality product, value for money, excellent customer service, ethical business practices and the sense of belonging to a community that social media has created.

Let's take a look at six key reasons why you should brand your product on Amazon.

Branding Amazon Business

Build Customer Trust

The customer has a choice on the Amazon marketplace. They don’t have to buy your product and can choose from a multitude of products. On Amazon, price is not the only factor that appeals to the customer. It is also convenience and trust. While the Amazon Prime program already has convenience under control, trust is something that only sellers and vendors can create. It’s the positive brand experience a business creates that builds trust.

Customer Loyalty

Trust brings loyalty. If your brand delivers a positive brand experience, chances are the customer will make another purchase from your brand. They may also share their experience with others via word of mouth, by writing a customer review or commenting on social media and other community-based forums.

Charge a Premium

Professionalism gives of a feeling of quality, and quality comes with an acceptable premium. As mentioned earlier, price is not the only driver when shopping on the Amazon marketplace. In fact, convenience and quality are more important these days. Customers would prefer to pay a premium to have the product readily available and are prepared to pay for quality. I have seen almost identical products selling on the Amazon marketplace at different price points, one branded and one non-branded. Often the branded item with a higher retail price sells more than the non-branded item.

Competitive Edge

A business wants to create a product that the customer can differentiate from the competition. When there are multiple products similar in style and functionality, this is not easy, especially not when the delivery message and price are almost the same. By creating a positive brand experience on the Amazon marketplace, you will be able connect more with the customer. Customers will recognize this and support your brand whether by writing a positive review, sharing their experience or becoming a loyal customer. The recognition you receive from customers will help the brand grow and compete with more well-known brands in your product category.

Open Up Opportunity

Once you build a known brand on the Amazon marketplace, it can open up doors externally. I have seen a number of brands start off on the Amazon marketplace and within a few years their products are being sold to Walmart and other large multiple retailers. Amazon gave them the customer base and platform to sell, the seller then executed their brand strategy, delivered a positive brand experience and grew their business above and beyond Amazon.

Unlock Marketing Tools on Seller Central, Inc. ("Amazon") is offering more sellers incentives to offer official branded goods. If a brand has a trademark, it can enroll in the Brand Registry, which unlocks a number of selling features within Seller Central that can help boost conversion and sales. These include Enhanced Brand Content, Sponsored Brands (Headline Search Ads) and a Brand Store. My guess is that Amazon will continue to favor brands, offering them more tools to enhance the customer experience, boost traffic and conversion and ultimately grow sales.

Build a Positive Brand Experience

A brand gives an impression of professionalism and higher quality versus a non-branded item. Non-branded can give the perception that the item is of low value and quality with no after-sales support. This may not be the case for all non-branded products, but unfortunately there is a stigma that comes with these products. For most Amazon customers, a positive brand experience wins over price.

Originally published on October 3, 2018, updated May 30, 2019

This post is accurate as of the date of publication. Some features and information may have changed due to product updates or Amazon policy changes.