This episode reveals a unique pre-launch strategy for Amazon sellers: leveraging Etsy to validate product-market fit and gather critical data before investing heavily in Amazon PPC. Shan Shan Fu, an Amazon seller in women's clothing, shares her guerrilla tactics for identifying winning products, crucial for low-margin categories.
Key takeaways
Utilize Etsy for product validation before launching on Amazon, as it offers a low-cost, low-risk environment to gather data and test product viability without requiring barcodes or significant ad spend.
Establish category-specific benchmarks for key metrics on Etsy, such as click-through rate (e.g., 0.8% for clothing), add-to-cart rate (e.g., 4%+), and conversion rate (e.g., 2%+) to quickly identify winning products (the '20% winners').
Prioritize strong direct factory relationships for sourcing, especially in competitive and low-margin categories like clothing, to secure favorable pricing and avoid inflated costs often found on platforms like Alibaba.
Mitigate high return rates in clothing by designing or selecting products with features like stretchiness or 'one size fits all' to reduce sizing issues, which are a primary cause of returns.
When analyzing product viability, focus on the absolute conversion rate (visitors to sales) rather than the conversion rate from add-to-cart, as the former provides a clearer picture of overall product appeal and listing effectiveness.
The guest on today's episode is Shan Shan Fu. She is the founder of Millennials In Motion. It is a Miami-based e-commerce brand that specializes in high-quality, fashionable, clothing & accessories and more to support charity. Also, the Head of Business Development for Trivium Group which helps in managing Amazon ads for brands. Profitably scaling ads and creating winning strategies on Amazon through strong systems, a sharp team, and no AI. In today’s episode, she discusses leveraging ets...
What does this episode say about amazon & marketplaces?
Utilize Etsy for product validation before launching on Amazon, as it offers a low-cost, low-risk environment to gather data and test product viability without requiring barcodes or significant ad spend.
What does this episode say about paid acquisition?
Establish category-specific benchmarks for key metrics on Etsy, such as click-through rate (e.g., 0.8% for clothing), add-to-cart rate (e.g., 4%+), and conversion rate (e.g., 2%+) to quickly identify winning products (the '20% winners').
What does this episode say about supply chain & operations?
Prioritize strong direct factory relationships for sourcing, especially in competitive and low-margin categories like clothing, to secure favorable pricing and avoid inflated costs often found on platforms like Alibaba.
What does this episode say about analytics & attribution?
Mitigate high return rates in clothing by designing or selecting products with features like stretchiness or 'one size fits all' to reduce sizing issues, which are a primary cause of returns.
What does this episode say about amazon & marketplaces?
When analyzing product viability, focus on the absolute conversion rate (visitors to sales) rather than the conversion rate from add-to-cart, as the former provides a clearer picture of overall product appeal and listing effectiveness.
