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Temu’s winning the hearts of American shoppers but not their trust

Days after the class action from UK retailers, Amazon is facing yet another legal battle. This time, it’s from drivers who demand more benefits and overtime pay. These drivers play a huge role in Amazon’s fulfillment process. If this issue escalates, Prime Day deliveries might be affected (and not in a good way).

Anyway, here are some week-enders that might also affect how you’ll do in the upcoming July sales frenzy (in a good way).

HOT TOPIC

Temu rose to fame with its ultra-low prices. And now, it seems like it’s winning the hearts of U.S. consumers, as Yahoo! Finance reported that 6 out of 10 Americans purchase from the app. 

But despite its gaining popularity, only 6% of respondents trusted Temu more than Amazon.

💔 Why the trust issues?

Omnisend conducted a survey across the US, UK, Australia, and Canada to determine buyers’ thoughts on global and Chinese marketplaces. Surprise, surprise: results show that Americans trust Amazon MORE. 

  • Non-American roots. Temu’s parent company, PDD Holdings, is a Chinese ecommerce firm. And although Temu is officially based in Boston (under a subsidiary called “WhaleCo”), it mainly operates under non-American teams.
  • Product quality concerns. Despite growth, issues like long delivery times and questionable product quality persist.
  • Legal and ethical Issues: There are concerns about forced labor and reliance on trade rules that eliminate duties on many shipments to the U.S. 👀
  • Government scrutiny: Temu is facing increased attention from U.S. lawmakers and agencies, including the Department of Homeland Security.
  • Amazon's dominance: Amazon holds about 40% of the U.S. online retail market. It’s also been around way longer than Temu, thus explaining why it’s more trusted.

How does this affect sellers?

Since Temu opened its doors to third-party sellers, some may think it would be an easy market. But based on data, Amazon remains the safest choice.

Point to remember: Selling across multiple platforms is great, but you must keep a close eye on each marketplace’s caveats. 🚩

TOGETHER WITH EZ-COMMERCE

A golden secret to boosting your sales and brand awareness

You’ve probably read through dozens of Amazon Pay-Per-Click tips. But trust us when we say that this time, we’re giving you tips you can use to grow your sales. Best thing about it? It’s straightforward and no fuss.

EZ-commerce.net implements these 3 PPC strategies to enhance their client’s sales.

1. Initiate a down-only campaign targeting long-term keywords. 

  • Set a low bid of $0.02, but aim to appear at the top of search results by bidding 200 to 500 percent higher (put 200-500 percent at the top of the place).
  • Monitor performance every 72 hours, and if there are no impressions, increase the bid percentage by at least 50%. 

2. Implement the "Dvir Golden Nugget Trick” (aka an EZ-commerce secret!) 

  • Create an automatic campaign targeting "close match". 
  • Start with a modest bid of $0.02. Incrementally raise the bid by 20% every 96 hours or 4 days.
  • Once the bid cost approaches $1, reset to $0.02 and repeat the process. You’ll see sales with a very low ACOS that will lower your account's total advertising cost of sales or ACOS. 

3. Generate a coupon code offering at least a 20% discount. 

  • The code should be valid from the current date plus 2 days, and run for 30 days. 
  • Run the "abandoned cart" Brand Tailor promotion to re-engage these abandoned customers who will buy your product with the coupon code now. 

Happy with these tips? Reach out to EZ-commerce.Net to get more tips and an account audit!

Give me more PPC tips!

BITES OF THE WEEK

TECH MARKETING

3 ways GenAI revolutionized product description creation

Believe it or not, writing compelling product descriptions has become more challenging. Aside from the close similarity of marketing pitches, eCommerce Fastlane said the shorter attention span of audiences and overwhelming choices are to blame.

⛵ How can product descriptions stand out in a sea of words?

By shifting from generic templates to personalized copy!

And this is where generative AI (GenAI) comes in. This rapidly emerging tech can help with:

  • Optimization and branding: Tools like ChatGPT generate unique, SEO-compliant descriptions. GenAI can create descriptions thatmatch your brand's voice. This way, your brand stays consistent despite catering to different demographics.
  • Data analysis and application: GenAI Uses machine learning to analyze customer data and create tailored descriptions. This makes recommending relevant products to shoppers easier, improving customer experience. 
  • Cost efficiency: Manual copywriting is difficult to scale, especially when you have hundreds of products to write about. Automated description writing saves time and resources. You can generate more quality descriptions in half the time. 

And this is only the beginning. In the future, we may see real-time personalization and deeper integrations. In fact, Amazon already started by allowing you to use your shop’s URL to create product listings

🫰 Don’t forget the human touch

Do note that human moderators are still needed to ensure accuracy. You don’t want your descriptions to sound ‘robotic’ to human buyers.

Are you already using GenAI for your product descriptions? If so, let us know which one works best by replying to this email!

TACTIC TALKS

Amazon promotions you can (and should) use on Prime Day 2024

Prime Day 2024 is just a few weeks away. That means you only have a few weeks to ready eye-catching, wallet-winning promotions.

🏷️ If you need a refresher on how to do that, Eclete posted a guide on which promotions can maximize your sales—not just on Prime Day but throughout the year!

Different types of promotions you can offer

  • Lightning deals - Exclusive, time-limited offers with significant discounts
  • Coupons - Discounts offered as a percentage or fixed amount
  • Promotions - Includes various discounts, like percentage-off, buy 1 get 1 50% off, and buy one get one free
  • Prime exclusive discounts - Special deals for Amazon Prime members
  • Deal of the Day - 24-hour long discounts on selected products
  • Best Deals - Long-term promotions running from several days to weeks.
  • 7-Day Deals - Week-long product discounts
  • Digital Coupons - Similar to traditional coupons but are exclusive for digital use
  • Holiday deals - Special discounts during major shopping seasons

🫵 Which promotion should you use?

When leveraging these deals and promotions, always keep the customers in mind if you don’t want to fail. Also, make sure you have sufficient inventory for the duration of your promos.

Most importantly, don’t forget to spread the word about your promos.

Author : SellerBites
Faith began working on SellerBites in 2021, a weekly newsletter that provides sellers with the latest news and updates in FBA. With first-hand experience in managing various seller and vendor accounts, she understands what sellers face on this platform. Her background led to the conception of SellerBites, which main goal is to help people become better, more informed entrepreneurs in the Amazon marketplace.
Email: [email protected] | Post Categories and Tags :

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