Success on Amazon requires more than a quality product. With over 9 million sellers and 600 million competing products, the way you position your brand is essential to standing out.
In this article, we’ll explore how a strong Amazon brand strategy can help you increase conversions and grow your market share on Amazon. Let’s get started.
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What Is Brand Positioning?
Brand positioning is all about where your brand stands in customers’ minds, compared to your competitors. It’s the process of creating and maintaining a unique image that is attractive to your target audience. By positioning your brand effectively, you can establish its identity, communicate its value, and set it apart from the competition.
For example, if you sell high-quality iPhone cases on Amazon, your brand positioning would focus on design, reliability, and craftsmanship. Conversely, budget-friendly iPhone cases may focus on being an affordable, stylish accessory for the everyday consumer. Although these products provide the same function, they each have different positioning.
How to Write a Brand Positioning Statement
When writing a brand positioning statement, start by clearly identifying your target customer. Next, you’ll define your product, highlight the greatest benefit, and provide proof of impact.
Here are the four questions suggested by Amazon to help craft your brand positioning statement:
- Who is the target market or customer?
- What is your product or service category?
- What is the greatest benefit and impact of your product or service?
- What is the proof of that benefit and impact?
Let’s say you’re an eco-friendly apparel brand. Here’s an example of how you might answer each of these questions:
- Target Market: Fashion-forward consumers seeking sustainable and stylish clothing.
- Product: Eco-friendly apparel and accessories.
- Benefit: Our eco-friendly clothing combines style with sustainability, empowering you to make a positive impact on the planet.
- Proof of Impact: Recycled materials and ethical manufacturing practices for fashion-forward pieces that support environmental sustainability.
Here’s an example of how the final written positioning statement might look:
Our brand offers sustainable and stylish clothing options for fashion-forward consumers. Specializing in eco-friendly apparel and accessories, we merge style with sustainability by using recycled materials and ethical manufacturing practices to reduce our environmental footprint.
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The Benefits of Brand Positioning on Amazon
If you’ve succeeded in carving out a niche on Amazon, you know it wasn’t easy. Only about 1% of Amazon sellers make it to over six figures in annual sales. And even though 64% of brands become profitable within the first 12 months, that profitability is getting a lot harder to sustain.
Brands are up against increased competition and rising marketplace fees, making it hard to get seen without sacrificing margins. That’s where the right positioning can make the difference. Here are some of the benefits of effective brand positioning on Amazon.
Unique Brand Identity
Consistent branding has been shown to increase revenue by up to 20%. When customers experience a consistent brand image across social media, websites, and online marketplaces like Amazon, it reinforces their trust for your brand in a sea of other sellers.
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Customer Loyalty
Loyal customers means repeat purchases and recommendations. With data showing that 70% of customers are more likely to buy from a brand they trust, you can win them over by positioning your brand as one that delivers.
New Product Launchpad
Building a strong brand on Amazon also gives you a valuable platform for testing and launching new products. Since customers already know and trust your brand, they’re more likely to try new offerings, providing a ready market for new products.
Brand Equity
Strong positioning elevates your brand’s perceived value in the eyes of consumers. For certain products, brand equity can also command higher prices, leading to increased sales and profitability.
Strategic Partnerships
Effective brand positioning highlights your brand strengths, opening doors to strategic partnerships. Other established brands are more inclined to collaborate, sponsor, or engage in initiatives with a reputable brand, expanding your market reach and potential.
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6 Strategies for Effective Brand Positioning on Amazon
Taking the time to establish your positioning can boost brand awareness and sales. Here are six strategies to elevate your Amazon Brand Positioning.
1. Tell a Story
People don’t like ads, but they love stories. According to data, 92% of customers say they want ads to feel more like a story. When it comes to your brand positioning on Amazon, storytelling is a powerful tool for connecting with your audience on an emotional level, while highlighting the things that make you unique.
For example, the team at footwear retailer HOKA shares the inspiring story of how the idea for the brand was born at an aid station in the middle of one of the world’s most grueling ultramarathons, the Ultra Trail du Mont Blanc.
“We could not understand why, when we got to the top of the mountain, the fun would stop. All of the toys we were using [in other sports] would provide an amazing thrill and adrenaline through the downhill. But not running,” says runner and HOKA co-founder Nicolas Mermoud. This mission-focused story of how HOKA “accidentally reinvented the running shoe,” reinforces its position as a high-performance shoe for dreamers and doers.
2. Know Your Unique Selling Points
Getting clear on your brand’s unique selling points (USPs) can help you stand out, even in the noisiest of marketplaces. Start by studying your competitors to identify where you differ.
Here are some questions to think about when running your competitor analysis:
- What customer needs do you solve?
- What unique value do you offer?
- What’s your “only we do this” advantage?
Is it superior quality, innovative features, or exceptional customer service? Identify the strengths that make your brand unique and emphasize them in your product listings and marketing materials. Use persuasive language, compelling visuals, and customer reviews and testimonials to communicate your value. Optimize your product descriptions, including bullet points and product attributes, to highlight your unique selling points.
For example, the phone case brand OtterBox is positioned on extreme durability, with a stylish spin. With the tagline, “Not your dad’s OtterBox. (And still your dad’s OtterBox.)”, the brand’s personality shines through, even in a crowded category.
3. Build Community
Humans are social creatures. By creating a brand community, you can build a loyal following that identifies with your brand’s interests, values, and mission.
Start by engaging customers on social media and through personalized outreach. Take time to:
- Answer common questions
- Actively listen to feedback
- Acknowledge community contributions
- Share stories from customers
Reward engagement with exclusive perks like early access and discounts to make your community feel like they’re part of something special.
4. Use Relevant Keywords and Phrases
Trying to market to everyone is like wearing shoes that fit every foot. Instead, identify your target audience on Amazon and segment them into groups based on demographics, interests, and buying behaviors.
Once you’ve created customer profiles for each segment of your target audience, use Amazon’s advertising tools to reach them more cost-efficiently.
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To reinforce your positioning in your ad messaging, use keywords and phrases that speak directly to each group’s needs and desires. Include descriptors highlighting your differentiators, such as “small-batch,” “ethically made,” or “gym owner approved.”
For example, Bittermilk uses terms like “cocktail mixers” and “cocktail enthusiasts” to target customers who share its brand values.
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5. Be Consistent
To amplify your brand positioning, you need consistency across all channels and customer experience touchpoints. Use the same logos, color schemes, fonts, and messaging in your packaging and product descriptions.
Premium wallet brand Bellroy stands out for its dedication to environmentally responsible manufacturing. Despite its higher price point, Bellroy adds value by reducing its environmental footprint. Its product listings showcase the exact steps taken to minimize waste on the backend of the business and reinforce its eco-conscious image on the frontend with a minimalist aesthetic.
6. Use Visual Ad Types
With the right product images and video ads, you can show off your products in style. Here are some of the top ad formats you can leverage:
Amazon Demand-Side Platform (DSP)
Amazon DSP is a programmatic advertising service that allows you to reach your target audience. It uses real-time data and machine learning algorithms to deliver targeted personalized display and video ads on and off Amazon.
Sponsored Brand Ads
These ads appear at the top of Amazon’s search results and drive traffic directly to your Amazon Store or custom landing page. Sponsored Brand Ads feature your logo, a custom headline, and multiple product listings or videos.
Sponsored Display Ads
These ads allow you to showcase your products on relevant product detail pages and connect with potential customers when they’re actively considering a purchase. They’re designed to provide all the info customers seek when making purchasing decisions, such as product images, descriptions, star ratings, prices, Amazon Prime badging, and more.
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Elevate Your Amazon Marketing Strategies
Crafting a unique brand identity helps pave the way for growth and profitability at a moment when ad costs and bottom line pressure are rising. Trellis can help you protect your margins on Amazon.
No matter how many ads you have running or where they’re placed, Trellis’ powerful advertising platform can help you secure the best bidding rates, drive down ACoS, and boost your profitability.
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