Successfully navigating Amazon as a new seller can seem impossible, but today’s guest has the strategy for new product launches that can help! Ashley Kinkead is the Founder and CEO of Private Label Mastery, the host of the Private Label Mastery Podcast, and the author of Million Dollar e-Com Secrets. Ashley outlines the Three by Two Method of testing products, what a great opportunity looks like for Amazon Sellers new and old, and the nuances of expanding your product based on one initial SKU.
- The Three By Two Method is a proven strategy for launching new private label products on Amazon. To implement it, launch 3 standalone SKUs at once, move forward with the 2 winners, and then scale the winning two.
- The core idea behind the Three By Two Method is using a strategic approach to test multiple SKUs in small quantities that can provide you with valuable and actionable data on the opportunities available on Amazon.
- For your initial testing, consider ordering a limited quantity of 100-500 units and move forward with the product with the most consistency in sales velocity over a 30-day period.
- When launching a product on Amazon, you don’t need an outrageous budget of $15,000 or $25,000 per product. You can have great success and be able to test different SKUs affordably by aiming for a budget in the range of $3,000-$5,000 per product.
- You need to prioritize collecting and analyzing data on your products from Amazon. This is vital for sellers to keep track of as it informs them on how products are selling, and whether or not to scale or restock that product.
- To generate effective exposure for your product, focus on finding markets without exorbitant PPC prices and over a thousand BSRs. Also, look for opportunities where you can rank on the first page of Amazon search results without tons of reviews or ad spend.
- Once you have done your testing and found a product that is selling well, start to experiment with creating variations of that SKU, adding accessories, and offering complementary products.
Quote of the Show:
- “Data is really the most important asset you can have as an Amazon seller” - Ashley Kinkead
Ways to Tune In: