After sales, profit margins and the obvious KPIs associated with any eCommerce/product based business, I personally believe organic rankings a re the next most important key performance indicator.
There’s a number of reasons why.
The first and most important is the simple fact that the higher you rank organically inside of Amazon, Google or any sales channel based search engine, the more sales you will make. It really is that simple. So when we are looking to launch a number of new products, after keyword research is complete your #1 goal for a new product should be to rank it inside of Amazon.
How you do this has changed over the years and will continue to change as Amazon gets smarter and smarter. Currently the best way to do this is to generate full priced sales from external mediums. For example advertising on Facebook, Adwords, content marketing, email list blasts, even offline marketing mediums all work really well to spike a products organic rankings for a long enough period of time, until that product begins to make organic sales naturally.
Second, once organic rankings are achieved, assuming your product isn’t overly seasonal, there isn’t much that needs to be done from an external marketing point of view. Assuming 10 new competitors don’t come into the market, you will continue to rank and sell your product through organic search. This is a very reliable and extremely valuable “asset” to have, although many people do not talk about organic rankings as assets, essentially they do act in the same way and should be valued very highly as a result.
This is the core reason why tracking organic rankings is so important. But there are a few more lesser known but still essential elements to why we recommend tracking your organic position with KeyworX, these are below.
The higher you rank, the more you will sell, this seems very obvious but many sellers do not relate inventory management back to organic rankings. Especially if you are a seller of seasonal goods, you should keep a very close eye on your organic rankings in relation to the amount of inventory you have for the upcoming season. If you sold 20 units per day ranking 20th, but you are now in 5th position, in many cases you could be looking at a 3-5X increase in daily sales when the “season” starts again.
This is the most common one we see with sellers, a steady decline over time. For example if you’ve run a marketing campaign, generated sales from external sources and now rank on page 1 for your desired keywords, but over time you find your rankings slowly falling (followed by sales in most cases.) You’ll need to analyse very quickly why this is happening. It’s usually one of the following reasons:
- Price is too high.
- Not enough reviews.
- Poor reviews.
- Low conversion rate on product page itself.
All can be amended relatively easily and quickly, although reviews can be a bit more tricky. But watch out for the slow decline as if you do nothing, your products will simply fall off page one along with your sales. Below is an example of a client reaching 8th position but slowly falling down page 1 within 2 weeks to 25th position.
A very important feature for new sellers to watch. If you go from ranking on page 1/2 to outside the top 320 results (first 10 pages in most cases), then something has gone very wrong. Usually this can be related to one of two things. The first is no inventory, meaning no one can purchase and hence your listing makes zero sales… Amazon’s algorithm is based on sales and hence…. You fall very rapidly in the organic rankings. Second, there’s a core issue with the listing, it is no longer live on Amazon or there’s a technical issue, for example Amazon may think your listing has hazardous materials or you need to become verified etc. This usually looks something like this:
One of the most important metrics to track on a daily basis is organic rankings. The easiest way to do this is with a software such as KeyworX, if you have any questions about how to get started feel free to get in touch.