SalesTech Star

SellerApp Predicts New Trends in Amazon FBA for 2022

SellerApp predicts new Amazon seller trends, releases the Custom rules, and improvises its existing solution suite, as it prepares for the New Year of 2022.

2021 was a year of progress for Amazon sellers as More and more shoppers took their shopping online, encouraging more sellers to leverage this modern-day gold rush. Nearly 571,000 new sellers created a new Amazon seller account by the end of the year 2021! Despite a significant economic slowdown in 2020, Amazon revenue increased from $280 billion in 2019 to $386 billion in 2020 and is already seeing a 28% revenue growth in Q4 2021.

According to SellerApp forecasts, 2022 will be even better. We see a new trend in 2022 where sellers begin to source more from domestic manufacturers and invest in Sponsored ads more than ever. As new sellers start to explore the Amazon marketplace, it’s predicted that the cost to promote their products via Amazon Advertising will be increased throughout 2022. Just like the average cost per click on Amazon increased nearly 52% from 2020 to 2021, one can witness a similar range of increment in CPC even in 2022, as compared to 2021.

It is also predicted that in 2022, consumers will resort to uplifting and pleasing item purchases and experiences that offer a reprieve from the fatigue of current health and economic uncertainties. This means products of the genres like home decor, health drinks, skincare, innovative gadgets, will likely have more sales, as compared to other goods.

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It is not unknown to Amazon FBA sellers that Sponsored ads have time and again proved to be a game-changer in their businesses and this season will not be any different. Amazon has recently introduced a new feature – Rule-based bidding, in beta, where advertisers can optimize their Sponsored Products campaigns by leveraging the new bidding control system, under Manual Campaigns. According to Amazon, this new control has the power to drive more sales while ensuring a ROAS greater than the ROAS guardrail for the ad campaigns.

As SellerApp prepares for the New Year of 2022, it also launches the most intuitive features in its automation advertising suite – Custom Rule. Under Custom Rules, users can manually add their bids, modify their ad budget, and optimize their rules even while the campaign is running. This tool will automatically identify high-converting customer search intent from automatic campaigns and include them in phrase matches. This powerful feature has already helped hundreds of sellers in preventing wasted ad spend and increasing overall ROI during the 2021 holiday season.

Co-Founder, Dilip Vamanan points out, “Amazon has witnessed huge growth in 2021. 55% of U.S. consumers prefer to shop from Amazon than any other brick and mortar or online retail stores. Though Amazon’s revenue numbers are impressive, they wouldn’t have been able to get there without the immense contribution of third-party sellers. More than half of Amazon’s $386 billion revenue in 2021 was driven by third-party sellers.

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This growth will continue even more in 2022 and we are currently in a position to bring about even newer features and innovation in the market to help third-party Amazon sellers take their growth trajectory to a new level.”

SellerApp’s most notable achievements in 2021 were the Freemium model launch, custom rule, and bulk actions. Since then, the company witnessed more than 100+ registrations. They also built multi-geo advertising and sales solutions for personalized experiences across geographies.

SellerApp introduced an add-on feature within their Advertising suite – Product Analysis, that displayed product-wise metrics like orders, ACoS, RoAS, sales, and many more. They also optimized existing features like Opportunity Score and B2B Product Opportunity Reports, squashed their bugs, and updated them to cater to client taxonomy.

What does the future look like?

E-Commerce is transforming every day. In the United States, Amazon has taken the primary position and is leading the digital shopping revolution. We expect at least 100 marketplaces like Amazon across the world to witness billions of online sales every day. The competition intensity has grown in most of the categories and third-party sellers need to be really innovative to make their brand out and win the game. By utilizing data-driven technologies, deeply analyzing customer behaviors, they can sell well on Amazon and gain a competitive edge in the industry.

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