Accelerate marketplace strategy to grow market share for a leading electronics company
Background & context
Our client is a European-leading value-for-money brand in digital lifestyle accessories selling through local sales points by means of retail and online. The current assortment includes gaming, regular PC and mobile accessories and contains over 800 products. Artefact is their marketplace agency since 2018, consulting them on strategy and managing their retail media.
The company has been selling a selected catalogue of products on Amazon since 2013 and has an ambitious 2023 growth target for online and Amazon sales. A challenge is to put the online and Amazon channels as a priority on the agenda of local teams. Besides this, product margins on Amazon are under pressure due to increasing competition from third-party sellers with very close copies of the client’s products. Artefact was asked to support in facing these challenges and to accelerate the marketplace strategy.
- Generate Amazon sales of ~40M euros in 2023
- Accelerate the Amazon strategy
- Become more data-driven
- Extensive analysis of the Amazon strategy: strengths and improvement areas
- 7 project streams contributing to these improvement areas – including project charter and dashboard + data sheet where needed
- An Amazon strategy per category
- Organisational changes to boost the initiatives
- Data-driven process improvements
- Further experiments with media tooling in cooperation with and by client in order to reach the growth target
Amazon product bundling (variations) can seriously harm average ratings of well-performing products and lead to wrong customer expectations.
If Amazon activities are executed from HQ it is vital to also create local ownership through local account management in order to put Amazon on the local agenda.
Amazon should be an integral part of product development, product launch (marketing) and customer service in order to service Amazon customers well.