How to Use Amazon Sales Report to Grow Your Business
The people who have the most success on Amazon are often the ones who use the report features to their advantage. The Amazon Seller Central portal is equipped to help brands of all sizes nurture and scale their Amazon business for growth and eventual sale.
Consistent use of these reports alleviates operational uncertainties and gives you the ability to discover the levers you can pull to exponentially grow your revenue. The portal has an extensive library of reports broken out by category to help you manage and grow your brand. The first of these is the Amazon Sales Report.
There are several sub-reports within this broad category, including:
- Amazon Fulfilled Shipments Report
- All Orders Report
- Customer Shipment Sales Report
- Promotions Report
Amazon Fulfilled Shipments Report
The most useful Amazon sales report to track business growth is the Amazon Fulfilled Shipments report. It shows all FBA product sales for the selected time period of the report. Data is updated within hours after items have shipped, which provides close to real-time information. Reports can be reviewed by date, ASIN, and products viewed vs. products converting.
Review By Date
Reviewing your shipments on a daily, weekly, and/or monthly cadence will help you understand which inventory is selling best and which is not converting well. Practicing regular reviews of your shipments also allows you to generate a more accurate Amazon forecast when comparing similar date ranges.
Use this data to inform changes to your product descriptions and marketing efforts. These data-informed changes can increase sales for items that are underperforming and allow you to further understand the performance drivers of your best sellers.
Season, item popularity, and audience growth are all factors that may affect your fulfilled shipments period-over-period. Identifying patterns of growth (or decline) by reviewing historical data can help you better prepare for sales and shipments in the future.
Review By ASIN
Filtering by ASIN (Amazon Standard Identification Number) narrows the data down to a specific product, its item price, and quantity shipped. Comparing sales month-over-month will illuminate any seasonality associated with a particular product. If no seasonality is identified, you can conclude that this item has consistent demand from your customers.
If certain ASINs are not selling well, they may need a product description refresh. Implementing keyword-rich titles and descriptions will boost visibility and increase the frequency of your products’ return in search queries. Additionally, the layout of your product description should immediately highlight the benefits and include clear, hi-res imagery.
Rather than updating an entire list of products, start by optimizing the underperforming inventory, and review improvements in page views and conversions over the next few months. This will allow you to prioritize your efforts for better efficiency and effectiveness.
Products Viewed vs. Products Converting
Three of the main metrics that guide your Amazon business are Sessions, Unit Session Percentage, and Units Ordered.
- Sessions. Number of customers that visited your product page within the date range selected
- Unit Session Percentage. Number of customers who converted
- Total Order Items. Number of orders that were placed for a single item
This data can be interpreted in a few ways. First, a high number of Sessions with a low Unit Session Percentage indicates that your products show up in search queries or ads driving traffic, but something is prohibiting customers from converting.
If a high number of people visit your product page, but fail to Add to Cart, check these factors to see where improvements can be made:
- Product Description. Provide enough clear information to show the product’s benefits.
- Customer Reviews. Drive positive ratings to bolster confidence in potential customers still considering a purchase.
- Pricing. Note if the pricing, including shipping rates, is comparable to competitors.
If you see low Sessions but high Unit Session Percentage, that means your product is converting, but there may be an issue driving traffic. The goal in this example is to get more eyes on your page. To achieve this, start with the following actions:
- Earn “Buy Box” status through Amazon. High-performing FBA sellers are eligible for this feature, which provides a significant competitive advantage by increasing traffic and driving conversions.
- Use keyword-rich product titles and descriptions. Perform keyword research to ensure your product appears in popular search queries to increase user visibility.
- Create an ad campaign focused on the high-converting product. Consider ad and social media campaigns to increase views and showcase the product to targeted audiences.
All Orders Report
The All Orders Report is also an important Amazon Sales Report. It includes information, such as order status, sales channel information, and product details, from both FBA and self-fulfilled orders. This gives you insight into the primary shopping channels for your audience. The business report can be requested by order date or by the last update, which is applicable for any orders that have been changed.
The All Orders Report is a key business report to review as you grow, particularly if you plan on selling in the future. Most investors have specific criteria that must be met to prequalify for a sale. At Forum, we look for strong brands that generate the majority (70% or more) of sales through Amazon FBA and demonstrate at least $200K in net profit in the last year.
It is important to review the basic criteria of sellers early. If your ultimate goal is to sell your brand, you may want to employ a revenue growth strategy that is targeted at increasing revenue generated from a particular channel.
The All Orders Report can filter sales data by different channels. If Amazon FBA sales are lower than other sales channels, it will prompt you to redirect traffic to your Amazon store to meet the criteria necessary.
Customer Shipment Sales and Promotions
Another Amazon FBA seller report that will help you grow your business is the Customer Shipment Sales Report. This provides all product-level data on shipped FBA customer orders. The report includes price, quantity, and destination of products. It is a more condensed version of the Amazon Fulfilled Shipments Report and focuses mainly on which products are being ordered the most and the region in which they are most popular.
Use this report to concentrate your efforts on a target audience. For example, if a certain product has a steady stream of sales in the Midwest, use your ad spending and promotions strategically to specifically target that area. Capitalize on data insights to allocate your ad spend and promotional efforts by product category and region.
Additionally, the Promotions report works hand-in-hand with the Customer Shipment Sales Report. It identifies which promotions worked best by product and region. This data could be useful in multiple ways, such as gearing up for a seasonal sale or boosting sales of less popular products.
Monitor Customer Reviews to Improve Sales
Paying attention to what your customers are saying is another crucial aspect of a sales strategy. While this is not officially a report, online reviews are equally important to monitor.
Amazon reviews, as well as feedback from other online channels, particularly social media, are important to protect the integrity of your brand. Earning high reviews on Amazon can drive a larger audience to your products and increase conversion rates.
Brands that are not immediately familiar to new customers need credibility, which is bolstered by peer reviews. Encourage reviews from customers, particularly those who have purchased before, address any negative reviews immediately, and adapt operations as necessary. Growing a profitable business is not only about gaining new sales. It also involves keeping current customers happy.
Drive Business Growth with Ongoing Data Review
Data drives all good business decisions. Use what your audience is telling you to optimize areas that need improvement and maximize efforts to achieve the highest revenue possible. Set a regular reporting schedule and dive into the context that may be provoking significant changes in the numbers.
Reviewing your Amazon Sales Report on a regular basis will also minimize the number of missed opportunities as your business continues to expand. Let the data do the talking as you map out future strategies and meet milestones along the way. It will keep you on track toward your revenue goals and ultimately, put you in a position to sell.