In May 2019, Adobe announced its integration with Amazon. This news positively influenced the stock of both companies. It’s an integration likely to find its way to other major marketplaces. In this post, we expand on what we know about Adobe’s integration with Amazon and what it means for both brands and third parties.
What We Know About Adobe’s Integration with Amazon
Adobe’s integration with Amazon is in the form of a free downloadable extension called Amazon Sales Channel. It’s available to merchants via the Magento Marketplace. Adobe realizes brands can reach more customers through Amazon than any other online marketplace, but smaller merchants face some challenges. So, with this integration, life will become easier for smaller Amazon sellers.
Those who use the extension can sync their Amazon data and Magento catalogs. This will help brands manage inventory across platforms and potentially manage more than one brand on Amazon. Other benefits of Amazon Sales Channel include access to product data, intelligent pricing, and listing, fulfillment, and order management.
What it Means for Third Party Resellers
Adobe’s integration with Amazon is designed with third party resellers in mind. It will save third parties time and money traditionally invested in development and logistics.
“Small and mid-market businesses are taking direct ownership over how they manage customer experiences to differentiate, grow and build loyalty,” Jason Woosley, vice president of commerce product and platform Adobe, said. “Our work with Amazon empowers this large community of sellers to get closer to their customers while saving them time and money on development.”
Not only will smaller brands have a lower barrier to entry, but they will have more data to work with.
What it Means for Brands
The third party landscape has long been a challenge for brands and vendors on Amazon. Adobe’s integration with Amazon could result in an increase in competition and related hurdles. For this reason, it’s important to make sure your brand is prepared to combat third parties more than ever, including:
1.Merge Duplicate Listings
It’s not uncommon for third party merchants to create new listings for an identical item to avoid competing for the Buy Box. These duplicate listings often charge a much higher price and still get sales due to lack of consumer knowledge. Make sure you’re merging duplicate listings to increase the strength of your official listing.
2. Offer What They’re Offering
Third parties create demand by taking advantage of their greater logistical versatility and offering variety packs to stand out from the official listings. It’s not always an easy task for a brand to create new varieties, but if possible, it can make a huge difference. Creating and offering the pack sizes third parties offer (or a superior product) will minimize their impact.
3. Watch for Term Violations
Amazon is compelled to take action against sellers who violate its terms and conditions, or more importantly, the law. For example, if a third party uses your brand’s name within its own storefront title or sells expired or counterfeit items, reach out to Amazon.
We look forward to learning more about this integration and the impact it will have. However, this serves as a reminder that although technology helps brands become more streamlined and efficient on Amazon, a human element is invaluable.
The clearest path to achieving your brand’s goals include technology with a knowledgable team behind it. If your brand needs a strategic partner, schedule a free consultation. As always, we’re here to answer any questions.
