Amazon, in just a few short years, has established its position as the leading online marketplace, showing no signs of slowing down.
However, managing an Amazon store often involves repetitive and time-consuming tasks. This is where the concept of Amazon automation comes into play.
As the marketplace becomes more competitive with over 2 million sellers, automation is becoming an essential strategy for businesses of all sizes. For small business owners on Amazon who might not have the luxury of a large team, automation can streamline operations and increase efficiency.
When a business is ready to scale up, finding methods to streamline and simplify processes becomes increasingly important.
According to a survey conducted by McKinsey across a broad range of global industry leaders, nearly two-thirds are currently piloting some form of automation in one or more business units or functions.
The adoption of automation technology has the potential to significantly increase business efficiency, cost-effectiveness, and productivity. The question then remains, should you adopt Amazon automation?
We will help you answer this question in the preceding paragraphs of this article by telling you everything you need to know about Amazon automation as a service.
What is Amazon Automation?
Amazon Automation refers to the process of outsourcing the day-to-day operations of your Amazon store to a third-party service. These operations typically include product sourcing, inventory management, price setting, order fulfillment, customer service, and managing reviews.
It’s an umbrella term that can mean hiring an agency to build and do the Amazon store management for you, or it can also mean automating tasks within your existing Amazon business.
Tasks automation can benefit Amazon sellers in numerous ways including streamlining operations, removing various manual tasks associated with traditional systems, and reducing costs while enhancing performance.
One example is customer support, automating repetitive processes such as responding to client inquiries and providing timely responses can improve customer service and reduce the overhead costs of employing, training, and retaining CSRs.
Another blessing of Amazon automation is supply chain management. Amazon automation services provide timely and accurate data on inventory levels, order processing, shipping, and related processes to ensure you are always in the position to fulfill your orders.
Amazon automation works for both FBA i.e. fulfillment by Amazon, and FBM i.e. fulfillment by merchant.
How Does Amazon Automation Work?
Amazon Automation works by delegating the management and operations of an Amazon store to a third-party service.
There are several operations involved in the running of an Amazon store that Amazon automation can help with, such as:
- Product, niche, and keyword research – Amazon automation can help with keyword search and testing to get your products ranked higher than competitive listings.
- Listing optimization – After doing keyword research, Amazon automation service providers can then use the keywords and other listing optimization techniques to optimize your Amazon product listings.
- Identifying and sourcing suppliers – The service can help identify the best suppliers and sourcing partners that will give you the best deals on the cost of goods (COGS) and will fulfill orders diligently.
- Inventory management – While Amazon FBA does maintain and manage your inventory, you still need to stay on top of when stock levels are low and when you need to reorder. Automation services can use inventory management software to save you the trouble of continually looking at your Amazon reports.
- Advertising – There’s a lot of thought and research that needs to go into creating and managing ad campaigns. Automation services can use Amazon PPC management software tools to manage your PPC campaigns so your ads get the most visibility for the best price.
- Email campaigns – It’s not just creating the emails, it’s making sure the emails go to the target audience and tracking which emails are more effective than others. Amazon automation can help with this.
- Soliciting customer reviews – Another way Amazin automation works for you is by using the right automated review tools to help you quickly manage your review process, and build unique seller feedback campaigns (while remaining within Amazon’s Terms of Service)
- Order processing
- Bookkeeping
- Refund handling tools
- Customer support tools
The above-mentioned operational functions are some of the things Amazon automation can hep you with, thereby lifting the burden from your shoulders.
Benefits of Amazon Automation
Configuring Amazon automation services can be a more hands-on approach but when done right, it will be a massive help.
Time-saving
As an Amazon seller, you know how tasking it is to sell on Amazon, especially when you have a rapidly growing store. It demands you to work serious hours to ensure you are eventually successful in your endeavor.
Fortunately, expert Amazon automation providers and powerful software can automate all the routine tasks involved with Amazon selling i.e., inventory management, order processing, and shipping, and let you focus on what really matters.
Efficient
Automation can help you reduce the need for manual labor, as well as create accurate and timely data that can all contribute to increased productivity and output.
Expert Opinion
By opting for Amazon automation services, you gain access to expert opinions and professional guidance.
These services are often staffed by teams of experts with vast experience in Amazon store operations and eCommerce. They’re familiar with the ins and outs of Amazon’s platform, including its algorithms, best practices, and policies.
Amazon automation experts apply their knowledge and experience to help optimize your store, including product listings, pricing strategies, and customer service.
Furthermore, they keep abreast of changes in Amazon’s policies or market trends, ensuring your store stays compliant and relevant.
More Profitability
Amazon automation provides valuable data and insights, allows one to discover new opportunities and trends, and eventually make educated choices that drive growth and profitability.
All thanks to Amazon automation services, you will be able to save countless hours and spend them somewhere else e.g. handling more orders, broadening your target audience, and optimizing customer interactions that will eventually help you expand your business.
Improved Customer Experience
Automation can reduce wait times, improve order fulfillment accuracy, and optimize delivery logistics, precise inventory levels, real-time discounts, and price matching to keep them coming back.
The use of advanced algorithms ensures accurate product selection, enhancing overall accuracy.
Automation software also lets you promptly attend to your client’s needs, demonstrating your commitment to providing excellent service and valuing their business.
Stay Ahead of the Competition.
Automating tasks and utilizing related services can give you a competitive advantage by attracting more visitors and increasing transactions on the platform.
You can also gain valuable business insights to optimize your operations and strengthen your market position.
Considerations Before Opting for Amazon Automation
Automating your Amazon business is a big decision because you are heavily reliant on the performance of a 3rd party Amazon automation service and trusting them enough to be able to produce a viable profit for you.
Before you opt for this service, you should carefully consider several key factors to ensure you’re making an informed decision that aligns with your business needs and goals.
Here are some considerations:
Cost
Amazon automation services can be expensive. It’s crucial to understand the cost structure of the service and whether it’s worth the investment for your specific situation.
Consider the potential return on investment, including increased sales and reduced overhead costs.
When sellers need to invest a considerable amount for future profit, disproportionate to the final income, you need to ask yourself the question “Am I risk willing to put that much amount in the hands of an agency with no control over what’s going to happen?
Trustworthiness and Reputation
As these services will be managing critical aspects of your business, it’s crucial to choose a service that’s reliable and has a good reputation in the industry.
Check reviews, customer testimonials, and ask for case studies or references if available.
Lack of Control over the Business
A significant factor to consider before diving into Amazon automation is the degree of control you’ll be handing over. When you automate, you entrust a significant part of your operations to a third-party service.
This means you’re not directly handling every aspect of your business, from sourcing products to customer service.
While automation services are often staffed by professionals with deep knowledge of Amazon’s marketplace, there can still be a loss of personal touch and immediate oversight.
It’s vital to understand this trade-off and ensure you’re comfortable with the level of control you’re surrendering before you embark on automation.
How to Choose a Reliable Amazon Automation Service
Choosing an Amazon automation service requires diligent research, especially since some agencies might not deliver on their promises or offer expertise beyond your own capabilities.
It’s crucial to look beyond the reviews provided directly by these services, as they may not highlight any negative experiences.
To get a comprehensive understanding of an automation service’s reliability, leverage social media platforms like Facebook, Reddit, and Twitter for additional reviews and discussions. This can provide valuable insights to help you avoid scams and make an informed decision.
You should also be asking some questions to evaluate the expertise and preparedness of the automation company in taking up the task of handling your Amazon store.
Here are some questions you need to ask the service provider before making your decision:
- How long the company has been operating and its experience?
- What Amazon automation stores have you created last year?
- Can you provide financial statements for the stores you manage? I am interested in the balance sheet, cash flow statement, and profit and loss.
- Until what date do you guarantee the store will open? What happens if you do not comply with the conditions?
- How exactly is the profit distributed? Can you show an example of an existing company? What happens if expenses exceed profits?
- Are there any buyout options if someday I want to manage the company personally and not share the profits?
- What happens if Amazon blocks my store?
- Who has access to my seller account?
- Can you teach me business processes?
- Can we expand to other channels?
Should You Consider Amazon Automation for Your Business?
Deciding whether to consider Amazon automation for your business depends on various factors, primarily related to the scale of your operations and the resources at your disposal.
If you find that you’re investing a significant portion of your time in mundane, repetitive tasks, or if your business has grown to the point where managing your Amazon store has become overwhelming, automation could be a valuable asset.
You should also consider other factors such as:
Resources
The cost of the automation software/services can vary, so it is essentially critical to consider your budget and the potential return on investment (ROI) of the automation tools and services you are considering.
Goals
You’ll need to consider if your business needs and goals align and stay fit with the automation tools and services you will buy.
Business Size
Make sure that you need it, and you’re just not giving the hype unnecessary attention.
Amazon automation can bring immense help, such as improved efficiency and accuracy, time and resource savings, and support for business growth and scalability only if your business can afford it.
Ecom Circles Amazon Automation Service
If you are considering Amazon automation, then look no further than Ecom Circle automation service.
Combining technology such as our all-in-one Automated Dropshipping software and proven strategies like our proprietary 2-step dropshipping process, Ecom Circles Amazon automation takes your Amazon store to new heights, letting you enjoy the benefits of a thriving Amazon business without the daily grind.
This service is a godsend for those who want to grow their business but lack the time or expertise. Whether you’re struggling with inventory management, pricing strategies, customer service, or navigating Amazon’s ever-changing policies, Ecom Circles has got you covered.
We do it all, from keeping track of your stock and prices, placing your orders, and shipping them to one of our integrated warehouses, to taking care of in-transit or canceled items, tracking numbers, violations, suspensions, and terminations.
Boasting an experienced team of Amazon professionals, our service can help you tap into the secrets of Amazon’s algorithms, optimize your listings, and ace customer interactions, ultimately driving your sales and profits higher. Plus, we stay on top of trends and changes, ensuring your store stays ahead of the curve and consistently performs at its peak.
With a transparent pricing structure, you can opt in and opt out of the service at any time.
Get started with Ecom Circles automation service today.
