Monthly sales increased 10 times, sales exceeded $1 million, digging deep into Amazon's winning secrets...

In just over a month, sales increased 10 times, with sales exceeding 1 million US dollars! In just one month, the data is so different. How did this factory completely "reborn"?

In recent years, a large number of new sellers have entered the cross-border e-commerce field. In the fiercely competitive cross-border circle, many sellers have been eliminated one after another. However, against this background, a factory in Zhejiang has successfully counterattacked, increasing sales by 10 times in more than a month, and sales have also increased significantly. How did it do it?

Sales increased 10 times in one month. How did this factory succeed?

This is a traditional factory that makes kitchenware. It is well-known in the domestic C-end market and is the Best Seller in its sub-categories on JD.com and Tmall. It is also an expert in B-end export trade, with exports of at least RMB 1 billion a year.

In 2018, the factory began to try Amazon. Although there have never been any problems with product quality, the data has been mediocre and there has not been much improvement. From 2018 to 2020, the factory's sales have not shown any significant growth.

But in July 2020, the factory's sales soared, increasing nearly 10 times in just over a month, with monthly sales reaching more than 1 million US dollars!

This data is jaw-dropping. Although the competitiveness of the factory's products is unquestionable, if it wants to win this tough battle, it will inevitably need the help of a "noble person". And the "noble person" behind this factory is Ningbo Kepan Network Technology (hereinafter referred to as Kepan Technology).

Precision, detail and depth, Kepan Technology becomes a dark horse

Kepan Technology is a company that specializes in providing advertising strategies , delivery plans and delivery management for Amazon sellers . Simply put, it can help Amazon sellers achieve significant sales growth.

Out of curiosity about this company, the editor interviewed CEO Lu Xiaolingfei.

Lu Xiaolingfei admitted that at first, he was just an ordinary Amazon seller. After graduating from studying abroad, he started working on Amazon with his British alumni. As he got to know more about it, he fell in love with this industry from the bottom of his heart. In 2018, he chose to join the team of promotion service providers and gained a deeper understanding of Amazon advertising.

In the second half of 2018, he and his startup team independently developed PPC optimization algorithms and internal software, transforming the company's main business into advertising agency.

The company's CEO Lu Xiaolingfei said that it was difficult for him to accept that what he made could be easily replaced. So he and his team embarked on this unpredictable road, and no one knew how many bumps there would be ahead.

Hard work pays off. Thanks to several cases where PPC volume increased by more than 10 times in one month , this team gradually became known by more peers from obscurity , and the customer volume also grew from more than 2 million US dollars per account to more than 100 million US dollars per account .

As a company that has only been in the industry for a short time, Kepan Technology is like a dark horse, overcoming all obstacles and continuously exploring technology.

After a long period of research and development, the team improved the algorithm of the new version and conducted a lot of evaluations on keyword bidding in early 2020. Today, they have a fully self-developed advertising software system, which connects the entire chain from keyword search, delivery to price adjustment.

Recalling the kitchenware factory in Zhejiang, Lu Xiaolingfei said: "In May 2020, their monthly advertising sales were still around 120,000 US dollars. After evaluating the factory's qualifications and strength, we found that they had great potential to become a Best Seller, so we started cooperation."

Through the bidding algorithm developed independently, the advertising cost was reduced by half while the advertising volume increased, and ACOS was reduced from 10% to 5%.

After coming up with an idea, Lu Xiaolingfei set his sights on the large number of Chinese sellers who were actively pouring in. The Chinese seller market is huge, and in the second half of 2020 , Kepan Technology began to focus on the domestic market and set up a branch in Ningbo to share the experience gained from operations and testing with growing sellers.

Competition for traffic is fierce? How can Amazon sellers win the "battle"?

The platform traffic is constantly being divided up and the situation is changing rapidly. In order to survive in this highly competitive circle, many sellers have turned their attention to in-site delivery. What kind of changes can this bring to sellers?

Compared with before 2018, Amazon advertising has continued to increase since the second half of 2019, providing sellers with more exposure opportunities, while also squeezing the proportion of natural traffic. The platform's advertising has no restrictions on the stage of sellers, so this has brought unprecedented opportunities for new sellers to break into the old category.

In this way, new product sellers with competitive product advantages can obtain a large amount of new traffic and conversions through advertising, and old sellers can also obtain more market share and traffic than before.

For novice sellers, the placement operation is indeed quite challenging, but Lu Xiaolingfei has another set of "secrets".

He believes that novice sellers should pay more attention to keyword screening and spend more time researching the positioning of their products and user groups. After being able to select appropriate keywords, it is recommended to use precise matching and automatic advertising to increase sales in the early stage, and then expand more keywords after the product is stable.

For sellers at all stages, competition in the cross-border circle is extremely fierce. Since it is impossible to prevent new sellers from joining, they have to snatch resources from their competitors.

In this regard, the team of Kepan Technology has also conducted some stress tests on categories. In the same category, the team used its own advertising technology to place ads in the second place, and the first place was another sub-brand of the client. It can be observed that after the team placed ads in the second place, the click cost of the first place increased by 30% on the second day.

"Advertising technology is just one way to promote advertising. In the future, advertising technology will become common. When operation and advertising promotion technology become popular, it will be the time for us to compete on product strength, supply chain and brand effectiveness. The ultimate beneficiaries will definitely be consumers and those who really want to make a good product." Lu Xiaolingfei said when talking about the future.

In order to cope with more intense competition, sellers should focus on how to do better to cope with market changes rather than giving up.

On May 25, 2021, at the 2021 Fifth China (Guangzhou) Cross-border E-commerce Online Marketing Conference hosted by Yien, Lu Xiaolingfei, founder of Kepan Technology, will give a wonderful presentation on the theme of "Finding Growth from Within, the Path to Continuous Optimization of Amazon Advertising".

Interested sellers can sign up for this conference, listen to the entrepreneurial experience of Lu Xiaolingfei, founder of Kepan Technology, and learn how to continuously optimize Amazon advertising to achieve sales growth.

Amazon

Big Sell