I wrote the original article back in 2019. And now have a perspective of few more years of running brands on Amazon, more experience, seeing all the Amazon marketplaces changes, plus all the learnings of managing a team to run Amazon.
And all of that reinforced my belief that these cadences are directly tied to the flow of sales and profit of selling on Amazon.
Here is the 2024 Edition of Cadences of an Amazon Business for More Sales and Profit
Definition of cadence (Merriam-Webster)
- rhythmic sequence or flow of sounds in language (/the grand cadence of his poetry
- the beat, time, or measure of rhythmical motion or activity (// steady cadence of drums)
Even if you don’t know much about music structure you are familiar with cadences – they exist in every kind of Western music, and cadences is what creates a feeling of organization, flow, and a sense of either resolution of temporary stop in a music piece. In simple words, cadences are the backbone of all types of music we are familiar with.
Businesses that run well have cadences too, we just use less melodic words to describe them (processes, SOPs, planning, checklists). And Amazon business is no exception – every successful Amazon business has cadences. And while growth phase can be messy, and inefficient, long term sustainability and health of a business is impossible without certain rhythmic activities that keep the heartbeat of the business.
So what are the cadences of a well run Amazon business?
Let’s look at it with the ‘top down’ approach
Theme: Vision and macro-planning
Tone: Strategic planning. ‘Bigger picture’ objectives, with the fundamental question of: how will Amazon serve our brand this year? How do we best leverage it? What role should it play in our business this year?
Setting revenue projections as goals benchmarks. There are a lot of variables out of your control (ex. Cost of bids in Amazon advertising), so I suggest approach revenue projections as goals rather than survival requirements. Or worse, ego driven, or not grounded in reality goals.
Theme: Micro-planning and calibration
While annual planning is critical I am a true believer in quarterly goal setting. Our human focus just doesn’t go much beyond the next 3 months. Things change on Amazon faster than a teenager’s outfits. One of my mentors says that we underestimate what we can do in 3 months, and overestimate what we can do in one year. I have found this true for myself and working with clients.
Tone: Review of the prior quarter (planned vs. actual results, any lessons learned). Review of the next quarter revenue projections – any changes to that? Marketing plan and promotions calendar, optimization and A/B testing of pages and the Store, prepping and planning for a new product launch, inventory projections and replenishment for the coming quarter.
Theme: Calibration and implementation
Tone: implementation of quarterly planning, review of monthly performance KPIs, adjustments to macro-planning based on implementation results, inventory replenishments, working through Amazon issues a they come up
Theme: maintenance pulse
Tone: maintenance activities (buyers emails, notifications, addressing or following up on ad hoc issues), product pages visual checks. Some activities could be twice a week, or ebb and flow. But the ultimate message of daily frequency is that Amazon always needs to be proactively overseen, not reactively addressed.
Often issues come up without notification emails. Or account performance emails get lost. Or a parent/child product page splits, and nobody notices.
Proactive checking on your Amazon presence and within your Amazon seller account minimizes risk of issues going undetected.
Business of any size needs a systemized approach to its every aspect to run well. When you hear a band that is out of rhythm, it does not matter how good music is, or how good an individual musician is. Being out of synch will overshadow everything else. Same with running an Amazon business: establishing cadences for each functional area is like creating a steady heartbeat for your Amazon business. It gives a sense of control, provides valuable retrospective insights, which allows make better decisions, ensures everybody contributes in their role. And all of that is what ultimately leads to results of more sales and profit.
If your Amazon business is out of synch and needs a conductor to create controlled flow and rhythm – contact us to see how we can help you bring order to chaos.