How to use advertising to promote inventory clearance of old products that are not selling well?

How to use advertising to promote inventory clearance of old products that are not selling well?

On the Amazon platform, sales of old products often encounter bottlenecks, the so-called half-dead state, so sellers often face the problem of inventory backlogs. These redundant inventories not only increase additional costs, but also affect the seller's capital chain.

Therefore, Amazon inventory clearance has become an urgent problem for sellers to solve. Before explaining the solution to Amazon inventory clearance, let’s first look at the reasons that lead to inventory clearance, which are roughly the following categories:


8 common situations in which goods are unsalable

1) Sluggish sales due to misjudgment of sales and excessive inventory: Incorrect sales forecasts may lead to excessive inventory.

2) Sales reasons lead to a decrease in listing sales;

3) Internet celebrity products that become unsalable due to a short-term explosion in popularity: Some products may become popular quickly due to hot events or promotions in the short term, but then their sales drop rapidly.

4) Poor sales due to changes in buyer demand: As the market develops, buyer demand is also constantly changing, and old products may no longer meet market demand.

5) The product is out of stock and the sales volume cannot be increased after the product is replenished, resulting in poor sales;

6) Seasonal products are unsalable due to misjudgment of sales volume/market changes;

7) Poor sales due to poor product selection;

8) Poor sales due to quality issues: Product infringement or quality issues can also affect sales.

9) Product unsale caused by account security issues: Violation of platform rules can also lead to product sales being hindered.


6 common methods of clearing inventory

1. In-site discount and low-price promotion: Attract consumers to buy by setting discounts.

2. In-site advertising-related sales: Use advertising to increase product exposure and increase related sales opportunities.

3. Off-site Deals and Internet Celebrity Promotions: Cooperate with off-site platforms and use the influence of Internet celebrities to promote products.

4. Use coupons in conjunction with price reduction promotions: Use coupons to stimulate consumers’ desire to buy.

5. Adjust CPC advertising bids: adjust bids based on advertising results to improve advertising efficiency.

6. Cross-sell through associated traffic: Leverage Amazon’s associated traffic feature to drive repeat purchases and bundled sales.

How to speed up sales by keeping inventory in FBA

① In-site promotion combination inventory clearance method

Amazon offers a variety of in-site promotional tools, such as Deal of the Day (DOTD), Flash Deals (LD), 7-Day Sales (7DD), and Coupons, each with different running times, minimum discount requirements, and eligibility criteria.

Backstage menu bar - Advertisement - Manage promotions. There are three ways: social media promotion codes, percentage off and buy one get one free. Set up different activities according to the situation.

These promotional tools can help sellers improve brand influence, quickly increase sales, increase search exposure and retain customers.

② Outlet promotion

Inventory - You can see the Amazon logistics inventory to see if there are products that meet the requirements of the outlet discount. The overall score of the link is above 3.5 points, and the inventory has been stored in the Amazon operation center for at least 90 days.

The effect of off-site promotion to clear inventory is generally several times better than that of outlet promotion. If you need to arrange off-site promotion to clear inventory, you can contact customer service V: FLA66668888

③ Virtual bundling: Bundling with main products to promote sales

Virtual bundling is an effective way to clear inventory by allowing sellers to sell two or more ASINs together.

Clearance products and hot-selling items are bundled together for buy one get one free; the price of the bundled items should be lower than the sum of the individual purchases to create a price advantage. Virtual bundling does not require additional inventory and can directly utilize existing FBA inventory ASINs.

④ Display promotion promotes repeat purchases and accelerates the digestion of redundant inventory

Display promotion ads are suitable for sellers who have completed brand registration. They can help sellers accurately locate target groups and promote repeat purchases through promotional means such as discounts.

⑤ Optimize listing

For clearance items, there is no need to worry about changing the listing affecting the weight. For products that do not have many orders, advertising brings traffic, and excellent listings bring conversions.

⑥ Open a set of automatic leak-picking ads

The bid is 0.1 USD. If the effect is not good, increase it by $0.01. If the effect is still not good, close and reopen it. Turn off invalid matching types after 3-7 days.

⑦ Open a set of manual ASIN ads

The recommended bid for this ad is generally lower, similar to the automatic similar ads, and sets a budget of 20 clicks per day.

⑧ Low-price, low-budget advertising + large coupons + prime

You can start with a 10% coupon and observe the effect. If not, keep increasing it. Note that there is an additional $0.6 redemption fee for coupons.

⑨ If the inventory age is within six months, no clearance is required

If you place an order every one or two days, there is no need to clear the inventory. After all, the proceeds from clearing the inventory are less. If they start charging long-term storage fees, especially when the 365-day period is approaching, you should consider speeding up the clearance process and completing the clearance before October to avoid triple storage fees from October to December.


Inventory removal, alternative solutions

If the product sales rate is low and the sales speed is slow, the resulting high storage fees, advertising fees, etc. will increase the degree of loss. If the removal/disposal costs are still within an acceptable range compared to these clearance costs, you can bear the pain and decisively remove/disposal them.

Disposal: Amazon's disposal service also charges a fee for each item;

Return to China: If your product has high value, it is worth returning to China;

Bulk clearance on Amazon: Amazon will send its inventory to wholesale liquidators, and sellers can usually get back 5%-10% of the selling price of the goods, but there is still a possibility that the goods will be abandoned or returned to the seller by the liquidators.

Clear inventory offline and contact service providers for recovery: Perform batch operations to quickly recover part of the funds.

By using the above strategies properly, sellers should be able to effectively use advertising to promote inventory clearance and reduce the cost pressure caused by inventory backlogs.

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