Amazon Uses Shopping Pop-Up For Mobile Apps, And Its Own Brand Is Recommended.
Amazon has found new ways to recommend proprietary products.
According to the Wall Street journal, Amazon is testing a kind of function similar to pop-up ads on mobile apps, and recommends proprietary brands or cheaper products in the form of bullet windows on the product pages of third party merchants.
For example, in the product pages of energizer (Energizer) battery, there will be cheaper AmazonBasics of the Amazon free brand 7 battery pop-up reminder.
At present, the test is only implemented in a small range of users and commodity categories. In order to induce consumers to buy goods from the window to remind links, the pop-up alerts occupy almost half of the mobile display pages.
Amazon responded by saying that this kind of pop-up alert is not advertising, mainly to help users find cheaper similar goods, and that the test was developed by its retail team, not its advertising team, but declined to disclose the progress of functional testing.
In fact, Amason has been guiding consumers to buy their own products by upgrading their own brand in the ranking of product search results.
Similarly, taking battery as an example, in the search box of Amazon, enter a "battery", consumers may first appear a brand advertisement at the top of the page, but in the search results, the Amazon Basics series battery will occupy 3 of the first 5 search results.
In addition to improving search rankings, Amazon is also actively using its Vine Voice to help promote its own brand.
The New York Times used ReviewMeta.com to analyze 1600 kinds of products in ten brands, such as AmazonBasics, Amazon Essentials, Mama Bear and Pinzon, which were self operated by Amazon. It was found that in the top 30 reviews of 835 products, more than Vine Voice came from above.
At present, more than 25% of Amazon's products come from private brands, much higher than 10% of traditional retailers.
For Amazon, the advantages of self brand can not only reduce costs, increase profits and logistics distribution efficiency by saving marketing and channel costs, but also develop products with more consumption potential through consumption data of platform users.
The pop-up alert may also be an analysis of the sales data of the platform's shelves, in this way, it can enhance the sales volume of its own products in the commodity category with potential consumption potential.
For those third party businesses who want to use Amazon data, they need to pay 1% or at least 100 thousand dollars for the wholesale cost of goods to get access rights.
After paying, what I see is only part of the data, not all.
On the other hand, Amazon's advertising revenue in the past year is the second fastest growing business besides cloud computing, and other businesses including advertising increased by 38% to 10 billion US dollars in 2018. The new low price pop-up alert function is obviously contrary to the brand oriented advertising business.
This means that when you spend money on advertising, Amazon can still recommend its own or other products to consumers according to their wishes.
As Amazon has increased its share in the North American electricity market, Amazon has been using its own online control channels to continuously raise various requests to businesses to enhance their profit margins.
According to Emarketer, Amazon has occupied nearly 50% of the electricity supplier in the United States.
In December last year, the Wall Street journal announced that Amazon began to pressure third party merchants a few months ago to require them to get rid of unprofitable commodities or to increase their profit margins by changing packaging methods.
In January of this year, it was also reported that Amazon had begun to let retailers develop production lines for Amazon and produce Amazon for brands.
Nested Naturals, the US health care product brand, is also in the range of testing products.
The Nested Naturals promotes sleep related product pages, which will pop up Amazon's own melatonin brand's shopping guide link, which is cheaper than Nested Naturals for nearly 1/2.
Kevin Pasco, chief marketing officer of Nested Naturals, is a sneaky way to evaluate Amazon's new performance test, which will give Amazon its own brand a stronger competitive advantage.
Over the past year, Nested Naturals has completed 85% of its sales through Amazon.
Kevin Pasco said that if you want to do business on Amazon, you need a steel stomach to accept all the conditions it gives you.
Unlike previous complaints, antitrust against large technology companies has been brought to the general election in the United States.
Amazon's new capabilities provide new evidence for people who think technology companies are too powerful.
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