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DTC Podcast

Ep 500: Why Spending Too Much on Amazon Ads Could be KILLING Your Organic Results + Tariff Strategy for Amazon Sellers | AKNF

Apr 18, 2025
Discover how new tariffs are reshaping Amazon selling strategies, creating customs backlogs and influencing pricing decisions. Learn why high ad spending might hurt your organic rankings and how balancing paid and organic placements is key. Get insights on boosting conversion rates without increasing spend. Plus, hear amusing tales about streaming services sneaking in ads, and the speakers' gambling victories in Las Vegas. Perfect for brands navigating the complex Amazon landscape!
27:48

Podcast summary created with Snipd AI

Quick takeaways

  • Balancing advertising spend is essential for Amazon sellers, as excessive spending can negatively impact organic rankings and visibility.
  • The uncertainty surrounding tariffs is prompting brands to reassess their pricing and inventory strategies to stay competitive in the marketplace.

Deep dives

Impact of Price Changes on Amazon Ranking

Raising prices as a direct-to-consumer (DTC) brand can have negative consequences on Amazon, where price increases often lead to decreased visibility and potentially lower rankings. Unlike traditional markets, customers on Amazon may not notice subtle price changes, as brands are displayed alongside competitors, making it crucial for sellers to stay competitive. Many brands are hesitant to adjust their pricing structures, particularly when dealing with increased costs of goods, due to fears of losing rankings in Amazon's algorithm. This creates a challenging environment for DTC brands that must balance their margins with maintaining a strong position in search results against competitors.

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