This is how you save time and money as an Amazon seller with smart automation!
Many Amazon sellers have a tight schedule. New goods need to be purchased, the inventory must be stocked, customers need to receive their products, and there should be a contact person for problems. Additionally, there is the maintenance of the product page and competition analysis. With so many tasks, one might wonder where to start. Smart tools of our time provide relief here. The keyword is clearly “automation” on Amazon as well.
But what does that mean? Hiring a little robot to take over the job? Admittedly, we may not be quite there yet. At least not with a limited budget. Nevertheless, there are some ways to automate processes in your own Amazon business. But more on that later. First, we want to clarify what automation actually means for Amazon sellers.
What does “automation” mean on Amazon?
The economic dictionary from Onpulson suggests the following definition: “Automation is the independent operation of machines that reduces or makes human communication or control unnecessary when everything runs normally. Automation was first used by the Ford Motor Company in the late 1940s. It is also referred to as mechanization.”
And this definition is one of the most understandable – if you don’t believe me, just Google it yourself!
So, it’s about machines (or software) that run independently – WITHOUT human intervention. Automation is therefore a tremendous help for us because it takes over tedious and time-consuming tasks. In the context of Amazon, the automation of inventory management processes primarily speeds up fulfillment in the logistics centers – and in this way contributes to increased customer satisfaction. But marketplace sellers can also delegate some of their daily tasks and sell more automated on Amazon.
Who benefits from automation?
That clearly depends on your preferences.
Basically, you should ask yourself the following questions (click the small triangle before the question to open more content):
Do I want to be supported by a smart tool and give up a bit of control for that?
Of course, those who use certain tools for automation on Amazon also give up a bit of control. But is that a bad thing? If you were to hire a new employee, you would do the same. In return, a significant amount of work is taken off your hands.
You also do not put everything in the “hands” of the tool. Rather, you tell the tool what you want, and it will implement exactly what you have instructed it to do. For example, you set a maximum and a minimum price for a dynamic Repricer. Now it knows the range within which it can operate. It will not set a price below your minimum price.
What benefits does the smart tool bring?
You should always question whether your business on Amazon truly benefits from automation or the tool. In economics, this is referred to as a cost-benefit analysis, which every individual rationally conducts with each decision. Of course, no one does this for EVERY decision. Nevertheless, there are some situations where it makes perfect sense, especially when it comes to investments.
When you acquire a new tool, it is also an investment that comes with costs. Imagine you are completely satisfied with the products you are selling and definitely do not want to add any more to your portfolio. Now there is an automated tool that exclusively searches for new products that you should invest in.
The benefit of the tool is zero because you will not use it. You do not want to add new products to your portfolio. The cost of the tool is €10, which clearly outweighs the benefit. Therefore, you should not invest in this Amazon automation.
Optimization as a personal benefit
However, it is indeed sensible to update your product portfolio and continuously add new products. On one hand, this helps your business grow. On the other hand, having a diverse portfolio makes you less vulnerable to market fluctuations and attacks from your competitors.
If you only sell pencils and the demand for them decreases, your business is at risk. However, if you sell both pencils and ballpoint pens, you are somewhat better equipped against a potential drop in demand for pencils and can then focus on the business with ballpoint pens.
In this case, you indeed have a benefit from acquiring an Amazon tool for automation. Let’s assume you need two hours to search for new products and analyze their profitability. At an hourly wage of at least €9.35, the tool saves you effectively two times €9.35, which is €18.70 – your benefit. The costs remain at €10. In this case, the benefit is greater than the costs, and you should invest in the tool.
Long story short: If it is worth it, you should always invest! And yes, even if it costs money – as long as you benefit from it, it is a sensible investment.
Am I willing to spend a little money for more automation on Amazon?
As is often the case, there is nothing for free here either. However, if you have come to the conclusion that the acquisition of the tool is worthwhile when considering its benefits, you should not hesitate and invest. It is clear: Those who want to benefit from smart tools must also spend a little money for it. Because, as a rule, you will not be able to provide more automation for your Amazon business through your own programming.
Nevertheless, it makes sense to take a closer look at the provider’s terms beforehand. Is there perhaps a free trial period that you can take advantage of? What are the cancellation terms if the tool does not deliver what you expected from it, etc.?
Which aspects can you automate on Amazon?
Now that you can decide whether you need more automation on Amazon, you probably want to know what you can automate. Below are some steps of the value chain listed that you can select individually to find out which tools might be interesting.
Finding new products
If you decide to expand your business and add new products to your offering, you have a lot of work ahead of you. You not only need to find a product, but also analyze it based on many factors: Is there sufficient demand? How is the competition positioned? Is the product profitable? This is exactly where smart tools come into play. All these analyses are run automatically, and only the most suitable products are displayed to you.
The tool “Product Discovery” from Viral Launch is perfect for more Amazon automation in your business. It finds products for you that have high potential. The tool analyzes thousands of products and shows you only the best ones. It also provides you with projected sales, allowing you to make an informed decision.
In this video, you will find all the information about the tool again:
Inventory management
How many items of your product do you currently have in stock? If you have to run there now to count, you should definitely consider whether this is the best way of inventory management. You should always know what your current stock level is and be able to anticipate how much replenishment you will need in the near future. After all, you do not want to find yourself in a predicament where you cannot supply your customers because the stock is empty. On the other hand, it costs you money if your inventory exceeds the storage capacity and you need to expand or outsource.
This is where a smart tool called RELEX Solutions comes in handy. In addition to customer-oriented forecasts, it assists you with planning, ordering, and storing goods. This way, you no longer have to calculate everything yourself and keep it on lists, but receive all information bundled in one system. If stock levels should become tight, the tool even helps you switch from a low-cost supplier with a long shipping time to another with a shorter delivery time. This is particularly important, as suppliers who are out of stock do not win the Buy Box on Amazon. Automation pays off here doubly.
Create product on Amazon
Believe it or not, there are actually tools that automatically write your product texts for you. So you are not looking for a human freelancer, but a software-based one. Awantego even promises “Unique Content,” meaning unique content. And that from a machine! How does it work? Thanks to artificial intelligence, the tool can understand the semantics of language and even the context. This way, the tool knows that a winter with several days of minus 20 degrees is a “Siberian winter.” In this way, you receive your product text within a few minutes.
But be careful. Even though more automation on Amazon can make for a successful business, being fast is not always advantageous. Product texts and A+ content are extremely important for the conversion rate. Therefore, make sure to review automatically generated texts again and adjust them according to your customer types.
Run and optimize advertising
A well-known automation on Amazon is PPC automation, as the associated tasks are not exactly among the most popular. How often do you need to adjust your bids and keywords to ensure they are always up to date and thus profitable? How long does it take you to set and adjust the budget for your advertising campaigns?
Here, bidx provides relief. The smart tool continuously analyzes the performance of your ads. By independently adjusting bids and keywords, it also optimizes the profitability of your campaigns. In addition to campaign optimization, the smart tool evaluates your performance and displays the results clearly in the dashboard.
Order processing
The storage and picking of products is no small task. For sellers who sell multiple products in large quantities, a garage with three shelves quickly becomes too small and, above all, too confusing. After all, individual items not only need a place for storage but also need to be quickly found when they are ordered. Since this process follows the same pattern every time, it is also suitable for automation on Amazon.
Normally, the fulfillment of Amazon orders without automation goes something like this: When goods are purchased from you, you can create a so-called pick list. There, you note which goods you need to retrieve from the warehouse, where to find them, and it is best to arrange them according to the names of the locations. Then, you go to the shelves with your list and work through it by finding the products based on their location names, taking them from the shelf, and placing them in a transport box. This process is called picking.
With the filled transport box, you go to your packing table. There, the goods are sorted according to the orders and – oh wonder! – packed. For this, you should create a packing list in which you note which items belong in which package and to whom they should be sent. Additionally, the invoice, shipping label, and tracking number are created and attached. Finally, you hand over the package to your shipping service provider.
Confusing with multiple orders per day
With a few orders per day, this process may be manageable manually, but as soon as you need to ship multiple packages per day, it quickly becomes confusing and the picked goods get mixed up. This is where automating your Amazon logistics can help. For example, you can have your pick and pack lists created automatically instead of manually going through and summarizing all orders. Additionally, barcodes on the goods help you sort the items by packages.
With smart tools like Pick & Pack from Afterbuy, not only are your lists created automatically. At your packing table, you only need to scan the barcode on the goods, and you will receive all the information you need. This includes the customer’s address and the contents of the package. Once you have packed the package, you can have the invoice and shipping label printed directly through the tool and include them with the package. An army of individual lists is thus consolidated, and you only receive the information you really need for the Amazon order – thanks to automation!
Here you will find all the information about the tool in video format:
Create invoice
(If you are using Afterbuy, you have already completed this step during order processing.)
The goods are picked and packed – thus ready for shipping. What is still missing is the invoice. Yay – writing an invoice – NOT! Who wouldn’t want to avoid this tedious step of an order through Amazon with clever automation?
This is where billbee comes into play. Once set up, the tool automatically sends invoices to your customers. In advance, you can customize the text and subject of the automated emails. Additionally, you can decide how the customer should receive their invoice, either via the Amazon mailing system or by email.
A tutorial for automated invoice sending with Billbee can be found here:
Monitor and optimize performance
Anyone running a business must, whether they like it or not, deal with its performance. But who likes to calculate daily revenue or forecasts about the sales potential of their products? This is where specialized helpers like SELLERLOGIC Business Analytics come in handy. The tool uses complex data to simplify the representation of product performance on an Amazon account and/or marketplace. The data can be intuitively operated and filtered according to user preferences. With SELLERLOGIC Business Analytics, you can quickly identify unprofitable products and cost areas that need optimization and initiate corresponding strategic adjustments.
In addition to the tools that track your performance, there are also some that further optimize your performance. These definitely include the Repricer.
Just think about how much effort you would have to put into pricing on Amazon without appropriate automation: You would need to monitor your competition around the clock and respond immediately to any actions. Your competitor lowers the price? You must lower yours immediately as well, or you will lose the Buy Box and potential buyers. If that happens while you are working, that’s one thing. But what if it happens while you are comfortably sitting on the couch in the evening? Or if your competitor decides to change their price not just once, but several times a day?
There are two options:
1. You are active around the clock.
2. You get help in the form of a smart Repricers.
You invest in a tool that takes care of automated price adjustments on Amazon. The nice side effect of investing in a dynamic Repricer like the one from SELLERLOGIC is that the price does not only go down. Your new smart “employee” primarily tries to place you in the Buy Box. Once this is achieved, it also raises the price as much as possible – thus obtaining the best possible price for you.
Process returns
Anyone active in e-commerce knows that returns are unavoidable, especially on Amazon, automation or not. Sometimes the product doesn’t fit, sometimes it isn’t liked, to name just two of the many reasons for returns. Nevertheless, there is usually still room for optimization.
To make the process as simple and pleasant as possible for the customer, you should rely on automation here. Tools like shipcloud.io offer you a comprehensive solution for this. For example, you can provide your customers with a returns portal where the buyer can initiate the return themselves and choose a shipping service provider. Afterwards, they receive the shipping label easily via PDF or email. In addition, you receive an overview of the current status of the return and the shipping status. This not only makes the process easier for the customer but also for yourself!
Accounting
One of the seemingly least popular tasks for a business owner is probably accounting. Income, expenses, taxes… many people’s heads start spinning just reading that. What if you could simply delegate this unwelcome task? But is it worth hiring a dedicated employee for it?
The solution: Tools! Through their smart functionality, they can cover many processes in a flash, and you receive immediate results. BuchhaltungsButler is a good example here. The tool automatically recognizes, sorts, and codes your receipts. You simply upload your receipts in the tool, and all data is prepared for you and your tax advisor. Additionally, you can create invoices and much more directly in the tool. A real relief for Amazon sellers thanks to automation!
Here you can watch the tool in the video again:
Amazon FBA: Automation made easy
What if you could automate several tasks in one step? Order processing, customer service, returns management. All of this can be handled by FBA for you. The online and logistics giant Amazon has perfected all these processes and offers them as a service to its marketplace sellers. Those who use Amazon and FBA for automation delegate the entire fulfillment process, from storage to returns.
In the gigantic logistics centers, every product has its place. When an item is ordered, the corresponding shelf moves to the packer and is packed by them into the perfect box. The entire picking process is thus automated and handled by robots.
Smart tools also influence the packing of goods: They instruct the packers on which box should be used for the product to be packed. For this, the optimal box is selected based on size and weight and displayed to the employee.
Anyone who wants to take a look at such a logistics center can take a look here:
Amazon’s customer service is also perfectly focused on the customer. Anyone with a concern will be professionally and friendly advised right away. After all, the customer is the top priority at Amazon, and all processes are designed to create a perfect customer experience.
Equally user-friendly is the returns management of the e-commerce giant. Simply print a return label, and everything is taken care of for the customer. From here, Amazon takes over.
But here too it applies: Nobody is perfect.
You surely already know that things are bustling in Amazon’s logistics centers. FBA errors can occur. They can happen, but they must not go unnoticed. In SellerCentral, you will also find the FBA reports. You can either go through them manually and have them checked for errors or use a smart Amazon tool for automation.
Lost & Found analyzes your FBA reports and looks for errors. Once it finds any, it automatically prepares a letter to Amazon for you that contains all relevant case details. With copy and paste, you transfer everything into SellerCentral, and your refund is requested.
Conclusion
Anyone who wants to save work will surely find one or another tool for themselves. There are various ways to make the tasks of everyday business easier through automated tools. This starts with picking, extends to automated price adjustments on Amazon, and ends with the tedious task of finding the many small FBA errors.
But as always, every user should ask themselves what they hope to gain from it and whether the tool can meet those requirements. However, with a little critical questioning, this should not be a problem, and you can make your life as an Amazon seller easier through automation.
Image credits in the order of the images: © artinspiring – stock.adobe.com / © bakhtiarzein – stock.adobe.com
