Ever noticed your Amazon sales dropping and immediately blamed your ads? We all do it! In this episode, Michael and Campaign Manager Olena reveal a massive secret about what is really killing your sales.
It turns out you do not have to be completely out of stock to lose money. Just having a lower inventory drops your conversion rate and your sales velocity. Olena actually brought the receipts for this one. She stacked daily Business Reports and Inventory Ledgers to prove this crazy theory with hard data.
When she looked at the numbers, she found something wild. One client could never break $9,600 a day in sales with low stock. But they always hit over $10,000 when fully stocked. Why does this happen? It is all about the Amazon algorithm and delivery times. When your stock is low, it does not go down equally everywhere. This means longer delivery times in certain states, which hurts your regional conversions.
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