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markus-fostMarkus Fost is the winner of the Vendor Award and works in business development as well as a consultant to the board at metabo. Markus Fost, BA cand. MBA, born in 1984, studied business administration at the HfWU Nürtingen-Geislingen. In his professional activity for well-known industrial companies and consulting companies, he was able to gain extensive experience in the e-commerce sector. Markus worked for Graupner GmbH & Co. KG for a total of nine years, most recently in 2009 - 2010 as Commercial Director / CFO. In 2009 he was given the Vendor Award Climber of the Year by Amazon.de as part of his work at Graupner GmbH and Co. KG. Markus Fost is currently working at the power tool manufacturer metabo in business development and as a consultant for the CEO and CFO. More information at www.all-ecommerce.de

Selling on Amazon: The 5Ps of Marketing

The four classic instruments of the marketing mix, the so-called four “P” for product, price, place and promotion, are already several decades old, but in no way antiquated. For the Amazon Marketplace, however, these should be expanded and modified, as the following figure shows. amazon

1. Product: Excellence in product offer

Excellence in the range of goods means on the one hand offering products suitable for Internet sales on the Amazon Marketplace. Potentially belong Article with a high brand value, for example through high recognition value of your own brand or through guarantees from a trustworthy side.

But also digital goods such as software and music, low-quality, standardized goods, such as office materials, books, etc., or regularly acquired goods such as consumables, cosmetics, etc., where a subscription to the article may be available for the recurring delivery belong to this group.

On the other hand, excellence in the product range also means offering products that offer the customer a certain problem solution.

2. Promotion: Excellence in the holistic presentation

The marketing element “Promotion” aims at the holistic product presentation of the product range on Amazon. This is a prerequisite for successfully trading online.

It is also a value-adding distinction feature which contributes to the realization of profits within the transparent e-commerce environment. Especially at Amazon, a marketplace in which the product presentation has reached the highest level of standardization and is thus homogenous for the customer, it is essential to make the best use of the available possibilities in favor of the own product range.

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The main focus in the presentation should therefore be on the product title, which should in any case be optimized by search engine optimization. The offer should be rounded off by an excellent product presentation.

High-quality content, which best describes the product characteristics, as well as professional images, which also allow detailed viewing through the zoom function, should be standard. Last but not least, product reviews are important. Recent studies have shown that an increasing number of online buyers place more emphasis on the opinion of other customers.

3. Price: Unconditional transparency requires excellence in price

Excellence in price also means participating in the competition for the Amazon® Buy-Box. The “buy box” is the best possible placement of a marketplace retailer on the Amazon® website, which is illustrated by the following figure.

In addition to good service with fast delivery and sufficient inventory, the prerequisites for getting this placement are above all the best selling price. To achieve the latter, software such as that offered by Starsellersworld.com or Sellermania.de can provide significant support. The concept of the "buy box" gives the (start-up) online retailer better visibility by the customer and thus ensures a strong increase in sales.


4. Personnel: Excellence in the minds - Internet-friendly staff

For people who consider starting a business in e-commerce, a certain affinity to the Internet and e-business is indispensable in order to be successful.

The e-commerce industry is characterized by a high degree of dynamism, which is why the founder is required to think about the complex world of online commerce and constantly expand and update the existing knowledge.

Although the Amazon® Marketplace provides the founder with a proper help by providing the online merchant with an existing marketplace with functioning transactional processes, the Amazon® keyboard needs to be professionally mastered and also capable of supporting IT Peripherals with goods management systems or ERP systems specially adapted to online trading.

If the entrepreneur does not use the e-Fulfillment program from Amazon®, the founder also has to take care of efficient logistics.

5. Processes: excellence in customer service - benchmarking everywhere

The missing “P” in the 5P model of marketing for the Amazon® Marketplace is represented by “Processes”, ie the processes. In addition to the transaction process that is specified by Amazon® from order processing to payment processing, the (existential) online retailer make sure that the processes in which he is involved run smoothly.

For example, incoming orders must be confirmed within 48 hours, but better on the same day on the Amazon® Seller Central platform. At this time, the customer receives a shipping confirmation. Parallel to this, the billing and loading of the customer account is carried out. The entrepreneur has to take into account that within the e-commerce a longer delivery time than 48 hours in business days from the date of the order can lead to displeasure with the customer.


In addition, the founder must ensure that incoming customer requests are answered within 24 hours on 365 days per year. The processing time for such buyer-seller contacts is tracked by Amazon®, ie, it is tracked and incorporated into customer statistics, as shown in the following figure.

In addition to the benchmarking of the response times, key figures, for example, which measure the rate of order deficits, are separated automatically according to various reasons, automatically recorded by Amazon®. If they do not agree with the Amazon® targets, the online retailer threatens the exclusion from the platform. If such an exclusion is made, this can no longer be healed or reversed.

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2 responses to “Selling on Amazon: The 5Ps of Marketing”

  1. Walter Winikoff says:

    I really think you could look at this topic from other perspectives - where can you make suggestions for your own text contributions on your blog? +

  2. Marina Staehle says:

    I stumbled upon this page by chance and think it's really good.

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