Large Electronics Reseller Sees Sales and Profit Boost
Large Electronics Reseller
Since 2008, Mendel’s company has been selling electronics and accessories through different eCommerce platforms. Starting out as a small local supplier, they quickly grew to become the largest distributor in New England. The company’s journey with Amazon began when it would take inventory that needed to be liquidated and sell it on Amazon. As time went on, they started buying products specifically for Amazon. Mendel’s company is a true multi-channel operation, selling on other major marketplaces including eBay, Groupon, Walmart, Jet, and Newegg.
Finding the Right Tools for Growth
The company’s rapid growth meant it needed to automate more aspects of its day-to-day operations. The electronics company tested out a variety of repricers in an effort to keep up with Amazon’s constantly changing prices. However, these rule-based repricers drove their prices and profits down.
In addition, a growing number of SKUs meant more communication was needed with more customers. There was also an opportunity to generate lots of great feedback thanks to the sheer quantity of satisfied customers. The question became: how to automate this process?
A Combination of the Right Repricing and Feedback Software
Once Mendel implemented Feedvisor’s repricer, things started to turn around for the company, as well as using the replenishment report to determine when it’s time to restock inventory.
He also regularly checks his Buy Box percentage and sales velocity to help him make better decisions about replenishment.
Mendel also understood that keeping his customers happy and reviews high is a key part of winning the Box Box. Mendel uses software from SellerLabs called Feedback Genius to send follow-up emails to the customers. EMD sends an automatic email when customers receive the package, checking that everything is OK. Two weeks later, another email is sent to check whether the customers are still satisfied. If they are, a request for feedback is solicited. A month later, EMD will ask them to leave a product review.
sales growth per item
profit growth per item
Expanding Into Overseas Markets
The next step for EMD is to focus on international markets. Each of those marketplaces on its own may be small, but Mendel notes that Amazon EU as a whole equals approximately the volume of the US — making it a worthwhile endeavor.
EMD also plans on refining the processes within its business to ensure it stays profitable and keeps growing. A big part of this means keeping up to date with software that can automate key parts of the business, allowing Mendel to focus on the bigger picture. With SellerLabs and Feedvisor, EMD is in good shape.
“Feedvisor takes many factors into consideration when making pricing decisions. Many times we’re selling a product $7 or $8 higher than the next person, and we still win the Buy Box.”