How to boost Amazon online coffee sales?

How to boost Amazon online coffee sales?

Sales for coffee roasters selling online are generally low during July and August. Excruciating temperatures in the southern United States make drinking coffee and any other hot drinks unbearable in the heat.

However, during this hot summer, coffee roasters have an opportunity to start planning for Q4 by building out a strategy to get 10% to 20% sales growth for Q4 and Q1.

I have been working with coffee copackers for about eight years. Year after year, I increased sales for coffee and tea brands from 20% to 500%.

In 2022, I managed the Mayorga Coffee Amazon account and grew their sales 2x during my tenure at Lab 916.

I will share four things that have made my coffee strategy successful online DTC through Amazon, Shopify, and Facebook Shop. I'll start with product assortment and conclude with advertising.

πŸ‘‰ Product Assortment

You must understand that the Amazon search grid page is critical to your success in selling on Amazon.

A lot of coffee roasters that I meet want to promote the country of origin of the coffee or want to promote being organic. Unfortunately, this is not what most consumers search for when buying coffee.

We discovered a correlation between consumers who buy coffee at Starbucks and those on Amazon and online. People usually choose the type of roast, such as light, medium, dark roast, or extra dark roast.

Here is a picture of a recent Starbucks coffee pod packaging.

Light Roast becomes Blond Roast for Starbucks.

The key takeaway is to start with the roast type on the title's left side. The closer to the beginning of the title, the better.

πŸ‘‰ Pricing online

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Another key strategy is the price Point.

Most coffee roasters get pricing wrong. I sell a 2-pound bag for $34 or a 5-pound bag for $60.

  • Consumers might not be familiar with your product, so they won't buy it at a high price.
  • You might not be in a retail store (A % of people buy retail then go to Amazon or online to buy)
  • Pricing for consumers to try the coffee becomes a gamble, especially at a price point higher than $34.

Below πŸ‘‡ we are sharing our recommendation on how to price coffee online.

You have three prices for three different customer journeys.

The first price, for 12oz, is considered to be the loss leader. At this price point, you let consumers try your product at the lowest cost. We usually see about 20% to 40% of customers love the product and 60% to 80% hate the product.

Customers who love the product typically will upgrade to the 2lb because they see the value and savings.

You want a price that is affordable but also not too expensive for customers to try your products.

πŸ‘‰ Image optimization

When it comes to image optimizations, most coffee roasters fail to remind consumers what a coffee bean looks like.

  • Visual learners: Around 65% of people are visual learners, meaning they need to see information to retain it. Visual learners enjoy written information, diagrams, maps, graphs, pictures, and other demonstrations. Visuals can improve processing time and help people retain information.

See the example belowβ€”only 1 out of 6 display coffee beans next to their products.

πŸ† I always recommend that my coffee clients showcase the coffee beans on the image. By adding the coffee beans, consumers are reminded of the product, which increases CTR and value.

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It is essential to display the coffee beans from light to extra dark roast so consumers can know the roasting levels.
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It is essential to display the type of grind for Coffee: Coarse, Medium Drip, or Fine.

πŸ‘‰ Advertising

All three items, product assortment, pricing, and image optimization, will contribute to your success selling DTC, Amazon, Walmart, or any other platform.

  • Google Ads- We recommend Max performance and load up on assets
  • Amazon Ads, Sponsor ads, and Brand Ads (Banners or Video) to win first clicks
  • Facebook & Instagram- We recommend Advanatage+ Campaigns to get sales on Facebook shop
  • Tiktok Ads- We only recommend advertising creators' videos that have already made sales.

P.S. There are a lot of opportunities online, especially if you are already selling in retail stores.

Reach out to GetRicardo.com