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Price Consolidates in the 'scrapbooking & Stamping Supplies' Category
In an ever-changing competitive landscape, these three price points have found solid ground.
Production Lead: Eric Jackson
Editor: Sam Bernards
Published July, 2022
Why are so few price points driving so much volume?
Sales within the 'Scrapbooking & Stamping Supplies' category have converged into a clusters around key price points. They are:
- $0.00 to $16.90 (90.2% of sales)
- $16.90 to $33.80 (6.0%)
- $84.50 to $101.40 (2.4%)
for a total of 98.6% of best selling product sales within the last 30 days. Category competitors which do not have products in these ranges are being penalized by the amazon algorithms.
Why does this brand perform better than all the rest?
As the category leader, 'Elmer's' is earning revenue that is 280% higher than the average revenue of the other top performing products in the space, which is significantly more--a signal that this brand has a strong position and good algorithmic performance. It's product rating of 4.8 is 1% higher than the category average. And with 23,752 reviews, it has earned 2.1% more reviews than the category average.
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What is the current 'Sellers Per Asin' trend?
The 'Sellers Per Asin' metric is a measure of competitive intensity. When this metric is high, competition for the Buy Box is fierce and brands struggle to capture all of the revenue for each converted sale. When this metric is low, this can be a flag that the category has barriers to competition or that it has not yet attracted attention from knock-off manufacturers and sellers. For the 'Scrapbooking & Stamping Supplies' category, the number of sellers per asin is higher than it has recently been. This is a signal that not only has the performance of this category brought attention to the space, but also that sourcing processes are now catching up. In order to maintain ownership of the Buy Box while still achieving profitability, brand owners should be very careful to avoid discounts over 15%, as well as distribution agreements which enable resellers.
What has caused the Average Reviews of the category leaders to evolve?
A product's review count is one of the most critical components of the E-commerce search algorithm. The recent change from 12,470 to 11,144, a change of -10.6%, is a flag that the category is somewhat moving towards lower, less intense competition and seasonal change.
Which brands are collectively earning $1M per month?
In the rapidly evolving E-commerce sector, the Top 10 products of a category achieving a collective one million dollar month is a milestone. It signals growing adoption and viability for consumers. This just happened within the 'Scrapbooking & Stamping Supplies' category, where the top 10 products collectively earned $4.3M
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In conclusion, the clustering of sales volume around these few high-volume price points is an accelerant for brands with products in those ranges, and an inhibitor for those brands which do not yet cover these critical price points, the recent high of the 'Competitors Per Buy Box' metric is a material flag for the brands in the 'Scrapbooking & Stamping Supplies' category. Those who wish to lead must improve their performance., the recent shift in review count is a call to action for those brands which are under-performing--specifically that a stronger focus on marketing and conversion is increasingly important in order to not be left behind, the milestone that the top 10 products have acheived is a signal that the category is growing. Brands which acheive category leadership positions now will acheive algorithm momentum, and will likely be able to ride the increasing wave of growth.