What Is Amazon Basics?

Comparing products to find a sweeter, cheaper deal is something that we’ve all done at least once in our lives… Okay, several times.

Regardless, whether you’re having an internal debate between breakfast cereals in the middle of your local grocery store, or you are struggling to choose between iPhone cables from the comfort of your own bed, making decisions about your purchases can be hard and very time-consuming!

And, with the importance of e-commerce becoming more apparent each day, it’s no surprise that many online retail giants are seeking new and innovative ways to gain more custom. Amazon is no exception.

With Amazon Basics, its own budget-friendly brand, it becomes quicker and easier for you, the consumer, to find your favorite essential items without the added worry of a hefty price tag. Granted, this service may only save you a couple of dollars, but saved money is great money! 

Unfortunately, there are many issues that could arise with this type of comparative shopping. Is Amazon Basics too good to be true? Will you really be able to save money with this service? How does it work?

Well, we have some of the answers you’re looking for! Take a glimpse into the future of e-commerce with us by exploring what Amazon Basics is and how it stands out.

What Is Amazon Basics?

Established in 2009, Amazon Basics is a private-label brand belonging to the Amazon company, offering a slew of your favorite everyday items at a bargain price.

Amazon doesn’t actually make the products, but instead purchases them from large manufacturers. After quality checks, these products then have the Amazon Basics label and packaging put on them. 

In its initial launch, the Amazon Basics website was used to primarily sell small and mostly inexpensive products that the retail giant knew would generate a large amount of revenue.

Now, though prices are kept on the lower end of the price range for savvy and budget-friendly shopping, there is a much larger selection of products available for you to look at and buy!

How Does It Work?

It aims to clear out the online shelves by offering products at much cheaper rates than their in-store retail counterparts.

Typically, Amazon Basics works by drawing in consumers for repeated business. One customer may purchase a particular product and then head back to Amazon Basics to replace it as and when they need to.

This is known as ‘repeat purchase behavior’ and is usually a way for the company to analyze the spending habits of its customers, and the effectiveness of its marketing strategies. 

Over the last decade, the varied range of basic everyday essential items available for purchase has grown exponentially. Instead of being limited to smaller household essentials, you can now purchase furniture for your home and a new suitcase on Amazon Basics if you want to!

Most importantly, it’s a great solution if you’re seeking something at a lower price. With so many budget-friendly products on offer each day, it’s steadily growing popularity comes as no surprise. 

What Can You Buy On Amazon Basics?

You can purchase thousands of products on Amazon Basics. According to its current home page, these are the most sought after categories right now:

Amazon Basics Product Selection 

Some advertised products on Amazon Basics may seem too good to be true, but the vast majority of the offers are trustworthy and reliably sourced – so there’s no need to doubt the service being provided.

Simply put: when Amazon sees a successful product climbing the ranks, they’re most likely going to consider making a Basics version!

The first thing you need to know is that Amazon Basics tend to only partner up with suppliers who meet supply chain standards.

If they do, these suppliers will then undergo specific vetting by Amazon themselves to ensure that they will be providing a high quality and high service product for the customers. Typically, this includes hosting quality and manufacturing audits, which help to identify any and all key issues. 

Secondly, by carrying out further analysis into data collected from other sellers over the years, Amazon has the means to find out exactly what kind of essential items their audience will want. This helps to identify whether there is a gap in the market for a particular product.

If so, then Amazon Basics can fulfil the blank space by seeking a relevant supplier and then beginning the process of producing their item.

Finally, by carefully and precisely narrowing down this list, the final, publicized Amazon Basics range is straight-to-the-point and carries only what has been deemed ‘essential.’

Product Safety

It is important to note that Amazon Basics products all feature additional safety measures that are put in place prior to any product being incorporated into the range.

Prior to launching a new product, the Amazon Basics team research the technical standards, safety requirements and further identify any problems or issues that may arise with any one product.

Not only does this help to maintain the high standards of the company, but it also ensures the quality of the product. They truly leave no stone unturned!

How Does Amazon Basics Affect Amazon Sellers?

Yes, it’s clear that Amazon Basics is great for budget-conscious shoppers, but it can provide a very large challenge for current Amazon sellers. Amazon Basics currently offers products in over 14 main categories.

So, if you’re selling a product that comes under any of these, you are most likely going to be put into direct competition with the Basics version of your item. 

While many customers are thrilled about the price cuts of Amazon Basics products, a large amount of its success comes at the unfortunate expense of individual Amazon sellers.

Typically, this service sells a product at a lower price than their competitors, cutting into your profits. If the Amazon Basics item is cheaper, it’ll make it twice as hard to get customers to solely purchase your product. 

Best Seller Labels

Another key thing to consider is the “Best Seller” sticker that is usually given to high performing products in a specific category.

It helps Amazon Basics to gain the trust of its customers by directing them toward the most sought after version of a specific product. Typically, this drives sales and increases demand for the item. 

In some cases, the ‘Amazon Choice’ tag is also important because it pushes the listing to the top of search results. It is also the first choice given to shoppers using Alexa to shop.

This method of shopping allows brands to attract a loyal customer base, which is vital for Amazon sellers. However, if your customers don’t mention your shop or brand by name, they won’t be able to specifically order it on their Alexa device. 

Overall, as this service continues to experience significant growth, it’s likely to continue to replace sellers who aren’t equipped enough to compete with its sheer volume of sales.

How Can Sellers Remain Relevant?

Though it may seem impossible, there are several ways that individual Amazon sellers can remain relevant when in direct competition with Amazon Basics. Below, we have highlighted some of the simplest methods:

Offer Something Different

Your product needs to offer something unique to attract a loyal, niche audience. Amazon Basics most likely has the bare bones of your product, so you need to make it stand out. This will also make the search for your item much simpler. 

Optimize Your Keywords

Keep your product descriptions and titles short and snappy. Amazon is a product search engine, so you need to optimize keywords to drive sales to your store!

Surprise Your Customers

Implement surprise discounts and deals within your store to keep your customers interested. You could even add in a gift as an incentive to maintain business! Just remember, there’s nothing wrong with loving a good bargain. We’re all human, after all!

Follow The Guidelines

Most importantly, ensure that your product listings follow all of Amazon’s requirements to a T. This includes abiding by image restriction requirements, policies on product safety and compliance, and excluding inappropriate content and personal details from your listing. 

Key Summary

Much like Amazon itself, Amazon Basics will continue to upkeep its reputation in the public eye for years to come. It is a safe, reliable and affordable shopping experience that provides you with what you need for a fraction of the usual cost.

Yes, the rising popularity of the services adds a lot of extra pressure to individual sellers, but there are ways and means of combatting this.