Crossing the Atlantic A Guide for UK Premium Brands Expanding into the U.S.
The U.S. is a highly lucrative, yet fiercely competitive market for premium brands. The American market offers incredible growth opportunities for premium brands from the UK, but not without some complexities. So, strategic planning is imperative for these brands trying to make their mark in the U.S. and this blog serves as your guide to do just that.
Step 1 - Understand the American Amazon Premium Consumer
Amazon in the U.S. is a well-developed, mature marketplace and is home to a diverse range of premium shoppers. The U.S. premium consumer increasingly prefers online shopping, and being able to pair premium service and quality products, with convenience and speedy delivery. From high-income urban millennials, to more rural Baby Boomers who rely on e-commerce, Amazon is an essential channel for all consumers.
Firstly, within the U.S. there are generational preferences that need to be taken into account. While e-commerce buyers are typically 25–54-year-olds (Millennials and Gen X), there is still growing adoption among Baby Boomers and Gen Z, particularly for fast shipping. Younger consumers value experiences and storytelling, while older demographics focus more on traditional luxury and premium attributes, like quality and craftsmanship highlights. Younger generations are also more likely to be influenced by others, such as content creators and celebrities.
Amazon's premium shoppers, often Prime members, have high expectations when shopping on the platform. They typically expect:
Fast Shipping and Easy Returns: Reliable shipping times are crucial, and delays can lead to consumer dissatisfaction. Straightforward return processes are also important for maintaining premium shopper trust.
High-Quality Products:premium shoppers expect products to meet or exceed their expectations based on descriptions and reviews.
Personalisation: Amazon’s Personalised Recommendations and dynamic product suggestions create tailored shopping experiences for premium shoppers, giving them what they will want.
Sustainability: Premium shoppers also value sustainable packaging and carbon-neutral delivery options.
Niche and Premium Options: For luxury or premium items, shoppers value curated selections, like those found in Amazon Luxury Stores, or a well thought out Brand Store.
Customer Service and Support: Quick resolution of issues, such as order errors or damaged items, is essential.
You can also find out more about Global shopping preferences in our “Purchase Behaviour Nuance in the U.S., EMEA and APAC” blog post.
Step 2 - Note the Biggest Challenges for UK Brands
Entering the U.S. presents various challenges for UK brands. The market is mature, with few large brands taking up the majority of the market share. Brand recognition is one of the biggest challenges a new entrant will face in the crowded marketplace. New UK brands must therefore focus on building awareness and credibility and effectively showcasing their story, products, and values to U.S. consumers. Differentiation is crucial in the face of competing with established U.S. brands.
The over-saturation of the marketplace requires a sharp focus on premium categories and unique offerings that can capture the attention of shoppers, especially for smaller, newer brands that could be overshadowed by larger, more established players. Highlighting British craftsmanship and heritage, for example, can be a powerful strategy to stand out, particularly in the premium segment.
Step 3 - Adapt to Cultural Differences and Purchasing Behaviors
UK brands must adapt their strategies to align with American cultural norms and preferences. American premium shoppers value convenience, quality, and aspirational lifestyles. They expect high-value products that align with their success and personal values. Additionally, premium shoppers seek niche, high-quality products that cater to their specific tastes, and they appreciate brands that create emotional connections through storytelling.
Localised messaging is key, with product listings and A+ Content tailored to reflect American values, such as aspirational lifestyles and a focus on convenience. Product presentation also plays an important role and leveraging Amazon’s Enhanced Brand Content (EBC) allows brands to showcase their offerings through high-quality images, engaging videos, and detailed descriptions that will resonate with American shoppers. For example, a UK-based premium skincare brand selling in the U.S. could create product listings that emphasise American values such as a healthy lifestyle, in highlighting ingredients sourced from nature in their visuals and descriptions.
Customer reviews and ratings carry significant weight in American purchasing decisions for premium goods, making it essential for brands to encourage reviews in post-purchase follow-ups. For example, A UK fashion brand selling in the U.S. should encourage satisfied customers to leave detailed reviews, particularly highlighting aspects like fit, quality, and design. This could significantly increase positive reviews and build trust with new customers, especially for higher-priced, lesser-known brands.
Regional and demographic nuances can also influence preferences and purchasing behaviors. Tailoring messaging or product offerings to specific regions can help brands connect with their target audiences more effectively. For example, a British premium pet brand should consider which generation they are marketing to. Younger generations prioritise storytelling in their messaging, whereas older generations value product quality highlights.
Sustainability is becoming a key factor for many U.S. consumers, particularly Millennials and Gen Z. Highlighting eco-friendly practices or certifications can provide a competitive edge. For example, A UK alcohol brand could appeal to environmentally conscious U.S. shoppers by showcasing their commitment to sustainability through Amazon listings, highlighting eco-friendly materials like recycled glass in their packaging.
UK brands should consider integrating their Amazon efforts with multi-channel marketing strategies, including social media and influencer campaigns, to amplify brand visibility and build trust with U.S. consumers. For example, A British beauty brand selling on Amazon could run targeted influencer campaigns on social media platforms like Instagram and TikTok, where influencers in the U.S. share content about the brand’s quality and lifestyle content on their products in use.
Step 4 - Create and Optimise your Ad Strategy
Carefully craft your strategy to best meet the American audience. This should look different to your UK strategy, as the market maturity, audience and competition differs.
Sponsored Products Ads
Localised Targeting: Tailor ads for each region’s language and shopping habits through keywords and content.
Product Focus: In emerging regions within the U.S., like smaller cities or rural areas, focus on your more affordable or essential products to build brand recognition and drive initial sales.
Product Targeting: Bid on similar products or competitor items as competition is fierce.
Campaign Refinement: Constantly review Search Term Reports to identify high-performing keywords and negate low-performing and irrelevant keywords to refine targeting.
Device-Specific Adjustments: Consider mobile-focused keywords and creatives, given the high mobile usage in the U.S. especially among younger shoppers.
Sponsored Brands Ads
Brand Awareness: Use Sponsored Brands Ads to increase visibility for your brand by displaying your logo and a custom headline.
Localised Messaging: Tailor headlines and creatives to reflect cultural values and regional preferences.
Creative Optimisation: A/B test headline variations and images to understand what works best in each market.
Product Selection: Choose products that represent your best-selling items or premium products in the region.
Sponsored Display Ads
Audience Targeting: Target customers based on their shopping behaviors, such as views or past purchases.
Product Targeting: Place ads for related or complementary products on competitors’ product pages or similar categories to increase visibility and potential conversions.
Creative Optimisation: Use dynamic creatives to adjust ads based on the region’s seasonality and trends.
Retargeting: Implement retargeting campaigns to convert customers who have interacted with your product but didn’t purchase e.g. during peak events.
Amazon Brand Stores
Custom Brand Stores: Create a localised Amazon Brand Store with region-specific banners, product listings, and categories that resonate with local preferences.
Cultural Sensitivity: Adapt the design of your Brand Store to U.S. aesthetics.
Optimise for Mobile: With the U.S. being a mobile-first country, make sure your Amazon Brand Store is optimised for mobile shopping with fast load times, intuitive navigation, and mobile-friendly visuals to capture consumers on their smartphones.
Regional Promotions: Use exclusive offers or seasonal deals within your Brand Store. For instance, run Black Friday or Labour Day sales promotions.
Successfully entering the U.S. market on Amazon requires a tailored approach that blends localised messaging, strategic ad targeting, and cultural sensitivity. Want to know more about how to succeed as a premium brand on Amazon? Get in touch with us at zeal@zealagency.co.uk or at www.zealagency.co.uk!
