The Amazon BuyBox explained in a simple and understandable way
It is considered the main criterion for successfully selling a product on Amazon. It decides which seller links his product to the button. We’re talking about that Amazon BuyBox . According to industry estimates, the winner of the BuyBox scores 9 out of 10 orders. The goal of every retailer should therefore be to be able to offer as many products as possible in the Amazon BuyBox. We’ll tell you what advantages the space in the BuyBox offers and how you can win the BuyBox for yourself.
What advantages does the BuyBox winner actually have?
While all other sellers, who are only listed on a separate list and hardly have a chance to prevail against the BuyBox winner, the winner manages to win around 90% of the sales. In addition to valuable branding and marketing measures, the winner can use PPC campaigns and promotions provided by Amazon. If users surf with their smartphone and decide to click on a product, the “Add to cart” button is located directly below the product image, which gives the BuyBox winner a clear advantage on the go.
But what criteria does Amazon use to decide which retailer sells its product through the Amazon BuyBox?
The exact criteria by which retailers win the BuyBox are of course a well-kept Amazon secret. Still, there are a few important factors that are known to play an important role in BuyBox profit:
- The internet giant focuses on increasing sales. More sales mean more sales for Amazon: The reason why the lowest price is often rewarded with the BuyBox. So while competitors should be monitored around the clock, don’t forget to compare your price with the price in the BuyBox.
You too can increase your BuyBox quota without much effort! Our BuyBox-MAX strategy determines the optimal price and ensures that the BuyBox is won.
If a desired article is no longer available, this usually upsets the customer. But it shouldn’t stay that way, because Amazon itself doesn’t mean sold out products either. Some tips and tricks so that neither the user nor the platform complains:
- Your products should be available and deliverable at all times. So plan your inventory generously by always having important items in stock. Amazon only considers items with current inventory.
- In order to keep the rate of cancellations as low as possible, you should keep an eye on your inventory at all times. This will avoid negative customer experiences and a minus point in the competition for a place in the BuyBox.
- If you decide to take a vacation, you should use the vacation function. This means that your customers do not have to wait uncertainly for your order and know exactly when they can expect your goods.
One of the most important factors to get the coveted place in the BuyBox is customer satisfaction. This is measured by Amazon using many different criteria. The status can be changed at any time in Amazon Seller Central being checked. Important key figures for measuring customer satisfaction are:
- Perfect Order Percentage (POP): percentage of all orders with smooth order processing.
- Order Defect Rate (ODR): Percentage of all orders with negative customer feedback, an AZ guarantee claim or a credit card chargeback.
- Pre-fulfillment cancellation rate: Rate of orders that are canceled before shipping – an indicator of poor inventory management.
- Late Ship Rate: Customers expect fast shipping within 2-3 working days.
- Percentage of orders refunded: An increased rate of credits is also an indicator of poor inventory management.