One of the best ways to get the competitive edge as a third-party merchant on Amazon is to win the Buy Box. But what is the Buy Box and how do you win it?
We’ll walk you through everything you need to know about this valuable virtual real estate and why it matters for you as a seller.
What is the Amazon Buy Box?
When a customer is purchasing a product directly on Amazon.com, they usually do so by clicking on the Buy Box. The Buy Box is the white space at the top right side of a product page where customers can select how many items they’d like and add those items to their cart. According to Feedvisor, 80% of Amazon’s website sales happen through the Buy Box, and that number goes even higher when you factor in mobile sales.
What makes the Buy Box so valuable to sellers is that, whenever a buyer goes to purchase an item they’re interested in, the name of the highest ranked merchant selling that product is featured in the box. If you win the coveted position of highest ranked merchant for a product and your seller account ends up in the Buy Box, you’ll make more in sales for that particular product than any other merchant on Amazon’s platform because customers will be directed to buy it directly through you.
You can see how winning the Buy Box gives you a huge advantage as a seller, but how on earth do you win it?
How Buy Box winners are chosen
The merchants who are chosen for the Buy Box are determined by a number of factors. In some ways, this makes winning it somewhat complex. According to Amazing Marketer, the formula that determines which merchants hit the Buy Box threshold changes between different categories, and Amazon’s performance metrics can change also. It’s tricky to know exactly which standards Amazon judges seller performance by for every item.
Ultimately, the most consistent determining factor is which merchant provides the best customer service experience and the most value for their customers. This is evaluated by looking at high seller performance, best prices, low return rate, and best shipping standards, and then stacking each element of a merchant’s performance against the performance of other merchants. The basic demands for Buy Box eligibility are that you are a professional seller, the aforementioned metrics of your account are healthy, and you have a sufficient volume of orders.
As one example, if you’ve been on Amazon longer than another company, have a five-star rating compared to their four-star rating, and sell your products at lower prices, you’re more likely to beat them in the bid for the Buy Box because you’ve established yourself as a reliable seller with attractive prices.
How to win the Buy Box
Following the best practices of any business in the online marketplace is the best way to give your storefront a competitive bid for the Buy Box. Think about what would entice a customer to buy from you over any other competitor and then create a shopping experience that meets those needs.
Some things you can do include:
- Marking down your products to sale prices that are attractive to customers
- Maintaining accurate inventory so items are in stock for buyers
- Shipping your items quickly and on time, making sure they are well-packaged
- Increasing your customer service response time
- Processing refunds more quickly
Doing those things that make your seller performance metrics healthier can help you become eligible for the Buy Box, and once you’ve won the Buy Box, your business can increase its sales and its exposure on Amazon.
If you want to learn more about the Amazon Buy Box and how you can increase your sales on Amazon.com, contact Pattern today.