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 is the Amazon BuyBox?
Every business that sells through Amazon wants to claim the BuyBox. The Amazon BuyBox is the shopping cart field that potential buyers can use to put the goods they want in the shopping cart, or the “Buy Now” button that can be used to place an order directly. A dealer is preselected by the system for both buttons.
What are the advantages of the BuyBox winner?
Winning the Amazon BuyBox is of immense importance for the companies. Statistically, 9 out of 10 customers buy from the preselected company. The other competitors who also sell the desired product are listed below, but usually receive little or no attention from customers. This effect is amplified when searchers are on the go with their smartphones. The BuyBox is displayed directly below the product photos in the mobile view. All other providers, on the other hand, are only visible with a lot of scrolling.
In addition, as a BuyBox winner, you can access valuable marketing and branding measures, as well as PPC campaigns and promotions provided by Amazon.
What criteria does Amazon use to decide who sells their product through the Amazon BuyBox?
The exact criteria for how retailers win the BuyBox are of course a well-kept Amazon secret. Nevertheless, there are some important factors that are known to play a decisive role in BuyBox profit:
The price
Probably the most important criterion for awarding the BuyBox is the price. That is only logical, after all, it plays an elementary role in the decision for or against a product on the consumer side. This is also the reason, for example, why price search engines are so important for product research in e-commerce – they give interested parties a good overview of the offers with little effort.
By the way: The price also includes the shipping costs, which can be a powerful tool when it comes to the BuyBox allocation. Those who can deliver on particularly good terms are preselected by the system much more often. Since Amazon itself has a very good logistics network, companies that use FBA also have good chances of getting the BuyBox.
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The availability
Availability also plays an important role in the award. As far as delivery times are concerned, Amazon customers are used to maximum convenience: the fact that they only have the desired item in their own hands 24 hours after ordering is increasingly becoming a hygiene factor. Consequently, products that are not available at the time of the search have almost no chance of being listed in the Amazon BuyBox.
Customer satisfaction
One of the most important factors in getting that coveted spot 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.
The customer status
Believe it or not, it actually makes a difference who is looking at your products. For example, if you offer free 1-day shipping to Prime customers, it’s likely to have a big impact on your BuyBox quota within that customer group. Since this service is of no interest to those without a Prime subscription, it may happen that another provider wins the BuyBox.
Reading tip: We did the test and got to the bottom of the award in our BuyBox experiment – with exciting results!
Tips & tricks to increase your BuyBox quota
#1 Plan your inventory carefully
Your products should be available at all times. So plan your inventory generously by always having important items in stock. Amazon only considers items with current inventory.
#2 Avoid unnecessary returns and cancellations
“Customer is king”, nowhere is this more true than at Amazon. The chances of getting the BuyBox are therefore far lower for unreliable retailers than for those who process their orders smoothly and offer optimal customer service. You should therefore reduce your return rate and give your customers a support option.
#3 Communicate extended delivery times clearly
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.
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.
Conclusion
For ecommerce businesses selling on Amazon, the Amazon BuyBox is something of a holy grail for long-term success. Anyone who has it has a good chance of ending up in the shopping cart, while everyone else usually goes unseen.
Exactly which criteria are responsible for the award is and remains a secret of the e-commerce giant, but there are still a number of adjustment screws with which you can noticeably increase your BuyBox quota. SnapTrade will help you!
Frequently asked questions about the Amazon BuyBox
What is the Amazon BuyBox?
The Amazon BuyBox consists of two buttons, the “Add to Cart” and “Buy Now” buttons. For both, a dealer is preselected by the system. Statistics show that 9 out of 10 sales are awarded to BuyBox winners.
How to win the Amazon BuyBox?
How exactly the BuyBox is assigned is a well-kept secret by Amazon. However, there are some criteria that companies can use to increase their chances of ending up in the Amazon BuyBox. We have explained in detail what these are in our blog.
Is it possible to sell without a BuyBox?
Yes, only the chance of being seen is significantly lower. Only about 10 percent of all sales are made by the companies that do not own the Amazon BuyBox. For this reason, a high BuyBox quota is the basis for long-term success on the Amazon marketplace.