Let’s imagine you’re a child again, and your entrepreneurial spirit is ignited by the idea of a lemonade stand. With lemons, sugar, and cups ready, a crucial question arises: the perfect location.
You could choose Shady Lane, a deserted road where tumbleweeds thrive, or opt for the bustling Main Street, the heart of town.
Without hesitation, you grab your supplies and head downtown. Every seasoned lemonade entrepreneur understands the significance of location for sales, and the same principle applies to e-commerce.
In the realm of Amazon selling, the buy box is your Main Street. A multi-channel ecommerce strategy is an effective ecommerce strategy. Download our free guide to Google Shopping and start spreading your brand today!
What is the Amazon buy box?
The Amazon buy box is that prominent white box on the right side of a product details page, enticing shoppers to click “Add to Cart” or “Buy Now.”
If you’re the fortunate seller featured in the buy box, your product is the chosen one added to a shopper’s cart or purchased instantly.
Consider the buy box as the culmination of your e-commerce sales funnel, where your marketing efforts, from display ads to Facebook videos, transform into a satisfying click on that coveted button.
Why does the Amazon buy box matter?
Amazon hosts two types of sellers: Amazon itself and third-party sellers, also known as resellers, representing every other company on the platform.
When multiple third-party sellers offer the same product, they share a product details page, competing for the buy box. Each seller aspires to have their product selected when a consumer clicks “Add to Cart” or “Buy Now.”
And for good reason. Over 80% of desktop Amazon purchases are done via the buy box. This percentage is even higher for mobile purchases due to smaller screen sizes.
Imagine yourself as a potential customer. Would you go through the hassle of clicking a hyperlink to explore other sellers’ offers? Did you even notice such an option?
Most likely not. You probably clicked “Add to Cart” instinctively, just like everyone else. That’s the undeniable influence of the Amazon buy box.
Who qualifies for the Amazon buy box?
When you create an Amazon seller account, you choose between an Individual or a Professional plan. While the former is free, the latter costs $39.99/month but unlocks numerous benefits, including access to the coveted buy box. Individual sellers are excluded.
Moreover, your product must be new and readily available.
Amazon utilizes an algorithm to determine the buy box winner for a specific product. Due to its immense value, only a select group of sellers with stellar reputations and outstanding customer reviews stand a chance.
Think of it like Google’s organic search results, where the algorithm prioritizes the best search experience for users. Similarly, Amazon allocates buy box privileges to ensure the best purchasing experience for its customers.
Amazon is invested in showcasing high-quality sellers offering competitive prices. Granting the buy box to sellers with subpar products and mediocre reviews would lead to complaints and returns, something Amazon strives to avoid.
Rest assured, Amazon goes to great lengths to feature the best seller for each product in the buy box, and ideally, that seller is you.
What can I do to win the Amazon buy box?
Your quest to conquer the Amazon buy box mirrors the pursuit of top organic search rankings. Recognizing the presence of an algorithm means understanding the factors influencing it, which allows you to tailor your Amazon strategy accordingly. It’s time to optimize.
Buy box optimization tip #1: Create a Professional seller account.
As mentioned earlier, opting for a Professional seller account, despite the $39.99 monthly fee, is a fundamental prerequisite for buy box eligibility.
Just as your content needs indexing to appear in organic search results, you need a Professional seller account to compete for the buy box.
Buy box optimization tip #2: Use Fulfillment by Amazon (FBA).
Fulfillment by Amazon (FBA) is one of two order fulfillment methods available to Amazon sellers. While Fulfillment by Merchant (FBM) requires you to handle picking, packaging, and shipping for every order, FBA delegates these responsibilities to Amazon.
Amazon tends to favor FBA sellers for the buy box because it guarantees timely and flawless order deliveries. Choosing an FBM seller introduces an element of risk for Amazon, as any fulfillment hiccups could result in dissatisfied or lost customers.
Furthermore, FBA sellers qualify for Amazon Prime, which aligns with Amazon’s desire to showcase Prime-eligible sellers since Prime members expect two-day delivery.
Buy box optimization tip #3: Make your pricing competitive.
While Amazon doesn’t solely reward the lowest price with the buy box, listing your product at a price comparable to your competitors is crucial. Remember to consider the total price, including the sale price, shipping, and handling fees. Monitor your competitors’ prices and strive to stay within a reasonable range.
However, pricing isn’t solely about undercutting competitors. You must factor in production costs, employee wages, FBA fees, and other expenses. Sacrificing profitability to win the buy box by drastically undercutting competitors is not a sustainable strategy. Maintaining healthy margins should always take precedence.
Buy box optimization tip #4: Minimize your shipping time.
This tip is for our FBM sellers who choose to retain control over the fulfillment process, a decision we respect and often find justifiable.
However, this approach demands near-perfect execution. Swift order delivery is paramount. Again, this relates to Amazon’s brand identity as the e-commerce giant. Only FBM sellers who guarantee exceptionally fast shipping times will be considered worthy of the buy box.
Buy box optimization tip #5: Give your customers the best experience possible.
The golden rule of SEO—creating valuable content for people rather than search engines—applies here as well. No matter how well you optimize meta tags and image names, ultimately, the value your content provides to the reader reigns supreme. Without a focus on helping the reader, good organic search rankings will remain elusive.
Amazon sellers should adopt a similar mindset. While using FBA and offering fast shipping is beneficial, it doesn’t excuse high defect rates, poor customer service, and negative reviews.
Not great. Maintain a broader perspective. Is your product meeting industry standards? Are you incorporating customer feedback into product development? Do you go the extra mile to regain customer satisfaction after making mistakes?
Remember, Amazon’s reputation, crucial for its present and future e-commerce dominance, relies heavily on the quality of sellers featured in the buy box. A truly customer-centric approach is essential for winning. This involves crafting a seamless and satisfying shopping experience that leaves customers wanting nothing more.
In essence, your goal is to make Amazon look good.
Conclusion
Amazon is an exceptional (and increasingly vital) platform for e-commerce businesses. In the U.S., four out of every ten dollars spent online are spent on Amazon, with nearly two-thirds of American households subscribing to Amazon Prime. Last year’s holiday season saw CNBC reported that 45% of American shoppers planned to buy gifts online, and among them, 76% intended to use Amazon.
Clearly, Amazon is the place to be. However, merely having an Amazon seller account isn’t enough. To maximize returns, you need to optimize for the buy box.
Integrate these five tips into your strategy and watch your Amazon business flourish. Stay tuned to the nexus-security blog for more insightful Amazon and e-commerce content.