Amazon Buy Box - Why it Matters and How to Win it
Amazon has been continuously expanding its online market, giving online sellers a massive opportunity to reach millions of customers. To seize this opportunity, sellers must focus on having an efficient business operation process and making sure their websites and marketing campaigns are mobile-optimized. They should also make sure that they have a strong brand identity on the platform so that it’s easier for customers to seek them out.
To generate higher sales on Amazon, it is important for sellers to understand the Amazon Buy Box and how it functions. Sellers who have a higher probability of winning the Buy Box have better conversion rates. In this blog, we will outline the factors affecting the Buy Box and what you can do to increase your chances of winning it.
What is a Buy Box?
Amazon's customer-centric philosophy is captured in its Buy Box's design. Amazon wants the product that provides the most value to its customers to win Buy Box share.
When a shopper is ready to purchase an item, they typically click the “Buy Now” or “Add To Cart” button in the top right corner of the Buy Box detail page. Amazon selects winning sellers based on certain metrics, including feedback score and pricing. Some of the additional criteria Amazon uses include the seller's inventory levels, condition of products listed, shipping cost and speed to customer, order defect rate (ODR), account health, and other performance metrics.
Unless a seller is competing with multiple high-performing sellers for a Buy Box share, the seller will end up making more sales than their competitors.
Amazon's Buy Box has been the object of heavy competition among sellers for some time and is a deciding factor in new customer acquisition. Being the owner of this Box means increased sales and higher customer ratings. The ability to win it directly impacts sales and thus, requires thoughtful evaluation. So, what factors affect the Buy Box share?
Am I eligible for Buy Box?
To be considered for the Buy Box rotation, a seller must meet four minimum criteria:
Be registered as a professional seller. Sellers with basic accounts are not eligible.
Sellers can check their eligibility for the Buy Box on their Amazon Seller Central. Sellers who have a top-performing record can be eligible for Buy Box.
You must sell brand-new items on the platform. Used items are not eligible for regular Buy Box.
Inventory - You must have a stock of your listed item. It will simply rotate to another seller if you do not.
How do I check if my product is eligible for Buy Box?
A seller being eligible for Buy Box is one thing, but the product should also be eligible for the Buy Box status as not all products sold on Amazon are eligible for it. To check whether your product is eligible for Buy Box, follow these simple steps:
First, make sure that you as a seller are eligible for Buy Box (see above criteria).
Second, go to the 'Manage Inventory' page on your Seller Central Account. Click on 'Preferences'.
Select Buy Box Eligible, and save changes.
You can now see the Buy Box status of each of your SKUs in the ‘Buy Box Eligible’ column.
What factors affect my Buy Box winning chances?
Factors affecting the Buy Box allocation:
Competitive Selling Price - Lower the prices, higher your winning the Buy Box.
Fulfillment Method of the Seller - FBA and SFP have an edge over other methods.
Positive Feedback and Ratings of the Seller - Higher the number of positive reviews, better the chances of winning the Buy Box
Order Defect Rate - You’re at risk of losing your selling privileges if your Order Defect Rate is 1% or higher. ODR is evaluated on negative feedback, chargebacks, and A-Z claims over a specific period of time.
On-Time Delivery Record - The delivery needs to be made when it was promised, or it could lead to poor reviews and fewer chances of winning the Buy Box.
Average Customer Response Time - Amazon requires sellers to respond within 24 hours; a delayed response could lead to the loss of Buy Box.
Inventory and Sales Volume - Having a low stock leads to not being promoted by Amazon.
Cancellation and Refund Rate - Sellers with refunds and cancellation rates over 2.5% often don't win the Buy Box.
Return Dissatisfaction Rate (RDR) - Prompt responses to complaints about the product or delivery can reduce the RDR and increase the Buy Box chances.
The Cymax Group Advantage
A one-trick strategy is not sufficient to beat the Buy Box; you must track and improve upon a complex web of metrics. To secure a spot in the Buy Box, you have to be an Amazon top-performing seller, provide flawless customer service, and understand pricing. At Cymax Group Technologies, we help our clients amplify their business on Amazon by providing them with a higher probability of winning the buy box.
Cymax - Top-rated 3P seller on Amazon
With close to two decades of eCommerce experience, we are one of the top-rated 3P sellers on Amazon with a proven track record. We have the technology and expertise to get your listing in front of the right audiences. Our expert team is constantly improving and optimizing your listings to ensure the best possible conversion rates for your products. With deep knowledge of marketing, branding, and selling on Amazon, we help you increase your probability of winning the Buy Box and increasing your sales.
AI & ML-powered Dynamic Pricing Engine
Our AI-enabled Dynamic Pricing engine is designed for businesses of all sizes and uses machine learning to price more than 500k products across major marketplaces in real-time. Our intelligent algorithms consider various factors, including product cost and competitive pricing dynamics, to determine the best value for your products. The result is smarter pricing and a higher probability of beating your competition at winning the Buy Box.
Fulfillment
Our proprietary shipping platform, Freight Club, helps you fulfill your orders on time with a higher customer satisfaction rate. It is the only end-to-end freight shipping platform that manages everything from quoting and booking to complete claims management and secondary insurance protection, with zero monthly cost. As part of Cymax Group Technologies, the leading eCommerce technology, and services provider, we offer exclusive access to enterprise rates from one of the largest selections of residential shipping providers in the United States. This means you have the advantage of discounted rates for big and bulky items and freight shipments that are less than 15,000 pounds.
Customer Service
With our customer service team, you can be confident that your customer's experience will be positive. We manage customer support for multiple eCommerce businesses like yours, and our extensive experience allows us to provide professional, high-quality interactions with your customers no matter the level of assistance required, resulting in high-quality customer satisfaction.
With Cymax Group, selling on marketplaces couldn’t be any easier. Book a free consultation with us today and learn how to boost your Amazon sales.