The most relevant factors to win Amazon Buy Box in 2020
Winning the Amazon Buy Box depends on several factors, and winning the box once doesn’t mean you’ll maintain that position.
Getting the Buy Box is usually referred to as “winning,” but a seller of a particular product doesn’t actually “win” that position 100% of the time — the seller wins only a share of the Buy Box for that product. For example, if you and another eligible, highly ranked seller both offer the same sweater for sale, you may each win 50% of the Amazon Buy Box. This means that your product will appear with the Buy Box only half the time.
These are the main factors which affect your chances of winning the Amazon Buy Box:
Landed Price
The landed price is the total amount an item sells for on Amazon, including its shipping cost. After fulfillment method, landed price is the most important factor in winning the Amazon Buy Box.
While a low price can make your product more competitive for the Buy Box, it’s not a guarantee that you’ll actually win it. When it comes to price’s impact on the Buy Box, it depends not only on how your price compares with your competitors’ prices but also on how your performance metrics compare.
For example, if you have higher performance metrics than your competitors, you can price your product higher than they do and still win your share of the Buy Box. However, if your competitors have better performance metrics than you, you’ll have to decrease your product’s price in order to maintain your share of the Buy Box.
Feedback Score
Seller feedback score is one of the major factors for winning the Buy Box. Amazon’s third-party seller rating system is one to five stars, with five being the best possible score.
Order Defect Rate
Order Defect Rate, or ODR, is a measure of the seller’s ability to provide good customer service. It encompasses all orders with one or more defects represented as a percentage of total orders during the past 60 days.
There are three types of ODR that Amazon measures:
- Negative feedback rate, which includes comments and ratings from your customers
- A-to-z Guarantee claim rate, which are claims made by consumers when their orders are unsatisfactory
- Credit card chargeback rate, which is the number of times a seller refunds customers’ orders
In order to sell on Amazon, you must maintain an ODR below 1%. Third-party sellers with an ODR greater than 1% may have their accounts deactivated.
Inventory Depth
Accurately maintaining inventory may have only a low impact on your chances of winning the Amazon Buy Box, but it’s still important. Frequent large fluctuations in inventory depth can negatively affect your chances. And while back-ordered items can win the box, Amazon’s algorithms favor sellers with consistently stocked inventory.
Customer Response Time
How long it takes you to respond to consumers’ questions and complaints also has a medium impact on a seller’s chances of winning the Buy Box.
Third-party sellers seeking to win a share of the Buy Box should aim to respond to all messages within 12 hours of receipt.
Source: business2comminity.com
