If you want to sell successfully on Amazon, then Amazon SEO is certainly not a new word to you. But you need to know that more visibility is not the only thing that counts on Amazon. Conversion rates are a big deal if you want to rank high on Amazon search results. Remember that Amazon SEO gets visitors to view your Amazon product’s page, and conversion rate turns visitors into buyers.
In this article we will be talking about Amazon conversion rates, what they are, how they work and what you can do to improve them. Sounds good? Let’s start…
Start by determining your Amazon conversion rate:
Before searching for methods to increase your Amazon conversion rate, you need to determine your current conversion rate first, in order to measure the impact of your optimization efforts.
What is the conversion rate?
Conversion rate means the percentage of users who take a desired action.
If you are an Amazon seller, your desired action would be people buying your products.
Your average conversion rate is calculated by dividing the number of sales (Total order items) by the number of times people visited your Amazon listing, including return visitors (Sessions) to get a percentage which is your conversion rate.
You can calculate your conversion rate on Amazon by following this formula:
Conversion rate (CR) = Total order items / sessions.
In a way, Amazon conversion rates tell you how many of your page visits turn to buyers and actually earn you money. The average Amazon conversion rate aim between 10% and 15%. So for example if your product’s conversion rate is significantly lower than 10 % , Amazon will rank it lower than a product that has a conversion rate of 25%. That’s why conversion rate is one of the most important ranking factors for Amazon.
For example: X and Y are selling the same product. X has a conversion rate of 20% and Y of only 2%. Now Amazon will rank X higher than Y because his product’s listing sales more and that means more profit for Amazon.
Conversion rates also tell you when you have room for improvement on your product listings. If you’re below 10% conversion rate for your product listings, then you have a big room for improvement. If you’re between 10% and 15%, you are about average and if you’re above 20% then you are doing great!
Now where can you get your Amazon conversion rates data for your product listings?
The Business report section in seller central lets you monitor your overall sales product performance, traffic and conversion rates. To access from seller central home page hoover over reports and click business reports.
Top 10 Tips to increase your Amazon conversion rate:
Before starting remember that the customer is afraid of making the wrong decision. Anything that reduces the fear will increase the conversion rate and accordingly your sales.
1. Images in your product listing:
The customer doesn’t have the opportunity to touch the product, turn it around or examine it. The only visual interface to the customer is the images. So any image that helps the shoppers loses uncertainty and fear of buying, is a good image.
That’s why bad images = bad conversion rate
When you use photography and imagery in your product listings, you need to have different product image types.
- The first one of course is the image with the white background, this is your main gallery image. This is the image that will capture customers as they’re flicking through all the other products, so make sure that this image shows off your product and its full quality.
- The second type is an infographic, which highlights the main features of your product.
- The next and third type is a lifestyle photo, or Instagram photo. So you want to have a picture of someone using you product in real life. For example, if you are selling a beach towel, have a picture on the beach with someone using the towel.
- The fourth and last type is specification image, showing the specifications of your product.
Of course when it comes to images, more is better. Your main Image is the most important but also use the remaining 7 image spots to give good images that show off your product in a good light.
Video is also very important for your Amazon listing and they will improve your conversion rate drastically specially given the fact that a lot of Amazon products don’t have videos in their listings, so this will give you the opportunity to be ahead of the competitors.
Optimize your keywords in your product title, product description and bullet points. It is an important conversion factor on Amazon seller. Keywords must be relevant to your product, so that people will end up buying.
If you use irrelevant keywords the buyers will realize that your product isn’t the one they want and won’t buy it of course. Or even worse, they will buy the item and then return it, sadly that will cost you a lot.
Know your target group and speak their language. If you as a salesperson belong to the target group yourself, perfect. If not, no problem – then get to know your target group and their world.
If you have the opportunity to use A+ content or Enhanced Brand Content, do it. Anything that makes the customer feel good about your sales page has a chance of increasing conversion rates.
Buyers simply like what others like…
The general rule is that, once you exceed 10 reviews you will notice a big change in your conversion rates. And when you exceed 100 reviews you will see another big boost. But once you get to a 1,000 or 10,000 and more, it doesn’t really matter as much. And of course, the higher review ratings that you have, the better your conversion rate will be. Below 4 stars is a conversion killer, above 4,5 – 5 is great. You should aim to keep your product reviews above an average of 4 stars and you should have a minimum of 10 product reviews on each of your product listings. If you don’t have any of these, then work hard towards getting them.
As a seller, you have no direct control over the ratings. Even if the product is flawless and delivers everything you promise, there will always be negative reviews. Dissatisfaction does not always have something to do with the product. Sometimes it’s the shipping, misconceptions, exaggerated expectations and some people just can’t be satisfied. You can’t do anything about that, but you can react to it. You always have the possibility to comment publicly on a review. This does not change the rating, but it shows other visitors that you as a seller care about your customers’ complaints. This can increase CR because it increases trust.
When commenting, of course, always remain friendly (it is never the customer’s fault) and offer solutions. If no solution is possible, apologize for the inconvenience caused. Even if the reviewer never reads the comment, other customers will.
4. Amazon badges:
Get different Amazon badges like for example: Amazon’s choice, Best seller and Amazon Prime …
The most important badge is the Amazon’ choice badge, you can only get it if you are one of the best sellers in you category or the best seller in a specific keyword. Amazon prime is also very essential when competing with other sellers on Amazon. Some Prime members only buy from seller with an Amazon Prime badge. So getting some or all of those badges will boost you conversions massively.
5. Amazon FBA:
FBA is the abbreviation for: ” Fulfillment by Amazon”. Sellers who are listed on Amazon and offer goods and services can either send them to the customer themselves or use this Amazon shipping service.
Advantages of Amazon FBA:
One of the main advantages is that Amazon prepares and ships the orders independently. Returns are handled just as independently. In other words, the FBA seller hands over his logistics into Amazon’s hands.
Other advantages are that you can start selling on Amazon immediately, regardless of size of your business. In addition, FBA sellers benefit from better listing and can offer their products on all EU marketplaces. This means that the chance of gaining new customers is high.
If you are not FBA enabled on your listings, it’s hard to be competitive on Amazon, and it’s a conversion killer. Nobody wants to wait 7 days to get their product from you, they want it the next day or in 2 days, that’s why you need to be FBA enabled.
6. Amazon Advertising:
Amazon Advertising (Amazon Ads) is a service that works in a similar way to pay-per-click ads on Google (PPC) which means that sellers only pay when shoppers click on the ads.
One of the most common types of Amazon ads is Sponsored products. Sponsored products not only increase your visibility, but they also provide insights into customers’ search behavior. Ad reports give you the opportunity to understand your customers more. By analyzing the ad reports of your campaigns, you can see which search terms or keywords prospects are used to find your product. You will find that not all keywords perform equally well. Three indicators of the quality of a keyword are the click-through rate (CTR), sales and, of course, the conversion rate. Keywords that obviously cover the same search intent can nevertheless perform differently.
For example, “jacket rainproof” could have a CR of 1.5% but “jacket weatherproof” converts at 4%. This indicates that the term “weatherproof” is more important than “rainproof” for people interested in the product. The goal is to identify the keywords that have a high CTR, and thus attract visitors, convert well and turn prospects into buyers. These keywords can then be integrated into the listing (title, bullets, description) as a test.
Sometimes a seller must consider reducing the prices, even if the cut to the margin hurts, one should consider that this action might increase the CR. A high average conversion rate is also useful for Amazon ranking and for building up reviews. Reaching for the price should not be the first adjusting tool in conversion rate optimization, but it is definitely worth an experiment.
Always keep an eye out on your competitors, see how they’re priced and adjust accordingly. Don’t be the most expensive or the cheapest, try to be somewhere in between. So constantly monitor the pricing of your products in comparison to your top competitors.
8.Create an E-mail sequence follow-up:
Create an E-mail sequence follow-up to your customers after they receive your product, this will send out E-mails to your customers when they have purchased your product on Amazon. You can give a slit discount on your other products to bring these customers back to test your other products. Remember that these customers will be high quality customers because they will have already seen your product and have one of them in hand, so they know the quality of your product. This traffic will convert a lot better than regular traffic that comes off the search engines.
9.Add your product to the (Frequently purchased with) section of your other product listings:
This is really simple to do, just have 2 or 3 customers purchase your products together, then Amazon will start showing it in this section after your other products listing. Why is this important for your conversation rate? Because when you send traffic through, from one listing to the other it’s higher quality of traffic and will convert better than just traffic of the search engine that doesn’t know anything about your other products.
10. Offering different variations:
Offer different variations to your product. You usually don’t want to do this in E-commerce, you don’t want to give your customer too much choice because when a customer has to make a decision they usually get indecisive and can’t make any decision concerning the purchase. But on Amazon it’s different because on Amazon they have any amount of products to choose from, whereas if you give them different variations such as different colors and sizes, if you have products suitable for them, then they will choose yours.
For example, if someone’s looking for a black mobile phone cover and they land on your listing but you only sell red mobile phone covers, then they will jump off and purchase a black one from someone else. Whereas if you sell a black, a yellow and a red covers then they will have three different variations to choose from and they won’t need to go to someone else’s listing in order to purchase the color that they wish to purchase from your type of product.
Also don’t forget that improving the quality of your product is something that will drastically improve your conversion rate of your product listing. You have to make your product stand out from all the rest, make it different in some way or ideally better. Maybe in a different size, color or adding more variations as discussed before. This will really help your conversion rate at the end of the day.
Hopefully with these 10 tips you can improve you conversion rate. Make sure to test these one by one so you can see which one has the biggest impact on your conversion rate. That way you could get the very best results and ultimately get more sales and more cash flow on your business by maximizing the traffic that you’re already getting on your listing. And remember that anything that increases trust in the product and the seller also increases the conversion rate.
onehundred.digital – your online marketing agency in Berlin – is happy to assist you with questions about Amazon SEO or search engine optimization!
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