What is the most important thing about Amazon? That is the Buy Box (also known as the Golden Shopping Cart). If you want to sell well, the difference between having a buy box and not having it is a world of difference. Basically, most buyers are too lazy to look at other sellers' products below, unless the price is very low, but you also know that in the past two years, many junk accounts have harmed the Chinese people. The prices are ridiculously low, and then they don't ship the goods to make a profit from the Amazon payment difference, or they just send an empty package. Although Amazon has been changing its payment strategy and will only pay the seller after the buyer receives the goods without a bad review, it actually brings great inconvenience to the sellers, especially the threshold for novice sellers is getting higher and higher. There is no way. There is always a group of people who make money against their conscience. As long as there is a hole, our Chinese people will drill everywhere, which is worse than loaches.
Did you know that 82% of all Amazon sales occur through the “Buy Box”? So if you’re not in the buy box, your chances of making a sale are slim. ''
What is the Amazon Buy Box?
There are two types of sellers on Amazon: Amazon and third-party sellers.
For most items, buyers will have multiple purchasing options. When the buyer selects “Add to Cart,” the seller who has the “buy box” at that moment (i.e. the buy box winner takes his turn, but more on that later) gets to make the all-important sale.
Amazon’s net sales have grown steadily over the past decade, reaching nearly $136 billion in 2016, with more than $111 billion of sales coming through the “Buy Box” WOW! (Source: Statista).
So with an estimated 82% of Amazon sales (and more for mobile sales), the winner of the Buy & Sell Box is critical for sellers to know how the Buy & Sell Box works and what they can do to win their share.
Amazon Buy Box Algorithm
The Buy Box algorithm starts by analyzing every offer from all sellers for a product. Each offer is then evaluated based on seller history, price, and a host of other variables (more on that later).
After conducting the analysis, Amazon awards the Buy Box to the best purchase option expected by its customers.
Amazon no longer awards the Buy Box to one seller, but instead rotates the timing of obtaining the Buy Box among multiple sellers.
Buy Box Factors
While Amazon doesn’t reveal the specific performance metrics for the Buy Box, we can reveal a list of the most likely factors that Amazon believes are largely important.
Of all these factors, providing an exceptional customer experience is the best way to win the Buy Box.
The way goods are delivered is very important
Shipping is probably the most important variable Amazon considers.
Fulfillment can now be done in three ways: FBA (Fulfillment by Amazon), FBM (Fulfilled by Merchant), or Seller Fulfilled Prime (SFP).
Amazon gives FBA perfect scores on a variety of variables, including shipping methods, on-time delivery, and inventory depth. This makes it less likely that a merchant will beat out an FBA seller.
However, in 2015, Amazon launched Seller Satisfaction Prime, which allows FBM sellers to reach Amazon Prime members without holding inventory in Amazon fulfillment centers. This is especially interesting for sellers of heavy goods, as they can save on shipping costs.
Sellers – Sellers on Fulfilled Prime will have a better chance of winning the Buy Box than FBA sellers. Sellers looking to enroll in the Seller Completed Prime program must have strong performance metrics and a proven track record of meeting customer expectations.
Price is very important
Amazon has two kinds of prices, the price you list your item for and the land price (UK and EU only) which includes shipping and VAT. Be sure to consider these questions when pricing your products.
A common misconception is that the seller with the lowest price thinks they will win the Buy Box. While a lower price will increase your chances of winning the Buy Box, it’s only one criterion, albeit an important one.
If your seller performance is higher than your competitors for a certain product, you can raise your prices and also gain your share of the Buy Box.
