In 1994, Jeff Bezos launched Amazon with a singular idea: to deliver a superior customer experience through lower prices due to a low-cost structure. In addition to attracting more consumers, this strategy would create a loyal consumer base who return to the website to make more purchases. As more sellers join the website, the range of products will expand. This, in turn, will lead to faster company expansion.

Bezos illustrated this vision in his now-famous napkin sketch.

 

How has this napkin strategy worked out? The Alexa rankings put Amazon as the world’s tenth most visited website, with over 6.5 million daily visitors. 

The absence of profit taking from Bezos’ napkin sketch is one major missing item. What this tactic illustrates, and most analysts misunderstand, is that reinvesting profits into the company strengthens the brand.

Amazon’s strategy alignment

Once sellers comprehend Amazon’s approach, they can comprehend Amazon’s choices. You want Amazon to be strict about monitoring the market. It would not be beneficial for consumers if the market lacked standards. It’s those standards that assist sellers. Having a compelling and optimized listing will lead to more sales. The product will rise in the rankings when sales are up, resulting in a better placement. More sales follow, resulting in a higher ranking and improved placement. This process repeats itself.

Amazon relies on quality scores just as much as Google does. Unlike Google, there is no stated grade, but we know the components that affect your listings.

Amazon’s algorithm looks on your listing for these things: 

• Between 6 and 10 high-quality photographs. 
• The product title, which varies depending on the category, should be between 50 and 250 characters long. 
• The brand should be strong. 
• Optimized bullet points are essential. Shoppers don’t purchase features; they buy benefits. State the features and describe the advantages in the product description, which should contain at least 1,000 characters. 
• Provide Amazon with additional details on a listing in the user’s account in the backend. Include backend keywords, target market, use, and other characteristics.

Amazon ranks products based on these fields when a user searches for something. Your seller performance is also important in determining your Amazon rankings. Poor performance ratings—poor reviews and frequent out-of-stock items, for instance—will negatively affect your rankings.

 

Seller feedback score

The following elements influence an Amazon seller’s feedback rating.

• Conversion Rate
  • The better the conversion rate, the more suitable the product is. It is calculated as (Items Ordered) / (Sessions). 
• Product Review
  • A product with a lower than 3.6 average rating is not eligible for lightning deals or other advertising.
• Sales Velocity
  • Sales quantity is calculated by the number of units sold. Inventory and fulfillment refer to keeping goods in stock and delivering them quickly. 
• Historical Sales
  • Consistent sales over time. 

The Discovery Process 

It’s crucial to understand that contrary to Google; Amazon is a search engine to find products, whereas Google is a search engine mainly to answer questions. 

According to Amazon, 57% of consumers know what they want before purchasing, 14% buy things to replenish what they have used, and 29% look for new items. This amounts to 29% of 6.5 million daily visitors who are looking for new items.

It is critical to note that ‘Sponsored Products Related To This Item’ ads can help consumers locate your products. This ad is triggered by keywords linked to that listing. Thus, knowing your competitors’ keyword sets and who your competitors are is vital to driving sales through Sponsored Products ads.

The correlation between off-Amazon marketing and on-Amazon success is direct. Driving traffic from social media and Amazon affiliate sites is always a good idea because Amazon tracks the amount of traffic a product receives to measure its popularity.

Conclusion

The secret recipe to succeed on Amazon is a matter of a few crucial ingredients. The most vital step is understanding your customers and presenting your product in a way that will meet their needs and address their questions and concerns. 

Amazon shoppers know what they want, so they are rarely discovering, hence why presenting your product under the right keywords increases your visibility and conversion rate. 

A properly built product detail page, accurate keywords and ad placement go a long way. 

 

Not sure how to build a successful detail page and increase visibility, don’t hesitate to contact the BellaVix Team. 

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