Sellers must focus on several metrics to gauge Amazon conversion rates. These are one of the most important metrics that all brands must track.
Conversion rates show that you’re not only attracting visitors to your Amazon listings, but those visitors are also taking action. If your conversion rates on Amazon are high, this means your product listings are compelling, and you optimize them well for Amazon SEO and PPC.
The average Amazon conversion rate is 9.87%, so sellers should aim to get their conversions to this rate or higher.
What if you notice your conversion rates are lacking? Here’s how to increase your Amazon conversion rates.
The conversion rate shows the percentage of visitors who buy a product or become regular customers within a certain time period. You can apply conversion rates to organic and paid marketing strategies on Amazon, since both tactics attract new and existing customers to your listings.
The average Amazon conversion rate hovers around 10%. However, this rate may also be different for every industry and product category.
Even if your conversion rates are low, it’s never too late to apply different strategies that will convert your audience into paying customers. The key is to know what will make them take action. But first, you should know how to measure conversion rates.
The formula for conversion rates is super simple. Find the number of impressions and divide it by the sales you received for that time period. You can do this for individual listings and your Amazon seller conversion rates.
While you should measure conversion rates continuously, how often you measure them depends on your strategy. If you’re unsure of the frequency, start by measuring them monthly.
When creating a strategy to improve your Amazon conversion rates, you should think like your customers and wonder what will draw them into your listings. You can do this by using the Amazon Insights Program.
In the meantime, here are a few strategies to get you started on conversion rate optimization.
Product content entails writing excellent descriptions and using high-quality media to attract customers. All sellers should aim to produce A+ content, which is quality content that communicates what customers need to know about your products.
Some tips to produce A+ content include:
The price of your products is enough to determine whether or not a customer will buy your item. However, pricing can be a challenge for sellers. You want to make prices affordable for consumers while making your bottom line and setting fair distribution prices.
How do you price your items while still making your ROI? The key is finding a balance. Always look at your profit margins and see how flexible they are.
You can set your regular prices at the highest in your margin while hosting regular discounts to temporarily decrease prices. This will help boost sales while staying within your profit margin.
A common pricing strategy is setting prices slightly below the competition, especially after performing a competitor analysis. This strategy may not be as effective as you may think, since some consumers focus on value as much as finding a cost-effective item.
Optimizing your listings for SEO is one of the biggest factors in increasing your visibility so more Amazon users will find your products.
There are many tactics involved with Amazon SEO, such as keyword research and optimization, creating high-quality content, and crafting metadata that coincides with Amazon’s ranking factors.
All of these tactics will result in more clicks, making it likelier that you will increase Amazon conversion rates.
The Frequently Bought With section is a place on Amazon where their algorithms will recommend other products to purchase with an item. It works as a recommendation engine that inspires customers to purchase more products.
The Frequently Bought With section helps with scaling your sales so stores receive more revenue and growth. While sellers can’t fully control the Frequently Bought With section, there are ways that store owners can make the selection process easier for the Amazon algorithm.
You can start by looking at your catalog and finding products that are perfect for cross-promotion. For example, if you sell body lotion in different fragrances, mention the other scent options in your description and link to them.
You can also run a promotion where customers receive a discount for buying a similar product. This is perfect for two items commonly used together, such as discounted toothpaste when customers buy a toothbrush.
You can also host a buy one, get one free deal. This is perfect if you sell shampoo; the customer can receive the corresponding conditioner for free.
The key to maintaining consistently high Amazon conversion rates is nurturing your relationship with customers. One of the most effective methods is by sending email follow-ups.
After a customer purchases a product and if they opt-in to receive emails, send them a follow-up and ask them to share their experiences with your product.
While you don’t want to bombard your customers, you want to show you care about their feedback. In your message, inform them that you’re open to their thoughts and questions, and you can encourage them to leave a review on your Amazon page.
Many sellers also take this as an opportunity to inform customers of future discounts and promotions.
Customer reviews are one of the most integral ranking factors for Amazon. Excellent reviews improve your reputation, and Amazon will rank your products higher than the competition.
While asking for reviews is fine (as long as there’s no incentive), sellers will want to prioritize high-quality products and a seamless ordering and shipping process, and offer exceptional customer service to ensure you’ll receive four and five-star reviews.
While SEO is an effective strategy, it can take months to see results. If your store needs quick results and has the money to spend, PPC can increase your Amazon conversion rates.
With PPC, you invest in keywords and only pay when a customer clicks on your listings. Your listings will appear over organic results, holding a prime spot in the SERPs.
Remember that your results will have a “Sponsored” tag, so your customers will know they’re ads. Still, this can improve visibility and sales.
Stores should also promote their Amazon listings on other platforms, notably their website and social media.
Your purchase-ready audience likely follows your website and social media channels, so promoting your listings will incentivize them to buy from your store.
This is a simple way to increase Amazon conversion rates. In addition, this strategy will also retarget audience members who previously interacted with your Amazon page.
Seller promotions are an effective way to increase Amazon conversion rates. They encourage customers to make a purchase sooner than they originally planned.
Certain promotions, such as buy one get one half off, will encourage customers to purchase a product they didn’t initially intend to. This will entice consumers to buy not only a product but also more items, initiating certain algorithms such as Frequently Bought Together.
Conversion rate is one of the most important metrics for an eCommerce brand. When you increase your Amazon conversion rates, you’ll know your listings are gaining more visibility and your visitors are becoming customers.
While these strategies are an effective way to increase conversion rates, you may need more help. Our agency can help you craft a full strategy on Amazon to improve your advertising and marketing, increasing your store’s reach.
Click here to learn more about our services.
Stephanie Jensen has been writing e-commerce content for seven years, and her copy has helped numerous stores rank on Amazon. Follow her on LinkedIn for more insight into freelance writing and creating high-quality content.
Julia Valdez is a professional teacher and long-time lover of the art of words on paper and the stage. She has an entrepreneurial heart and spends most of her time doing marketing and management, freelance content writing, volunteer work, and sharing lots of laughs over little crazy things.