Selling on Amazon isn’t as easy as simply listing your products on the website. You need to optimize your listing and beat your competition. A big part of this is winning the buy box.
You may be surprised to learn that it’s possible for someone to click on your product, click “Buy Now” and purchase the item without you actually being credited with a sale. How did this happen and why didn’t you receive any money from this?
We’ll address this question, along with everything you need to know about how to get the buy box so you can build a profitable and successful Amazon business.
What is the Amazon Buy Box?
The Buy Box is the rectangle on the right side of the Amazon product page. The Buy Box can lead to the basket of different sellers, depending on who at the moment “wins” in terms of indicators. There, customers can click “Add to Cart” or “Buy Now.” Around 85% of all purchases on Amazon are made through the Buy Box.
Amazon uses a sophisticated algorithm to determine who has the buy box, and the winner constantly rotates based on a number of factors. This is why it’s so important to understand how the buy box works and what you need to do to gain control of it.
How Does the Buy Box Algorithm Work?
Here are all the factors that go into the formula:
- Price: While it’s not the sole determining factor, it’s arguably the most important one. More often than not, if you match or offer the lowest price you’ll likely be able to win the buy box. Keep in mind that the algorithm also accounts for your shipping price as well. It does not include sales tax.
- The Type of Seller Account You Have: Only those with a Professional Seller account are eligible for the buy box.
- Whether Your Product is New or Used: Only new products are eligible for the buy box.
- Fulfillment: Your ability to consistently fulfill orders quickly and efficiently also contributes. Using the FBA program gives you the best chance, as Amazon considers this the best way to fulfill and ship orders.
- Order Defect Rate (ODR): Amazon monitors your ODR rate over the last four months. In order to win the buy box you should try to keep it under 1%.
- Feedback: This includes how many positive reviews you receive and the total number of reviews you have. The more positive reviews you have the better.
- Inventory: If your stock becomes low Amazon will be unlikely to award you the buy box as they want to make sure you can fulfill all the orders you’ll receive.
The exact workings of the algorithm are unclear, but the above items have proven to play a part in it. So, make sure to stay on top of all these factors while managing your Amazon business.
How to Win the Buy Box
Now that you know how the buy box works it’s time to go over what you can do to beat out your competition and actually get control of it.
Here are some of the best ways to win the buy box:
- Use Fulfillment by Amazon
- Offer as low price as possible
- Build up your Seller Feedback
- Maintain stock availability
- Ship items quickly
- Choose the right products to sell
- Sell private label products
How to See Your Eligibility for the Buy Box
If you want to know if you’re eligible for the buy box you can do so in Amazon Seller Central.
Just follow these steps:
- Log in to your Seller Central account.
- Click on the “Inventory” tab.
- Select “Manage Inventory.”
- Click on the “Preferences” tab.
- Find the “Buy Box Eligible” field.
- Select “Show When Available.”
- Once this is enabled you’ll see a “Yes” appear under the Buy Box Eligible column for a SKU when it becomes eligible.
As you can see, winning the buy box is a critical part of becoming a successful Amazon seller. Luckily, there are plenty of things you can do to increase your chances of getting it.
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I hope you found this article helpful. Many Amazon sellers recently started trading stocks and crypto currencies, hoping to diversify their income, which is a very good idea with all the uncertainty which comes with the platform. For this reason, we launched a new Facebook group, Crypto Arbitrage Income (Bitcoin, Crypto, Altcoins, Blockchain, Trading) – feel free to join us and forget about the troubles of selling on Amazon for a moment!
Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome.
Additionally, here you can watch my YouTube video, where I am presenting you several secret tips about appealing Amazon Seller Account suspensions (don’t be confused by the opening of the video, where I am enjoying a vacation – it’s a part of the story):
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