Selling on Amazon is undeniably an incredible opportunity for entrepreneurs and even existing e-commerce brands. Getting approved and setting up a product page on Amazon is one challenge, but the real difficult task comes when you are trying to drive sales.
There are plenty of tactics, including paid advertising, that can get traffic to your product listing. Improving the conversion rate, and getting people to hit that “buy” button is arguably the biggest challenge. Even fractionally improving your conversion rate could make a huge difference to sales.
When you hear that there are over one million active sellers in the US on Amazon alone, you might fear that the competition is simply too vast. Actually, when you delve further into the numbers you will see that fewer sellers have made a success of their venture. Some have never even made a sale.
So, how can you get to the upper tiers of sellers and ensure that your products are converting and that your business is growing? Let’s dive into some tactics.
It’s not the most complex of sums to work out the conversion rate. It’s just the percentage of people who visit the product page and go on to make a purchase.
So, what makes a good conversion rate?
According to ecomcrew.com, “The average conversion rate for Amazon listings is 10 to 15 percent.”
However, we see a huge jump in certain product categories, and there are factors that impact conversion rates, including:
As well as being important for increasing your return from each product you sell, the conversion rate is one of the aspects that Amazon uses when calculating where they rank your product on internal searches. Conversion rate and “sales velocity” make up some of the most important aspects of the algorithm. Of course, if you can reach the top of Amazon’s searches in your industry, your sales are likely to increase.
What can brands do to increase their conversion rate? We explore both the common sense, “why didn’t I think of that?” solutions, and some of the more advanced techniques for driving sales.