How to Grow Conversion Rate on Amazon
February 23, 2019
Many sellers tie their success on Amazon to the amount of money they make. And they are right, as the conversion rate is a metric which tells how many people are ready to purchase your product. You can draw conclusions about whether you have specified your target audience correctly, whether your product is of high quality and whether people are happy with it. So, the conversion rate is one of the most important things to keep an eye on for eCommerce players.
For an accurate evaluation of your conversion rate, you have to know what influences your business, which pitfalls may be there and, of course, know what is conversion rate in general.
Find Your Conversion Rate on Amazon
To do this, you have to visit ‘Reports’ and go to ‘Business Reports’. Take a look at the traffic and actual sales. Your conversion rate can be found under the ‘Order Item Session Percentage’ row. This report groups all your goods together. If you need to see a report on the specific product, select ‘By ASIN’.
You may wonder how this formula works and how the conversion rate is calculated on Amazon. Everything is simple: the number of sales is divided by the number of people’s visits.
Evaluate Your Conversion Rate
While evaluating this rate, assess the profit you make and the number of shoppers who visit your listing. A high conversion rate and low profit tell you that something went wrong and needs to be changed. If you have a high conversion rate, but fewer visitors (for example, 4 visitors and 50% conversion rate give us only 2 sales), you need to think about improvements too. However, numbers can differ, and a 5% conversion rate from 2000 listing views means 100 items sold - not bad at all!
So, don’t get upset if your conversion rate is low (1-2-3%, etc), traffic defines everything and the results may be great.
How to Increase Conversion Rate on Amazon?
- Keyword Research
If we talk about traffic, keywords are a great tool for attracting more people to your product. We have valuable information about effective keyword research in this article. Don’t hesitate to try all these methods of looking for new keywords.
Also, check out this manual of using long tail keywords. Why not boost products’ visibility for new shoppers who are searching for your product?
- Optimizing Listing
We mean finding the best description, providing good-looking high-quality images, which make shoppers glued to your product and make them buy your item.
We already have a step-by-step guide on what and how can be optimized in Amazon listings. Grab these tips and use them on practice!
What’s more, sellers often use split-testing to find out whether the changes they have made are really effective. Keep working with different variables and soon, you’ll find the title, description, images and other things that will ideally work for your target audience.
- Compare Prices
Sometimes, the price is the origin of your problems. Research competitors’ prices and take a look at the situation on the market. Keep in mind that setting the cheapest price or the highest price cannot work, as they don’t mean high or low quality by default. Note, you can also conduct AB tests for the price, that can help you find the right balance between high and low price.
Take advantage of using discounts to boost sales and grow your conversion rates on Amazon. People enjoy buying discounted products.
- Amazon PPC Campaigns
Paid advertising helps boost the visibility of your products, so you get more sales. Your listing will be placed on the top of the screen in search results. However, this costs money, so you may decide whether you need starting a Pay per click campaign or not.
Among the advantages of PPC is boosting organic rankings as well. So, you see, this strategy is completely low-risk. You pay only for clicks of interested users who are likely to be converted into customers.
- External Marketing
You can send traffic to your Amazon listings from outer resources like social media, own website, third-party websites, discount sites, affiliates, and so on. Just make sure that your offer should be interesting to those who will see it and wait for clicks and conversions.
- Grow the Number of Positive Reviews
Though getting reviews (especially positive ones) has become very hard on Amazon, sellers don’t stop hoping for the best. There are still methods which help entrepreneurs ask customers to leave feedback without violating Amazon ToS.
We described everything in details in our ‘Emailing on Amazon’ mini-course. Visit this article and learn how to ask your customer for a review and not to be banned by Amazon.
And this article is helpful to those who would like to use an autoresponder to automate getting feedback from customers and provide shoppers with the best customer experience ever.