8 Ways to Improve your Amazon Conversion Rate
As an Amazon seller, you have to be keenly aware of various metrics and analytics that measure your success. It’s no secret that business is largely about crunching the numbers, and owning an Amazon business is no different. In this article, we’re focusing on one of the most important metrics that you should measure and optimize – the conversion rate. We’re going to give you our best tips for increasing your conversion rate, and having more success going forward.
Table of Contents
- What is a Conversion Rate?
- Tips to Improve Conversion Rate
- Going Forward
What is a Conversion Rate?
Before we get started, let’s explain conversion rate. Conversion rate is basically the percentage of people who visit your store or product page that actually buy something. As you can imagine, driving this percentage up will result in more sales.
A conversion rate is calculated as “Orders/Page Views.” So basically, what percentage of people who view your online e-commerce store are actually buying something? It’s in your benefit to drive this up for sales reasons, but also because Amazon’s algorithm will view you more favorably and drive more internal traffic. Amazon sales are more effective when there’s quality products being promoted on their site, so the algorithm will favor you in search results. So if you have a high conversion rate, it means consumers like what you are offering, which will lead to your page showing up in even more search results.
Is My Conversion Rate Any Good?
Generally speaking, a good conversion rate on Amazon is above 10%, but it depends pretty heavily on multiple factors. Certain industries and certain types of products will see higher conversion rates due to the nature of what they are selling. You are best to focus on your own conversion rate and compare it to other products within your niche.
That being said, you always want to focus on ways to improve your conversion rate, and that’s what we’re getting into next.
Tips to Improve Conversion Rate
In this section, we’re giving you proven tips for raising your conversion rate. Of course, every store is different, so you will have to personalize each approach to your product offering. This is why we’ve kept our tips general and broad, so that they remain applicable to all sellers. These are proven tips, and following this advice should increase your conversion rate going forward!
1. Update Product Photos
First thing’s first, one of the easiest ways to improve your conversion rate is by raising the quality of your product photos. Photos are one of the best representations that a customer has of your product. It’s one of the primary ways that they learn about your offering, and decide whether it’s worth buying. If the photos are more attractive, then your offering is more attractive.
For a good photo, you want crisp, high quality images with white backgrounds. The focus should be primarily on your product offering. Include pictures of all angles, so that your customer gets a full outlay of what your product entails. Some Amazon sellers include pictures which have labels stating product features, dimensions, and more.
Product photographs are often the first thing that a customer considers. They are the make or break part of your listing. If you have unattractive photos, customers might exit right there. They won’t go on to read your product descriptions or bullet points, and they won’t go on to make a purchase.
2. Update Your Product’s Description
Next up, having a solid product description will go a long way in convincing people that your product is worth buying. Of course, the description will differ based on the product you are selling, but there is some general advice that is applicable to any seller.
First, you have to focus on communicating the benefits of your product. The most effective way to make someone want something is to make them understand why that product would be so useful to them. Focus on the target market for your product, and find out what they are looking for in a product. Then, clearly state how your product offers these features, and how their lives would be improved with your product.
Another thing to focus on in a product description is adding relevant keywords. Keywords are special words within your product description which trigger a search result to pull up your listing. If your listing contains certain words, then Amazon will know to return your product when a customer searches for those words. The best advice is to think of how a customer might search for a product like yours, and then incorporate those words in your product description. Additionally, a lot of third-party software offers keyword tools to help you find the right words.
3. Utilize A/B Testing
A/B testing is an effective way to test whether your listing is effective. An A/B test is when you run two subsequent “tests” of a product listing. Basically, you list two near-identical product listings, and change ONE factor. For example, you could run two listings, where the main picture is different. Then, you run the listings and see which one performs better. In this case, you would monitor which listing had a higher conversion rate.
This allows you to isolate which variable is more effective in converting customers. You can then run subsequent A/B tests by changing different variables, in order to optimize your page overall.
With A/B testing, you want to be sure that you get a large enough sample size to make the results worthwhile. Make sure that you run the test for many page visits, so that you can get a clear picture of which variable has performed better.
4. Contact Buyers Throughout and After
Another tip for optimizing conversions is to stay in regular contact with customers. There are a few reasons for this, and a few ways in which you can keep in touch.
Firstly, you need to be constantly monitoring your product comments and reviews. Use this comment section as an opportunity to answer any questions, thank anyone for using your product, or respond to concerns or negative reviews. Basically, you want to stay in regular contact. This shows customers (and potential customers) that you care about them, and care about their customer experience. It also gives you a chance to clarify any issues, and further point out the benefits of your product.
Following up with customers is also a key metric to success, and can encourage return customers. Many Amazon sellers send follow-up emails after each purchase using dedicated feedback and autoresponder software. Not only does this make customers feel appreciated, but it keeps you on top of their mind, and even promotes future sales. You can even include discount codes to further incentivize another purchase.
Overall, it’s just about maintaining contact wherever possible. You should never turn down an opportunity to engage with a customer in a positive way. People appreciate a business that cares about their customer satisfaction levels, and this is an easy way to show that you can do that.
5. Competitive Pricing
This may seem like an obvious one but it’s no less important. In fact, it might be one of the most important points on our list. In order to sell more products, you need to price competitively. One of the main ways that customers shop is by price, so your listings need to remain competitive with other listings within your niche.
You need to be looking at your competitor’s product pages, and you need to settle on a price that competes. This means to price within the same range as your successful competitors.
It’s important to pick a price that is similar to your comparable competitors. Don’t try to undercut them too much. It cuts into your margins, and competing on price is a battle that a small company can never win. You simply want to remain in the same range, and optimize your page in other ways for success.
6. Optimize Your Listing for SEO
Traditional SEO is another very valuable tool for drawing traffic to your Amazon listing. SEO is Search Engine Optimization. Essentially, what you are doing is optimizing your website so that you show up near the top of search engine results (mainly Google). Because most people find anything online through Google, showing up near the top of a Google result will drive much more traffic to your product listing.
Optimizing SEO could be an entire area of consideration on its own. It is a massive area of marketing, and we won’t have time to run you through SEO optimization in this article alone.
Basically, SEO is all about creating a product listing that is relevant to what a customer searches online. Google wants to return the best possible results. You need to build your product listing in order to be most relevant to what you think customers are typing into a Google search engine. List the benefits of your product, and focus on keywords (as we explained above).
There are various third party tools that also help you to optimize SEO.
7. Remember: Stay Active off Amazon Itself
Of course, Amazon is just one website! There are many other ways to promote a business online, and many other ways to draw traffic to your listing. A great way to draw more traffic and increase conversions is to stay active with your marketing efforts on websites that aren’t Amazon!
There are so many other ways to market a business online. Some popular methods include starting a blog, building a YouTube channel, starting an Instagram or Facebook page, and much more. Essentially, you’re just looking for a method that is capable of reaching your target consumers, and drawing traffic to your site.
For example, if you have a product that is involved with household cleaning, you could start a how-to blog. Blogs are a great way to generate traffic if you build them correctly. The idea is that your blog will attract readers who are interested in household cleaning, and your article will provide links to your Amazon listing, which will hopefully convert to sales. As you can see, the important part is ensuring that all of your marketing efforts are directed towards the target customers of your Amazon products. It’s a great way to cast a wide net and attract customers from all over the Internet.
8. Use Amazon Advertising
Finally, a great way to increase conversions is to advertise on Amazon itself. Amazon has pretty powerful advertising capabilities. You’re able to narrow down who you want your ads to reach, as well as the content of your ads. If you do it correctly, you’ll have an ad that reaches your target customers (based on age, interests, etc.), and one that provides the proper incentives for them to click on your ad and visit your listing.
Of course, advertising costs money. The idea is to monitor your return on investment, so that you are making more money off additional product sales than you are spending on ads. This is where you tie it all together. A well-crafted ad will bring people to your listing, where all of the optimizations will make them more likely to convert. It’s not only about bringing more people to your listing, but also having them convert once they get there.
Optimizing advertising is another area that we could write an entire article about. Much in the way you are optimizing your listing for more conversions, you should be optimizing your Amazon ads for more click-throughs. This means having a relevant ad that reaches the people who would be interested in your offering.
As you can see, we’ve given you a lot to consider in this article. Maximizing conversions is such a broad goal that there are a lot of ways to reach it. In the end, you’re really just trying to drive interested buyers to your page, and providing them with the incentive to purchase your product. That’s all it is. So although there are many ways to reach this goal, it’s important you maintain focus on this aspect.
Try the methods above and see what works for you. We kept our advice broad, so that each method can be adapted to each individual product offering. We are confident that by tailoring this advice to your own product offering, you will see your conversions rise!