What is the Amazon Featured Offer?
The Amazon shop routinely develops new cool features to help all participants meet one another needs and expectations. Well, there is hardly anything surprising about that, because Amazon remains the world leader in online commerce. One amazing thing that platform managers have invented is 'Featured Offer'. It exhibits some similarities with the 'Buy Box' feature.
How do you claim the offer?
Previously, we have already shown how to obtain 'Buy Box'. However, for novices, here are some most useful hints to help you get started.
Advice. Qualify for requirements.
First of all, you must be registered as an Amazon salesperson. You are welcome to launch an individual or professional account. To get started we recommend choosing a personal account first. Then, when you collect enough successful sales, you will easily proceed to a professional account.
Advice. Increase in everyday sales.
Once you got the seller account and your store is on-the-go, the seller needs to increase the number of sales. Amazon does not share the specific requirements that you must meet. Based on your averaged performance, the algorithms determine if you are ready to work with the increased flow of orders. Your account must exhibit consistent sales for 30 and more days. This is the first good sign for the platform.
Advice. Care about your selling record.
We have already written about the most popular seller figures to monitor. Here is a summary of them.
- Product rating. Your products shall be displayed on the first page of the customer search results.
- The overall rating must exceed 90%. You are expected to maintain good ratings in all key parameters and avoid unsatisfied customer experience.
- Inventory efficiency. This parameter ranges from 0 to 1000. The algorithm constantly monitors the size of your inventory. The out-of-stock cases are also accounted for.
- Interest in the goods. This is analogous to the conversion rate. The program divides the number of sold goods by the number of all recorded visits. A good parameter equals to about 12% for most website categories.
- Defective orders. This metric combines indicators contributing to the overall grade. To consider an order defective, the following buyers' actions are required:
- Negative feedback (either one or two stars);
- Refund or warranty claim from A to Z.
- The defect percentage shall be kept less than 1% at all times.
- Orders closed. The marketplace hosts millions of merchants which may be retailers just like you or huge wholesalers. Therefore, we cannot publish the exact number that would suit everyone to succeed. Instead, look at the number of units purchased from you recently, during different time frames. That way, you will be able to understand the sustainability and development of your activity.
- Performance parameter. The Amazon company is often praised for its perfect orientation towards customer convenience. It expects merchants to deliver the highest quality of service. It means the following: the defect percentage is to be below 1%, the cancellation percentage is never below 2.5%, the late delivery rate must not exceed 4%.
Advice. Never go out of stock.
If you do not have goods in stock, you will never receive the 'Recommended Offer' button, irrespective of any other positive metrics. Even if an item is in stock, the delivery time must meet expectations. If you have too few units left, no button will be offered.
Advice. Mind the delivery quality.
'Amazon Prime' means fast delivery. Subscribing to it is the simplest route to the coveted button. Refusing that option does not harm you directly, though it will certainly make endeavor harder.
Advice. Maintain competitive prices.
The term 'competitive' is ill-defined. The demand to supply ratio is essential in this context. As an available stock decreases, a merchant may choose to raise the price for competitiveness. However, if the price is higher than the average one, getting the button will be challenging.
Maintaining the lowest price is not normally the best idea. Many buyers interpret the lowest prices as the worst quality. This prejudice plays against the shop. Consequently, you will get smaller traffic and worse visibility in the search results. Things must be balanced to ultimately succeed in selling. Be smart and use an automatic price adjustment instead.
Why is 'Featured Offer' different?
We have already shared essential details about the advantages of the A/B Split Test. Amazon implemented the same thing on their platform. Particularly, it keeps all search elements constant and records differences.
As stated at the beginning of this article, the featured offer is similar to 'Buy Box' in many aspects. You see the 'Add to Cart' and 'Buy' buttons on the website. These functionalities will allow buyers to efficiently speed up the billing process. In addition to the 'Add to Cart' button, there exists a 'Buy Now' button. It is intended for making instant purchases. You can quickly retrieve information about prices, delivery (such as return eligibility and corresponding conditions), availability, etc.
Conclusions and considerations
The algorithm that works for the 'Recommended Offer' button is fairly enigmatic for everyone. Nevertheless, we managed to successfully deduct an approximate formula. We believe that competitive prices in your merchant account remain a major factor. The robot scans different selling platforms to get an adequate average price and compare it to yours.
To simplify your endeavor, use Repricer.Online to set things up. Then, you will manage the rest. We offer you a 15-day trial. Everyone can use it just after registration, at any moment. You get enough time to assess what effect a robust revaluation has on your selling performance.