The Profitero Blog

The impact of Amazon badges on traffic and conversion

Written by Sandy Skrovan | Nov 1, 2018 12:00:16 PM

Scroll through any Amazon search results page and you’re bound to see products with the “Amazon’s Choice” and “Best Seller” badges.

How do these badges influence shoppers and why should every brand seek to win them?

Using Profitero’s new Amazon Traffic & Conversion Analytics, we cut to the heart of this mystery to determine just what impact Amazon badges can have on product performance, specifically on traffic and conversion rates.

Amazon badges boost traffic & conversion

Here’s what we learned studying 37,000 products on Amazon — both with and without the Amazon’s Choice and Best Seller badges:

  • Amazon’s Choice and Best Seller badges have a major impact on a product’s traffic and conversion. In short, they are both highly desirable badges to win.
  • Amazon’s Choice has a higher impact on conversion rate, a 25% increase on average, especially on those products with a high number of daily glance views (i.e., the number of views a product page receives).
  • Best Seller has a greater impact on traffic, increasing a product’s glance views by an average of 45%.

So what does this mean? What actionable insights can you take away from this analysis?

1. Add Amazon badges to your KPI list

You should be tracking the presence of Amazon’s Choice and Best Seller badges across your portfolio as a key leading indicator of success. They matter… big time! Moreover, you should seek to win Amazon badges. Amazon’s Choice badges are especially important since we know it is one of the main factors driving Alexa product recommendations via voice shopping.

2. Maximize your Amazon Advertising spend

Using Traffic & Conversion analytics can help you maximize your Amazon Advertising and promotions ROI, allowing you to focus your spend on the highest-converting products with low traffic. For example, according to our Amazon badges research, products with Amazon’s Choice badges should get a higher proportion of Amazon Advertising dollars to try and boost glance views, given the higher conversion rates relative to traffic. Conversely, spending ad dollars on products with Best Seller badges may be throwing money to the wind since they already benefit from high traffic rates.

3. Understand the drivers behind Amazon badges

In future research, we’ll examine what specifically causes a product to get the Amazon’s Choice badge. So, stay tuned. But for now, it’s reasonable to assume that it’s some combination of being in stock, being priced right and offering great content and reviews (which would drive up conversion rates). It’s important to prioritize your key focus products on Amazon and get cracking on making them as strong as possible across each of these dimensions.

 

Routinely monitoring glance views and conversion rates for all your Amazon products — in combination with sales & share and digital shelf metrics — can help you gain deep diagnostic insights to optimize your Amazon Flywheel and more precisely isolate factors powering your sales performance.

To learn more about Profitero’s Amazon Traffic & Conversion Analytics, visit www.profitero.com/trafficandconversion