How to Rank Your Keywords in the Top Search Results on Amazon
If you sell on Amazon, you know how crucial it is to understand the platform’s algorithm to maximize your visibility and sales. In this article, we will explore in detail how this algorithm works and how you can use it to your advantage to rank your keywords at the top of search results.
Why Are Keywords Essential on Amazon?
The Amazon algorithm is designed to maximize customer satisfaction by highlighting the most relevant and high-performing products for specific keywords. This means that your product may rank well for one keyword (e.g., “men’s running shoes”) but not for another (e.g., “lightweight sneakers”). The key to success is understanding how Amazon uses these keywords to rank products.
Where to Insert Your Keywords?
- Title: Start with the most important keywords to maximize your product’s attractiveness.
- Bullet Points: Use secondary keywords to highlight the benefits of your product.
- Description: Incorporate relevant keywords to improve your product’s visibility.
- Backend Keywords: These hidden keywords help capture misspelled or specific search queries.
SkyVision Tip: With a recent algorithm update, Amazon automatically integrates keywords via your sub-category. However, manually optimizing your product listing is still crucial to maximize conversions.
The Concept of Sales Velocity for Amazon Algorithm
Sales velocity is a key concept in understanding how Amazon ranks products. It is calculated based on four main factors:
- Number of Opportunities: Number of impressions multiplied by the click-through rate (CTR).
- Value of Opportunities: Revenue generated for Amazon through commissions.
- Win Ratio (Conversion Rate): Percentage of visitors who purchase your product.
- Sales Cycle Duration: The period over which sales are accumulated (1 day, 7 days, 28 days).
How to Maximize Sales Velocity?
- Optimize Your Keywords: The more relevant your keywords, the more impressions you will get.
- Improve Your Click-Through Rate (CTR): An attractive main image, a clear title, good reviews, and a competitive price are essential.
- Increase Your Conversion Rate: Use high-quality photos, explanatory videos, detailed descriptions, and positive reviews to convince buyers.
- Avoid Stockouts: A consistent flow of sales is crucial to maintaining a good ranking.
Key Factors of the Amazon Algorithm
1. Number of Opportunities
The number of opportunities is calculated by multiplying the number of impressions by the click-through rate. The more visible and attractive your product is, the more sales opportunities you will generate.
SkyVision Advice: Invest in advertising campaigns to increase your impressions, but make sure your product listing is optimized to maximize click-through rates.
2. Value of Opportunities
Amazon prioritizes products that generate the highest commissions. For example, a product sold for $39.90 with a 0% return rate is more valuable than a product sold for $19.90 with a 20% return rate.
SkyVision Tip: Minimize product returns to increase the value of opportunities in Amazon’s eyes.
3. Win Ratio (Conversion Rate)
Amazon favors products with high conversion rates. The average conversion rate on Amazon is about 10%. Use A/B testing techniques to optimize your listing and exceed this rate.
SkyVision Advice: Add-to-cart actions and purchases from external traffic sources (Google, Facebook, TikTok) have a greater impact on Amazon’s algorithm.
4. Sales Cycle Duration
Amazon evaluates sales over short periods (1 day, 7 days, 28 days). Maintaining a consistent flow of sales is essential to keeping a strong ranking.
SkyVision Tip: Avoid stockouts to maintain a constant flow of sales and maximize your Best Seller Rank (BSR).
The Impact of Advertising on Amazon Ranking
Amazon Ads is a powerful tool to increase visibility and improve organic ranking. The more sales you generate through advertising on certain keywords, the more Amazon associates your product with those terms, strengthening your organic positioning.
SkyVision Advice: Advertising and organic ranking work in synergy. Investing in ad campaigns can help you naturally climb the search results.
Conclusion
Understanding the Amazon algorithm is essential for maximizing your visibility and sales on the platform. By optimizing your keywords, increasing your sales velocity, and strategically using advertising, you can improve your ranking and achieve your business goals.
SkyVision, your Amazon Ads specialist agency, is here to guide you through this process. Contact us for a free audit and discover how we can help you master the Amazon algorithm.
FAQ
Q1: How does Amazon handle misspelled keywords?
Amazon uses backend keywords to capture misspelled searches. For example, if a customer searches for “shoose” instead of “shoes,” your product can still appear in the results if you have included this variation in your backend keywords.
Q2: Do add-to-cart actions influence product ranking?
Yes, add-to-cart actions are taken into account by the Amazon algorithm. They indicate strong customer interest in your product, which can improve your ranking even before a purchase is completed.
Q3: How does Amazon value sellers who drive external traffic?
Amazon favors sellers who generate external traffic (via Google, Facebook, etc.) as it broadens the platform’s audience. Sales from these sources carry more weight in the algorithm, which can boost your ranking.
Additional Resources
- Why is Amazon a Better Alternative to Your Website?
- Why Selling on Amazon? Our 5 Key Reasons
- How to Set Up Profitable Amazon Advertising Campaigns
- Discover the Essential Budget for Amazon Ads and How to Allocate It
- Amazon DSP : How to Integrate it into a Brand Strategy
- Amazon vs. Google Ads: A Comprehensive 2024 Comparison
- Amazon Attribution: The Ultimate Guide to Tracking and Optimizing Your Ads
- Secrets to Creating a High-Converting Amazon Store
- How to Optimize Your Amazon Ads: The 5 Mistakes to Avoid
- The 10 Most Frequently Asked Questions About Amazon Ads
If this article was helpful, feel free to share it and follow us on social media for more Amazon advertising insights. For personalized support, contact SkyVision today!
