Freshly, Amazon sellers have begun to notice a very exotic phenomenon in the world of the Amazon marketplace: on certain occasions, two offers from different shops can both secure the Buy Box. This intriguing development has sparked our curiosity, leading us to research extensively.
Yet, that’s not the most surprising thing in the Amazon world for now. Recently, this e-commerce giant has introduced a very exciting option allowing two sellers to win the Buy Box simultaneously. Sounds intriguing, doesn’t it?
Well, in this article, we’ll dive deeper into what the Buy Box actually is, what factors influenced winning Buy Boxes by multiple sellers in the recent past, and what’s in store for now.
What’s The Amazon Buy Box (now Featured Offer)?
Amazon Buy Box is a separate block in the right corner of the website. It enables buyers to purchase directly from your product page using prominent yellow or orange buttons.
According to recent data from Statista, an overwhelming 85% of purchases on Amazon were attributed to the influence of the Buy Box in 2022. Remarkable, isn’t it? This compelling statistic emphasizes the immense significance of securing the Buy Box for sellers operating on the Amazon marketplace. It underscores the pivotal role that Buy Box acquisition plays in driving the success and sales performance of sellers in this highly competitive online marketplace.
Until recently, the Buy Box was typically awarded to a sole seller, as Amazon considered various metrics such as pricing, reliable fulfillment, and sales history. Emerging as the Buy Box winner undeniably presents a mutually beneficial opportunity. It grants customers visiting your product page the seamless convenience of purchasing your products effortlessly through the “Add to Cart” or “Buy Now” buttons. Additionally, attaining the Buy Box Winner status (hereinafter referred to as BBW) secures a distinct advantage, as it positions your competitors’ offers of the same product below your own listing. This strategic placement ensures that your products garner maximum visibility, capturing the attention of potential buyers and increasing the likelihood of successful transactions.
Prior to a recent update by Amazon, there were rare instances where two sellers could both secure the Buy Box. Let’s dive deeper into which factors could influence rare occurrences.
Influencing Factors for Two BBW
Different product offers
A common occurrence where multiple sellers can secure the Buy Box is when they offer different variations of the same product. To illustrate this, let’s take the example of selling teapots. You and your competitor both offer teapots but with varying colors, sizes, and functionalities. As customer preferences differ, some individuals may prefer your product while others may lean towards your competitor’s offering.
Seller performance metrics
As we mentioned before, Amazon takes into account seller performance indicators when choosing the BBW. There are a bunch of metrics that influence your reliability and quality as a seller. If you meet those criteria, you fall into the list of potential BBWs. Same for other sellers – if they’re a good fit for this position according to their performance metrics, the chances are they’ll share this award with you.
Competitive pricing strategies
Competitive pricing strategies play a pivotal role in the determination of two BBWs. Amazon places significant emphasis on pricing competitiveness when selecting the BBW. In essence, if your pricing strategy is aligned with market trends and remains competitive, you position yourself as a strong contender for this prestigious accolade. Maintaining a pricing structure that is both appealing to customers and in line with the prevailing market dynamics enhances your chances of becoming a potential candidate for the Buy Box.
By offering competitive prices, you not only attract the attention of potential buyers but also demonstrate your commitment to providing value for money. Consequently, this strategic approach creates an environment where the possibility of having two sellers emerge as Buy Box winners becomes a tangible reality, fostering healthy competition and diversifying choices for customers.
Amazon’s Second Buy Box: What’s in Store for Sellers?
The latest UPD: What are the reasons behind?
As we already mentioned, Amazon introduced a significant change that allows for the possibility of two BBWs. This decision is a response to concerns raised about Amazon’s dominance in the provision of online marketplace services to third-party sellers in the French, German, and Spanish markets. In an effort to address these concerns, Amazon has proposed commitments that include treating all sellers equally when ranking offers for Buy Box selection and displaying a second competing offer if it sufficiently differs from the first one in terms of price and/or delivery.
These commitments apply to all current and future Amazon marketplaces in the European Economic Area, excluding Italy due to the remedies imposed by the Italian competition authorities.
Moreover, Amazon can make a similar offer for the US market, so we keep abreast.
How do these changes influence marketplace sellers?
This update brings about several changes in the dynamics of the Amazon marketplace.
First and foremost, the introduction of the second Buy Box represents an important shift in the dynamics of online selling. In the recent past, only the primary Buy Box winner enjoyed the majority of sales, leaving their competitors with limited visibility. Yet, with the inclusion of the second-placed seller, new opportunities arise. This modification allows previously overshadowed sellers to grab attention and generate sales, fostering a more equitable distribution of sales across multiple sellers.
And secondly, the expanded visibility of the second offer brings forth the potential for fair competition and a leveled playing field among sellers. Now, sellers have a better chance to compete based on such factors as pricing, product quality, and customer service. This shift encourages sellers to reinforce their strategies and offerings, benefiting buyers with a wider range of options and fostering healthy competition in a marketplace.
Strategies for sellers in a two BBWs scenario
- Maximizing product offerings and variations
The first thing worth your attention in a two BBWs scenario is maximizing your product offers. This strategy can help you increase the visibility of your products, expand your customer base, and tap into different market segments.
- Optimizing your pricing
While the precise reasons and factors influencing the selection of the second BBW remain uncertain, it is clear that optimizing pricing strategies plays a pivotal role in determining the ultimate winner. Therefore, it can be concluded that sellers who diligently optimize their prices, aligning them with market trends, are positioned for a higher likelihood of securing the desired Buy Box recognition.
Enhancing your pricing strategy calls for the utilization of top-notch repricing tools. An exceptional option is the M2E Amazon Repricer, which empowers you to automate price adjustments in response to real-time market conditions, competitor analysis, and predefined rules. By adopting cutting-edge tools like Amazon Repricer, you not only save valuable time and effort but also ensure your prices remain consistently competitive, thus significantly boosting your prospects of securing the coveted Buy Box position.
- Leveraging targeted marketing and promotions
To maximize your visibility and attract more customers in a two BBWs scenario, consider implementing targeted marketing and promotional campaigns. Utilize Amazon’s advertising tools, such as Sponsored Products or Amazon Marketing Services, to increase the visibility of your products to relevant audiences. Additionally, run strategic promotions, discounts, or exclusive offers to incentivize customers to choose your products over your competitors.
Conclusion
The phenomenon of two Buy Box (Featured Offer) winners presents unique challenges and opportunities in Amazon selling. While offering the lowest price is a common factor, sellers can also leverage tools like M2E Amazon Repricer to navigate the competitive landscape. Stay informed, adapt, and excel for long-term success in Amazon selling.
Discover what has changed with M2E Amazon Repricer today!
